Unifi (UFI) AI Stock Analysis

• Market Cap: $85.01M
• Dividend Yield: N/A
• Average Volume (3M): 49.72K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.36
• Revenue Growth: -1.87%
• EPS Growth: 57.41%
• Country: US
• Employees: 2,700
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Apparel - Manufacturers
• EPS (TTM): -0.56
• Shares Outstanding: 18,360,662
• 10 Day Avg. Volume: 54,594
• 30 Day Avg. Volume: 49,718
• PEG Ratio: 0.08
• Price to Book (P/B): 0.38
• Price to Sales (P/S): 0.17
• P/FCF Ratio: -3.01
• Enterprise Value/Market Cap: 2.26
• Enterprise Value/Revenue: 0.34
• Enterprise Value/Gross Profit: 22.86
• Enterprise Value/Ebitda: 17.61
• 1Y Price Target: $4.50
• Price Target Upside: -3.85% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 45 Neutral
• Price Target: $4.50 ▼(-3.85% Downside)

Unifi's overall stock score reflects significant financial challenges, with declining revenues and negative profitability being the most impactful factors. The technical analysis provides some cautious optimism, but the valuation remains unattractive due to negative earnings. While the earnings call suggests potential improvements in the future, the current financial and valuation metrics weigh heavily on the overall score.

Unifi Business Overview & Revenue Model

Company Description

Unifi, Inc., together with its subsidiaries, engages in the manufacture and sale of recycled and synthetic products in the United States, Brazil, China, and internationally. It operates in four segments: Polyester, Nylon, Brazil, and Asia. The Polyester segment offers partially oriented, textured, solution and package dyed, twisted, beamed, and draw wound yarns; and pre-consumer and post-consumer waste products, including plastic bottle flakes, polyester polymer, and staple fiber beads to other yarn manufacturers, and knitters and weavers that produce yarn and/or fabric for the apparel, hosiery, home furnishings, automotive, industrial, and other end-use markets. The Nylon segment provides virgin or recycled textured, solution dyed, and spandex covered yarns to knitters and weavers that produce fabric primarily for the apparel, hosiery, medical markets. The Brazil segment manufactures and sells polyester-based products to knitters and weavers that produce fabric for the apparel, home furnishings, automotive, industrial, and other end-use markets. The Asia segment primarily sells polyester-based products to knitters and weavers that produce fabric for the apparel, home furnishings, automotive, industrial, and other end-use markets. The company sells its products through sales force and independent sales agents under the REPREVE and PROFIBER brands. Unifi, Inc. was incorporated in 1969 and is headquartered in Greensboro, North Carolina.

How the Company Makes Money

Unifi generates revenue through multiple streams, primarily from subscription services for internet and voice solutions offered to residential and business customers. The company charges monthly fees for these services, which often include bundled packages that combine internet, television, and phone services. Additionally, Unifi earns revenue from the sale of equipment and installation services associated with its connectivity solutions. Strategic partnerships with content providers and other telecommunications firms also contribute to its earnings, allowing for exclusive content offerings and expanded service capabilities that attract more subscribers. Moreover, Unifi may benefit from government contracts or grants aimed at enhancing broadband access in underserved areas, further diversifying its revenue base.

Unifi Financial Statement Overview

Summary

Unifi is facing significant financial challenges. The income statement shows declining revenues and negative profitability, with a gross profit margin of 1.47% and a net profit margin of -3.56%. The balance sheet reflects a moderate level of leverage but poor returns on equity, with a negative ROE of -8.16%. The cash flow statement highlights liquidity issues with negative operating and free cash flows, despite some improvement in free cash flow growth. Overall, the financial performance is weak and requires substantial improvement.

Income Statement

Unifi's income statement reveals significant challenges. The company has experienced declining revenues over the past few years, with a negative revenue growth rate of -3.21% in the most recent year. Profitability metrics are concerning, with a gross profit margin of only 1.47% and a net profit margin of -3.56%. The EBIT and EBITDA margins are also negative, indicating operational inefficiencies. Overall, the income statement reflects a struggling financial performance with declining revenues and negative profitability.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.46, indicating a manageable level of leverage. However, the return on equity is negative at -8.16%, reflecting poor profitability and returns for shareholders. The equity ratio stands at 58.44%, suggesting a reasonable level of equity financing. While the company maintains a stable capital structure, the negative ROE highlights underlying profitability issues.

Cash Flow

Unifi's cash flow statement indicates challenges in generating positive cash flows. The operating cash flow is negative, and the free cash flow is also negative, although it has shown some improvement with a growth rate of 7.43%. The operating cash flow to net income ratio is negative, suggesting difficulties in converting earnings into cash. The free cash flow to net income ratio is positive at 1.49, indicating some ability to generate cash relative to net losses. Overall, the cash flow situation reflects ongoing liquidity challenges.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2020	Dec 2019	Dec 2018
Income Statement
Total Revenue	571.34M	571.34M	582.21M	606.51M	708.80M	678.91M
Gross Profit	8.42M	8.42M	16.62M	39.04M	66.31M	86.43M
EBITDA	10.93M	16.18M	-8.01M	-28.08M	35.02M	57.37M
Net Income	-20.35M	-20.35M	-47.40M	-57.24M	2.46M	31.70M
Balance Sheet
Total Assets	426.87M	426.87M	469.24M	474.16M	592.15M	601.81M
Cash, Cash Equivalents and Short-Term Investments	22.66M	22.66M	26.80M	75.27M	22.23M	44.89M
Total Debt	115.87M	115.87M	138.44M	107.20M	127.06M	130.55M
Total Liabilities	177.40M	177.40M	205.86M	158.01M	199.31M	212.03M
Stockholders Equity	249.47M	249.47M	263.38M	316.15M	392.85M	389.78M
Cash Flow
Free Cash Flow	-31.80M	-31.80M	-9.10M	34.22M	-17.59M	12.31M
Operating Cash Flow	-21.31M	-21.31M	2.09M	52.72M	7.28M	37.34M
Investing Cash Flow	41.06M	41.06M	-10.67M	41.57M	-24.94M	-26.88M
Financing Cash Flow	-24.42M	-24.42M	-10.61M	-37.92M	-4.63M	1.30M

Unifi Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.68
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UFI, the sentiment is Positive. The current price of 4.68 is above the 20-day moving average (MA) of 4.64, above the 50-day MA of 4.54, and below the 200-day MA of 5.05, indicating a neutral trend. The MACD of 0.03 indicates Positive momentum. The RSI at 53.92 is Neutral, neither overbought nor oversold. The STOCH value of 74.21 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UFI.

Unifi Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JL	64 Neutral	$16.55M	45.33	20.89%	―	38.26%	201.16%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
LAKE	55 Neutral	$146.43M	―	-15.81%	0.74%	39.13%	-1186.47%
VNCE	55 Neutral	$42.54M	6.22	-32.91%	―	-0.49%	-1427.68%
CULP	51 Neutral	$54.83M	―	-19.05%	―	-7.91%	32.31%
JRSH	48 Neutral	$41.59M	50.46	1.30%	6.10%	17.12%	―
UFI	45 Neutral	$85.01M	―	-7.94%	―	-1.87%	57.41%

Unifi Corporate Events

Unifi Reports Q4 2025 Results Amid Sales Decline

Unifi, Inc. reported its fourth quarter and fiscal year 2025 results, highlighting a 12% decrease in net sales to $138.5 million due to trade-related uncertainties and demand volatility. Despite a challenging environment, the company made strategic moves, including selling a manufacturing facility, which helped reduce debt and is expected to save $20 million annually. Unifi launched Fortisyn, an abrasion-resistant yarn, and remains optimistic about leveraging its leaner manufacturing footprint and strong demand for sustainable solutions to enhance future performance.

The most recent analyst rating on (UFI) stock is a Hold with a $4.50 price target. To see the full list of analyst forecasts on Unifi stock, see the UFI Stock Forecast page.