Unisys (UIS) AI Stock Analysis

• Market Cap: $240.26M
• Dividend Yield: N/A
• Average Volume (3M): 617.14K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.55
• Revenue Growth: -4.93%
• EPS Growth: 18.65%
• Country: US
• Employees: 15,900
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): -0.08
• Shares Outstanding: 71,293,020
• 10 Day Avg. Volume: 649,867
• 30 Day Avg. Volume: 617,140
• PEG Ratio: 0.04
• Price to Book (P/B): -1.55
• Price to Sales (P/S): 0.22
• P/FCF Ratio: 6.12
• Enterprise Value/Market Cap: 3.21
• Enterprise Value/Revenue: 0.40
• Enterprise Value/Gross Profit: 1.44
• Enterprise Value/Ebitda: -6.07
• 1Y Price Target: $4.00
• Price Target Upside: 36.52% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: $3.00 ▲(2.39% Upside)

Unisys' overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and negative profitability margins. While the company has made strategic moves to improve its market position, such as the ClearPath Forward ecosystem, these efforts are overshadowed by ongoing financial and operational challenges. Technical analysis and valuation further contribute to the cautious outlook, with mixed signals and unattractive valuation metrics.

Positive Factors

Improved Operating Profit Margin Guidance

Improved profit margin guidance reflects enhanced operational efficiency, indicating potential for sustainable profitability improvements.

Significant U.S. Pension Liability Reduction

Reducing pension liabilities strengthens the balance sheet, improving financial stability and reducing long-term financial obligations.

ClearPath Forward Ecosystem

The ClearPath Forward initiative enhances Unisys' product offerings, positioning it as a leader in scalable, secure computing solutions.

Negative Factors

Declining Revenue

Continued revenue decline indicates challenges in maintaining market share and sales momentum, impacting long-term growth prospects.

Negative Profitability Margins

Negative profitability margins highlight operational inefficiencies and high costs, posing risks to financial health and sustainability.

High Debt Levels

High debt levels can strain cash flow and limit financial flexibility, affecting the company's ability to invest in growth opportunities.

Unisys Business Overview & Revenue Model

Company Description

Unisys Corporation, together with its subsidiaries, operates as an information technology services company worldwide. It operates in Digital Workplace Solutions (DWS); Cloud and Infrastructure Solutions (C&I); and Enterprise Computing Solutions (ECS) segments. The DWS segment provides solutions that transform digital workplaces securely and create exceptional end-user experiences. The C&I segment offers solutions that drive modern IT service platforms, cloud applications development, intelligent services, and cybersecurity services. The ECS segment provides solutions that harness secure, continuous high-intensity computing, and enable digital services through software-defined operating environments. Its solutions include Unisys InteliServe, a service solution that transforms traditional service desk into an intelligent, user-centric experience aligned with the needs of the modern digital workplace; Unisys CloudForte, a comprehensive managed service offering to help accelerate the secure move of data and applications to the cloud; PowerSuite, a packaged software tool used by enterprise IT to monitor, analyze, troubleshoot and secure collaboration, and communications multi-platform environments; Unisys ClearPath Forward, a software operating environment for high-intensity enterprise computing; and Unisys Stealth security software, which enables trusted identities to access micro-segmented critical assets and safely communicate through secure and encrypted channels. In addition, the company provides industry solutions, which help law enforcement agencies solve crime; social services case workers assist families; travel and transportation companies manage freight and distribution; and financial institutions deliver omnichannel banking. It serves customers in the government, financial services, and commercial markets through direct sales force, distributors, resellers, and alliance partners. Unisys Corporation was founded in 1886 and is based in Blue Bell, Pennsylvania.

How the Company Makes Money

Unisys generates revenue through multiple streams, primarily by providing IT services, solutions, and consulting. The company's revenue model is built on contracts with government and commercial clients for IT services, which include infrastructure management, cloud services, and application development. Key revenue streams include managed services, where Unisys manages clients' IT infrastructure and operations, and systems integration services that involve designing and implementing technology solutions tailored to client needs. Unisys also earns revenue from software licenses and maintenance agreements related to its proprietary software products. Significant partnerships with technology providers and strategic alliances in industry sectors bolster its offerings, enhancing its ability to deliver comprehensive solutions that meet evolving market demands.

Unisys Financial Statement Overview

Summary

Unisys faces significant financial challenges, with declining revenues, negative profitability margins, and high leverage. The company struggles with cash flow generation, impacting its financial stability. Strategic improvements are necessary to enhance operational efficiency and financial health.

Income Statement

Unisys shows declining revenue with a negative growth rate of -1.88% TTM, indicating challenges in maintaining sales momentum. The gross profit margin is moderate at 27.57%, but the net profit margin is significantly negative at -17.10%, reflecting substantial losses. EBIT and EBITDA margins are also negative, suggesting operational inefficiencies and high costs.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio due to negative equity, indicating financial instability. The return on equity is negative, highlighting the company's inability to generate profits from shareholders' investments. The equity ratio is also negative, pointing to a reliance on debt financing.

Cash Flow

Unisys has negative operating and free cash flows, with a declining free cash flow growth rate of -10.11% TTM. The operating cash flow to net income ratio is negative, indicating cash flow issues. However, the free cash flow to net income ratio is positive, suggesting some ability to cover net losses with free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.92B	2.01B	2.02B	1.98B	2.05B	2.03B
Gross Profit	534.70M	585.90M	551.30M	529.60M	572.00M	483.00M
EBITDA	-126.90M	63.00M	-178.20M	153.30M	-252.90M	-81.60M
Net Income	-328.50M	-193.40M	-430.70M	-106.00M	-448.50M	750.70M
Balance Sheet
Total Assets	1.74B	1.87B	1.97B	2.07B	2.42B	2.71B
Cash, Cash Equivalents and Short-Term Investments	321.90M	376.50M	387.70M	391.80M	552.90M	898.50M
Total Debt	769.30M	537.10M	548.90M	568.80M	610.90M	729.40M
Total Liabilities	2.03B	2.14B	2.10B	2.04B	2.48B	3.02B
Stockholders Equity	-300.20M	-283.40M	-151.80M	-14.70M	-113.70M	-356.80M
Cash Flow
Free Cash Flow	-204.20M	71.60M	6.90M	-64.60M	86.70M	-781.20M
Operating Cash Flow	-168.30M	135.10M	74.20M	12.70M	132.50M	-681.20M
Investing Cash Flow	-65.00M	-97.40M	-69.60M	-131.40M	-360.30M	1.04B
Financing Cash Flow	183.70M	-18.10M	-17.30M	-21.60M	-105.50M	5.10M

Unisys Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.93
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UIS, the sentiment is Neutral. The current price of 2.93 is above the 20-day moving average (MA) of 2.68, below the 50-day MA of 3.17, and below the 200-day MA of 3.99, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 52.48 is Neutral, neither overbought nor oversold. The STOCH value of 76.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for UIS.

Unisys Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAIC	71 Outperform	$4.52B	12.78	23.75%	1.69%	-0.38%	31.38%
ASGN	66 Neutral	$2.05B	16.21	7.25%	―	-4.86%	-25.15%
DXC	62 Neutral	$2.64B	7.49	12.33%	―	-4.13%	2143.48%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CLVT	56 Neutral	$2.27B	―	-7.60%	―	-2.96%	71.30%
AI	47 Neutral	$2.15B	―	-46.77%	―	1.84%	-27.74%
UIS	45 Neutral	$240.26M	-2.85	―	―	-4.93%	18.65%

Unisys Corporate Events

Unisys Updates Bylaws and Corrects Charter Error

On November 25, 2025, Unisys Corporation’s Board of Directors approved changes to the company’s bylaws, removing the age limit for officers and aligning the bylaws with the company’s charter. Additionally, Unisys filed a Certificate of Correction with the Delaware Secretary of State to amend an administrative error in the previously filed charter, ensuring compliance with the correct version.

Unisys Schedules Conference on ClearPath Forward Ecosystem

Unisys Corporation announced a conference call scheduled for October 9, 2025, to discuss its ClearPath Forward® ecosystem with investors. This initiative highlights Unisys’ commitment to modernizing its mainframe solutions by integrating cloud capabilities, enhancing security, and enabling real-time data processing. The ClearPath Forward® ecosystem is designed to meet the demands of a digital-first world, offering unmatched reliability and agility, which positions Unisys as a key player in providing scalable and secure computing environments for mission-critical operations. This development is expected to strengthen Unisys’ market position and provide significant benefits to stakeholders by ensuring high availability and performance in transaction processing.