Unisys (UIS) AI Stock Analysis

• Market Cap: $277.33M
• Dividend Yield: N/A
• Average Volume (3M): 696.68K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.59
• Revenue Growth: -1.53%
• EPS Growth: 78.84%
• Country: US
• Employees: 15,900
• Sector: Technology
• Sector Strength: 94
• Industry: Information Technology Services
• EPS (TTM): 0.19
• Shares Outstanding: 71,293,020
• 10 Day Avg. Volume: 1,057,590
• 30 Day Avg. Volume: 696,684
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.78
• Enterprise Value/Revenue: 0.39
• Enterprise Value/Gross Profit: 1.38
• Enterprise Value/Ebitda: 4.60
• 1Y Price Target: $6.50
• Price Target Upside: 64.97% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 52 Neutral
• Price Target: $4.00 ▲(1.52% Upside)

Unisys's overall stock score is primarily impacted by mixed financial performance with declining revenues and net losses. Technical analysis indicates bearish momentum, which further affects the score. Valuation metrics suggest potential overvaluation, but strategic corporate events and a cautiously positive earnings call provide some balance to the outlook.

Positive Factors

Earnings

The company reported 2Q25 results with revenue and adjusted EBITDA ahead of expectations.

Financial Performance

Strengthening cash flow should reduce leverage and shift more value to equity holders as the debt and pension burdens lessen.

Growth Initiatives

UIS continues to make solid progress on its growth initiatives, with new service offerings being competitive and in the leaders' quadrant in targeted markets.

Negative Factors

Backlog and Contract Value

Backlog was $2.84B, down 5.6% y/y, and 2024 total contract value (TCV) was down 11%.

Revenue Decline

Revenue declined 2.2% y/y to $545.4M in 4Q24 on lower volumes and deal timing.

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 offering IT services and solutions to its clients. The company's revenue model includes the provision of consulting services, systems integration, and managed services which are billed on a project or subscription basis. Key revenue streams stem from contracts with government and commercial clients for IT outsourcing, cloud infrastructure, and digital transformation initiatives. Additionally, Unisys benefits from partnerships with leading technology providers, which enhance its service offerings and expand its market reach. The company also sees revenue from licensing its software products and solutions to businesses looking to improve their operational efficiencies and security posture.

Unisys Financial Statement Overview

Summary

Unisys has shown a decline in revenue and profitability over recent years, with persistent net losses. While there is some improvement in cash flow generation and equity stability, high debt remains a concern. The company needs to enhance profitability and manage leverage to strengthen its financial position.

Income Statement

Unisys has shown a decline in revenue over the past periods, with a noticeable decrease from $2.01 billion in 2023 to $1.52 billion in TTM 2025. The gross profit margin for TTM 2025 is 29.6%, indicating moderate profitability. However, the company struggles with consistent net losses, with a net profit margin of -4.8% in TTM 2025. The EBIT margin is 5.5%, showing operational challenges. There's a positive EBITDA margin of 11.0% for TTM 2025, reflecting some improvement in operating performance.

Balance Sheet

Unisys exhibits a high level of debt, with a debt-to-equity ratio of 0.70 in TTM 2025, but this is due to past negative equity situations. The equity has improved to $751 million in TTM 2025 compared to negative equity in previous years. The return on equity remains negative due to net losses, indicating inefficiency in generating returns from shareholders' equity. The equity ratio is 40.8%, reflecting moderate financial stability.

Cash Flow

Operating cash flow improved significantly to $144.6 million in TTM 2025 from $13.5 million in 2022. The free cash flow also increased, showing a positive growth trajectory with a free cash flow of $92.9 million in TTM 2025. The operating cash flow to net income ratio is -1.97, indicating manageable cash generation relative to net losses. The free cash flow to net income ratio is -1.27, showing room for improvement in efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.95B	2.01B	2.02B	1.98B	2.05B	2.03B
Gross Profit	557.80M	585.90M	556.90M	529.60M	572.00M	483.00M
EBITDA	167.40M	63.00M	-178.20M	153.30M	-252.90M	-81.60M
Net Income	-73.40M	-193.40M	-430.70M	-104.90M	-449.80M	-317.20M
Balance Sheet
Total Assets	1.84B	1.87B	1.97B	2.07B	2.42B	2.71B
Cash, Cash Equivalents and Short-Term Investments	393.10M	376.50M	387.70M	391.80M	552.90M	898.50M
Total Debt	527.40M	537.10M	548.90M	542.80M	575.50M	692.30M
Total Liabilities	1.09B	2.14B	2.10B	2.04B	2.48B	3.02B
Stockholders Equity	751.50M	-283.40M	-151.80M	-14.70M	-113.70M	-356.80M
Cash Flow
Free Cash Flow	92.90M	71.60M	6.90M	-64.60M	50.80M	-781.20M
Operating Cash Flow	144.60M	135.10M	74.20M	12.70M	132.50M	-681.20M
Investing Cash Flow	-98.90M	-97.40M	-69.60M	-131.40M	-360.30M	1.04B
Financing Cash Flow	-14.40M	-18.10M	-17.30M	-21.60M	-105.50M	5.10M

Unisys Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.94
• 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 Negative. The current price of 3.94 is below the 20-day moving average (MA) of 4.07, below the 50-day MA of 4.27, and below the 200-day MA of 5.40, indicating a bearish trend. The MACD of -0.12 indicates Negative momentum. The RSI at 44.57 is Neutral, neither overbought nor oversold. The STOCH value of 48.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for UIS.

Unisys Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WNS	79 Outperform	$3.21B	19.99	21.23%	―	1.94%	26.15%
FORTY	76 Outperform	$1.87B	23.01	12.47%	1.60%	6.22%	24.91%
CNXC	70 Outperform	$3.08B	13.41	5.59%	2.76%	11.31%	-16.02%
Sector *	61 Neutral	$36.30B	7.26	-7.27%	1.97%	7.74%	-7.92%
UIS	52 Neutral	$277.33M	―	192.24%	―	-1.53%	78.84%
CNDT	49 Neutral	$393.36M	78.90	2.21%	―	-14.36%	-73.74%
VYX	45 Neutral	$1.75B	―	-8.85%	―	-43.28%	15.29%

Unisys Corporate Events

Unisys Announces $250 Million Pension Contribution

On July 23, 2025, Unisys Corporation’s Board of Directors approved amendments to the company’s bylaws, clarifying director numbers, officer appointments, and executive compensation. Additionally, Unisys announced a conference call on July 24, 2025, to discuss a recent $250 million pension contribution and debt transaction, aimed at reducing pension deficits and volatility, which is expected to enhance the company’s financial stability and strategic positioning.

The most recent analyst rating on (UIS) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.

Unisys to Discuss Pension Strategy on July 24

On July 18, 2025, Unisys announced it will host a conference call on July 24, 2025, to discuss its recent financial strategies, including a $250 million discretionary pension contribution and changes to asset allocations in its U.S. Qualified Defined Benefit Plans. These actions aim to reduce the company’s pension deficit and volatility, marking a significant step in accelerating its pension strategy.

The most recent analyst rating on (UIS) stock is a Hold with a $6.50 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.

Unisys Amends Senior Secured Notes Indenture

On June 27, 2025, Unisys Corporation entered into a supplemental indenture to amend its 6.875% Senior Secured Notes due 2027, eliminating restrictive covenants and releasing collateral. This move follows a successful tender offer where 98.98% of the notes were tendered, allowing Unisys to satisfy and discharge the indenture by depositing $5,117,000 in U.S. government securities. The company plans to use proceeds from a $700 million senior secured notes offering due 2031 to fund this transaction, impacting its financial strategy and stakeholder interests.

The most recent analyst rating on (UIS) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.

Unisys Completes $700 Million Senior Notes Sale

On June 27, 2025, Unisys Corporation completed the sale of $700 million in senior secured notes due 2031, guaranteed by its subsidiaries. The proceeds will refinance existing notes, partially fund the U.S. pension plan, and support corporate purposes, strengthening Unisys’s financial position and aiding in the execution of its long-term goals.

The most recent analyst rating on (UIS) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.

Unisys Announces Pricing of $700M Senior Secured Notes

On June 16, 2025, Unisys Corporation announced the pricing of $700 million in Senior Secured Notes due 2031, with an interest rate of 10.625% per year. The proceeds from this private offering will be used to refinance existing notes, partially fund the U.S. pension plan, and for general corporate purposes. This strategic financial move is expected to strengthen Unisys’s financial position by addressing its long-term pension deficit and postretirement liabilities, while also amending the terms of its existing notes to eliminate restrictive covenants and release collateral.

The most recent analyst rating on (UIS) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.

Unisys Announces Tender Offer for Senior Secured Notes

On June 11, 2025, Unisys Corporation announced a tender offer to purchase its outstanding 6.875% Senior Secured Notes due 2027 and is soliciting consents to amend the indenture governing these notes. This move is part of a broader financing strategy that includes issuing $700 million in Senior Secured Notes due 2031. The company aims to use the proceeds from this new issuance, along with cash on hand, to fund the tender offer and related expenses. The tender offer and consent solicitation are subject to various conditions, including the successful completion of the new note offering. The tender offer is set to expire on July 11, 2025, and aims to amend restrictive covenants and other provisions, potentially impacting stakeholders by altering the company’s financial obligations.

The most recent analyst rating on (UIS) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.

Unisys Recasts Financial Segments in 2024 Form 10-K

Unisys Corporation has recast its financial segment information in its 2024 Form 10-K to reflect organizational changes effective January 1, 2025. This restructuring aims to enhance alignment with client needs and improve operational synergies, impacting the company’s Enterprise Computing Solutions and Cloud, Applications & Infrastructure Solutions segments.

The most recent analyst rating on (UIS) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.

Unisys Corporation Concludes Annual Meeting with Key Decisions

On May 8, 2025, Unisys Corporation held its Annual Meeting where 89.19% of the shares entitled to vote were represented. Key outcomes included the election of 11 directors, approval of executive compensation, and ratification of Grant Thornton LLP as the independent auditor. Amendments to the company’s charter were also voted on, with mixed results. The amendment to eliminate supermajority voting provisions was not approved, while amendments to limit officer liability and clarify indemnification provisions were passed.

The most recent analyst rating on (UIS) stock is a Hold with a $8.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.