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: 51.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 38 Underperform
• Price Target: $2.00 ▼(-24.24% Downside)

Unisys's overall stock score is primarily impacted by its poor financial performance and valuation metrics. The company is experiencing significant financial challenges, including declining revenues and negative profitability margins. Technical analysis further indicates bearish momentum, with the stock trading below key moving averages and showing oversold conditions. The negative P/E ratio and lack of dividend yield also contribute to the low valuation score.

Positive Factors

Operating Profit Margin Improvement

Improved operating profit margins indicate better cost management and operational efficiency, which can enhance long-term profitability and competitiveness.

Increased License and Support Revenue

Higher L&S revenue suggests strong demand for Unisys's services, supporting sustainable revenue streams and reinforcing market position.

Pension Liability Reduction

Reducing pension liabilities improves financial health and reduces future cash outflows, enhancing long-term balance sheet stability.

Negative Factors

Revenue Decline

Declining revenue indicates challenges in maintaining sales momentum, which can impact long-term growth and market competitiveness.

High Leverage

High leverage limits financial flexibility and increases risk, potentially affecting the company's ability to invest in growth opportunities.

Negative Cash Flow

Negative cash flow challenges the company's ability to fund operations and investments, impacting long-term financial sustainability.

Unisys Business Overview & Revenue Model

Company Description

Unisys Corporation (UIS) is a global information technology company that provides a range of services and solutions aimed at helping organizations enhance their operations and improve efficiency. Founded in 1980, Unisys operates primarily in the sectors of cloud computing, cybersecurity, and enterprise computing. The company offers a variety of core products and services, including digital transformation solutions, IT infrastructure management, software applications, and consulting services, catering to industries such as government, financial services, and healthcare.

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: Negative
• Last Price: 2.64
• 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 2.64 is below the 20-day moving average (MA) of 2.83, below the 50-day MA of 3.42, and below the 200-day MA of 4.14, indicating a bearish trend. The MACD of -0.28 indicates Negative momentum. The RSI at 35.56 is Neutral, neither overbought nor oversold. The STOCH value of 50.64 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
ASGN	66 Neutral	$1.93B	15.27	7.25%	―	-4.86%	-25.15%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SAIC	61 Neutral	$3.94B	10.36	25.40%	1.73%	2.23%	48.38%
DXC	58 Neutral	$2.28B	6.48	12.33%	―	-4.13%	2143.48%
CLVT	49 Neutral	$2.48B	―	-7.60%	―	-2.96%	71.30%
AI	45 Neutral	$1.95B	―	-40.94%	―	14.34%	-13.27%
UIS	38 Underperform	$240.26M	-2.85	―	―	-4.93%	18.65%

Unisys Corporate Events

Unisys Earnings Call: Balancing Growth and Challenges

The recent earnings call of Unisys Corporation painted a balanced picture of the company’s current financial health and future prospects. While there were notable improvements in operating profit margin guidance and increased revenue expectations in the License and Support (L&S) segment, challenges such as revenue decline and pricing pressures from competitors were also highlighted. The company is navigating through a complex landscape with both opportunities and hurdles, particularly in the public sector affected by the U.S. government shutdown.

Unisys Reports Q3 2025 Earnings and Strategic Updates

Unisys Corporation is a global technology solutions company that specializes in cloud, AI, digital workplace, applications, and enterprise computing solutions, helping clients unlock their full potential. In its third-quarter 2025 earnings report, Unisys announced a total revenue of $460.2 million, marking a 7.4% decrease year-over-year, while cash and cash equivalents increased by 7% quarter-over-quarter. The company has made strategic moves to enhance its pension strategy by purchasing an annuity contract to transfer $320 million of projected U.S. defined benefit pension liabilities to a third-party insurer. Despite a decline in revenue, Unisys reported an increase in free cash flow and maintained its non-GAAP operating profit margin guidance of 8% to 9%. The company continues to focus on operational efficiency and expects more than $100 million of pre-pension and postretirement free cash flow. Looking ahead, Unisys remains committed to its strategic goals, including expanding its AI solutions and maintaining strong liquidity to support future growth and efficiency.

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.

The most recent analyst rating on (UIS) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Unisys stock, see the UIS Stock Forecast page.