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Ultralife (ULBI)
:ULBI
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Ultralife
(NASDAQ:ULBI)
65Neutral
Ultralife (ULBI) vs. S&P 500 (SPY)
Market Cap
$75.18M
Dividend YieldN/A
Average Volume (3M)59.99K
Price to Earnings (P/E)11.9
Beta (1Y)1.91
Revenue Growth3.66%
EPS Growth-13.65%
CountryUS
Employees671
SectorIndustrials
Sector Strength63
IndustryElectrical Equipment & Parts
Share Statistics
EPS (TTM)0.38
Shares Outstanding16,632,965
10 Day Avg. Volume75,033
30 Day Avg. Volume59,995
Financial Highlights & Ratios
PEG Ratio0.08
Price to Book (P/B)N/A
Price to Sales (P/S)0.55
Price to Cash Flow (P/CF)4.80
P/FCF Ratio5.30
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$14.00Price Target Upside209.73% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering0
Ultralife Business Overview & Revenue Model
Company DescriptionUltralife Corporation (ULBI) is a diversified technology company that operates primarily in the energy storage and communications sectors. The company designs, manufactures, installs, and maintains power solutions and communications systems, catering to a wide range of industries including defense, aerospace, medical, and industrial sectors. Ultralife's core products include non-rechargeable and rechargeable batteries, power systems, and communication systems.
How the Company Makes MoneyUltralife makes money through the sale of its energy storage and communications products and services. The company's revenue model is based on manufacturing and selling a variety of battery types and energy solutions, such as lithium-ion batteries, lithium-manganese dioxide batteries, and advanced communications systems. Ultralife also generates income through service contracts related to the maintenance and installation of its products. Key revenue streams include sales to government agencies, defense contractors, and commercial markets. Additionally, strategic partnerships and long-term contracts with major clients contribute significantly to its earnings, providing a stable and recurring revenue base.
Ultralife Financial Statement Overview
Summary
Ultralife exhibits robust financial performance with strong revenue growth, improved profitability, and a solid balance sheet. While cash flow generation is strong, the company needs to manage its financing activities carefully. Overall, Ultralife is well-positioned in the industrial goods sector, showcasing stability and potential for future growth.Income Statement
The income statement shows strong performance with a TTM revenue growth rate of 4.1% and an impressive gross profit margin of 25.96%. The net profit margin improved to 5.44% in the TTM period, reflecting enhanced profitability. EBIT and EBITDA margins also indicate efficient operational management. Overall, the company demonstrates solid growth and profitability trends.82
Very Positive
Balance Sheet
The balance sheet reflects a favorable equity ratio of 78.00%, indicating a strong capital structure. The debt-to-equity ratio has improved significantly, showing reduced leverage risk. Return on equity is a healthy 6.69%, suggesting efficient use of equity. Overall, the company maintains a robust and stable financial position with manageable debt levels.78
Positive
Cash Flow
Cash flow analysis reveals a significant improvement in free cash flow, with a strong growth rate of 2297% from the previous year. The operating cash flow to net income ratio is 1.78, indicating effective cash generation relative to net income. However, fluctuations in cash flows from financing activities pose potential risks. Overall, the cash flow position is strong, but attention is needed on financing activities.70
Positive
| Breakdown | |||||
| TTM | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 165.15M | 158.64M | 131.84M | 98.27M | 107.71M | 106.80M | Gross Profit |
| 42.89M | 39.20M | 29.40M | 24.64M | 29.16M | 31.16M | EBIT |
| 12.14M | 9.47M | -4.33M | -3.50M | 1.17M | 4.62M | EBITDA |
| 16.16M | 15.04M | 4.59M | 4.05M | 8.64M | 10.38M | Net Income Common Stockholders |
| 8.99M | 7.20M | -120.00K | -230.00K | 5.23M | 5.21M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 18.33M | 10.28M | 5.71M | 8.41M | 10.65M | 7.41M | Total Assets |
| 97.19M | 178.28M | 168.43M | 159.05M | 137.70M | 144.56M | Total Debt |
| 0.00 | 29.16M | 21.31M | 20.86M | 1.36M | 17.15M | Net Debt |
| -18.33M | 18.88M | 15.60M | 12.44M | -9.29M | 9.75M | Total Liabilities |
| 18.14M | 52.85M | 52.03M | 41.31M | 20.78M | 34.81M | Stockholders Equity |
| 79.20M | 125.33M | 116.28M | 117.62M | 116.80M | 109.73M |
| Cash Flow | Free Cash Flow | ||||
| 13.69M | -623.00K | -2.94M | 1.51M | 18.62M | -9.25M | Operating Cash Flow |
| 16.02M | 1.93M | -1.26M | 4.33M | 21.72M | -2.97M | Investing Cash Flow |
| -2.33M | -2.55M | -1.68M | -26.33M | -2.98M | -31.53M | Financing Cash Flow |
| -16.12M | 5.49M | 518.00K | 19.64M | -15.69M | 16.12M |
Ultralife Technical Analysis
Negative
4.52
Price Trends
6.37
Negative
7.00
Negative
8.47
Negative
Market Momentum
-0.35
Negative
26.60
Positive
33.59
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ULBI, the sentiment is Negative. The current price of 4.52 is below the 20-day moving average (MA) of 5.38, below the 50-day MA of 6.37, and below the 200-day MA of 8.47, indicating a bearish trend. The MACD of -0.35 indicates Negative momentum. The RSI at 26.60 is Positive, neither overbought nor oversold. The STOCH value of 33.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ULBI.
Ultralife Risk Analysis
Ultralife disclosed 29 risk factors in its most recent earnings report. Ultralife reported the most risks in the “Legal & Regulatory” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Ultralife Peers Comparison
Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $23.87B | 13.63 | 68.78% | 1.11% | 21.20% | 311.29% | |
72 Outperform | $3.19B | 10.01 | 18.36% | 1.17% | -2.94% | 22.32% | |
65 Neutral | $75.18M | 11.95 | 4.87% | ― | 3.66% | -13.65% | |
62 Neutral | $7.26B | 12.38 | 3.01% | 3.40% | 3.58% | -14.13% | |
45 Neutral | $464.47M | ― | -38.88% | ― | -30.80% | -84.41% | |
45 Neutral | $94.30M | ― | -18.96% | ― | 11.09% | 0.41% | |
43 Neutral | $1.19B | ― | -90.88% | ― | -29.45% | -10.79% |
* Industrials Sector Average
Performance Comparison
ULBI
Ultralife
4.52
-5.06
-52.82%
ENS
EnerSys
80.89
-9.55
-10.56%
FCEL
Fuelcell Energy
4.46
-30.04
-87.07%
MPWR
Monolithic Power
477.39
-198.73
-29.39%
PLUG
Plug Power
1.22
-1.90
-60.90%
TSE:BLDP
Ballard Power Systems
1.54
-2.73
-63.93%
Ultralife Earnings Call Summary
Earnings Call Date: Apr 1, 2025 | % Change Since: -15.99% | Next Earnings Date: Apr 24, 2025
Earnings Call Sentiment Neutral
The earnings call reflected mixed results with significant achievements such as the Electrochem acquisition and government/defense sales growth, but faced challenges including revenue decline in key segments and internal control weaknesses.Highlights
Electrochem Acquisition
Completed the largest strategic acquisition to date of Electrochem Solutions, which adds vertical integration capability to the oil and gas business, offers expansion opportunities in emission-critical markets, and creates material cost synergies.
Government/Defense Sales Increase
Government/defense sales increased by 48.1%, indicating strong demand for US government defense products.
Material Cost Deflation Wins
Negotiated down pricing on key components such as lithium foil and electrolytes, and signed a long-term supply agreement with a major customer, enhancing supply chain efficiency.
Employee Retention Credit Approval
The IRS approved a $1.5 million employee retention credit, providing additional funds to reduce acquisition debt.
Product Development and Pipeline Growth
Significant progress in product development across various segments, including a new amplification product, enhancements in thionyl chloride products, and a thin cell for medical wearables with expected production orders by mid-year 2025.
Lowlights
Revenue and Profit Decline
Fourth quarter revenues totaled $43.9 million, down from $44.5 million in 2023, with net income dropping to $0.2 million from $2.9 million.
Communications Systems Revenue Drop
Communications Systems segment revenue declined by 55.1% compared to the previous year, mainly due to the timing of orders and supply chain disruptions.
Medical Battery Sales Decline
Medical battery sales declined by 47.2% compared to the previous year, when the highest level of medical sales in the company's history was recorded.
Gross Margin Decline
Consolidated gross margin decreased by 140 basis points from the previous year, due to lower medical battery sales and other cost factors.
Material Weakness in Internal Controls
Identified a material weakness in internal control processes, necessitating the search for additional qualified accounting personnel.
Company Guidance
In the Ultralife Corporation's fourth-quarter 2024 earnings call, several key metrics and guidance for future performance were discussed. The company reported Q4 sales of $43.9 million, with an operating income of $1.5 million and an EPS of $0.01, influenced by $1.1 million in one-time costs from the Electrochem acquisition. For the full year, sales reached $164.5 million, with an operating income of $10 million and an EPS of $0.38. The company noted a 48.1% increase in government/defense sales, offset by a 47.2% decline in medical battery sales. Gross profit was $10.6 million, with a margin of 24.2%, down from 25.6% in the previous year. The backlog stood at $102.2 million, representing 62% of TTM sales. Looking ahead to 2025, the company emphasized leveraging its recent acquisition of Electrochem Solutions, improving internal processes, and expanding its sales funnel to support growth, with expectations of realizing significant synergies and market expansion in both the Battery & Energy and Communications Systems segments.Ultralife Corporate Events
Private Placements and FinancingM&A TransactionsBusiness Operations and Strategy
Ultralife Completes Electrochem Acquisition and Secures Financing
Positive
Nov 6, 2024
Ultralife Corporation has completed the acquisition of Electrochem Solutions, Inc. for $50 million, enhancing its market position with advanced battery technology for military and industrial applications. The acquisition was financed through a new Credit and Security Agreement with KeyBank. This strategic move aims to capitalize on cost efficiencies and expand revenue opportunities by integrating Electrochem’s expertise and products into Ultralife’s operations, thereby strengthening its competitive edge across global markets.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.