Uniti Group (UNIT) AI Stock Analysis

• Market Cap: $1.11B
• Dividend Yield: 3.31%
• Average Volume (3M): 1.74M
• Price to Earnings (P/E): 17.3
• Beta (1Y): 0.91
• Revenue Growth: 2.44%
• EPS Growth: 305.26%
• Country: US
• Employees: 758
• Sector: Real Estate
• Sector Strength: 55
• Industry: REIT - Specialty
• EPS (TTM): 0.05
• Shares Outstanding: 245,453,410
• 10 Day Avg. Volume: 1,978,064
• 30 Day Avg. Volume: 1,738,473
• PEG Ratio: 1.15
• Price to Book (P/B): -0.57
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 40.02
• Enterprise Value/Market Cap: 5.87
• Enterprise Value/Revenue: 1.34
• Enterprise Value/Gross Profit: 7.85
• Enterprise Value/Ebitda: 1.83
• 1Y Price Target: $6.45
• Price Target Upside: 42.38% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 57 Neutral
• Price Target: $4.50 ▼(-0.66%Downside)

The overall stock score reflects mixed financial performance and technical signals, balanced by positive earnings outlook and strategic corporate actions. Key strengths include revenue growth and effective strategic initiatives, while financial leverage and market volatility remain as significant risks.

Positive Factors

Fiber Demand

Fiber demand remains tariff and recessionary resistant with a strong lease-up mix.

Growth Potential

Kinetic plans to significantly accelerate its fiber-to-the-home (FTTH) build, suggesting increased future growth potential.

Negative Factors

Financial Guidance

Interest expense guidance was increased by $3mn and net income attributable to common shareholders was reduced 4.7% at the mid-point.

Leadership and Strategy

The acceleration of FTTH deployment means higher upfront capital expenditure, resulting in more free cash flow pressure.

Uniti Group Business Overview & Revenue Model

Company Description

Uniti Group Inc. (UNIT) is a real estate investment trust (REIT) that focuses on the acquisition and construction of mission-critical communications infrastructure. The company primarily operates in the United States and provides infrastructure solutions to the communications industry. Uniti's core products and services include leasing towers, fiber optic networks, and other communication-related infrastructure to telecommunications providers.

How the Company Makes Money

Uniti Group Inc. generates revenue primarily through leasing its communication infrastructure assets, such as fiber networks and wireless towers, to telecommunications companies. The company enters into long-term lease agreements with its customers, which provides a stable and predictable revenue stream. Additionally, Uniti may engage in strategic partnerships and acquisitions to expand its asset portfolio and enhance its service offerings. The revenue is further supported by the growing demand for high-speed data and network connectivity, driven by the proliferation of mobile devices, streaming services, and cloud-based applications.

Uniti Group Financial Statement Overview

Summary

Uniti Group exhibits mixed financial performance. While there is strong revenue growth and operational efficiency, significant challenges exist with profitability and financial leverage, particularly highlighted by negative equity and volatile free cash flow.

Income Statement

The company has shown steady revenue growth over the years, with a recent TTM revenue increase. Gross profit margin and EBIT margin are strong, indicating effective cost management and operational efficiency. However, net profit margin is relatively low, suggesting issues with profitability. The recent decline in net income also indicates a potential risk in maintaining profitability.

Balance Sheet

The company is highly leveraged, with negative stockholders' equity indicating financial instability. The debt-to-equity ratio is unfavorable due to negative equity, highlighting a risk in financial health. Despite this, the company maintains a substantial asset base, which provides some stability.

Cash Flow

Operating cash flow remains positive, demonstrating adequate cash generation from operations. However, free cash flow has been volatile, turning negative in recent periods, which may affect the company's ability to invest and manage debt. The operating cash flow to net income ratio indicates that cash generation is relatively strong compared to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.17B	1.17B	1.15B	1.13B	1.10B	1.07B
Gross Profit	831.91M	711.74M	695.03M	1.12B	1.10B	907.70M
EBITDA	874.47M	882.80M	642.35M	891.99M	833.92M	92.42M
Net Income	63.96M	91.31M	-81.71M	-10.49M	123.66M	-718.91M
Balance Sheet
Total Assets	5.29B	5.28B	5.03B	4.85B	4.81B	4.73B
Cash, Cash Equivalents and Short-Term Investments	91.96M	155.59M	62.26M	43.80M	58.90M	77.53M
Total Debt	6.07B	5.88B	5.63B	5.27B	5.11B	4.83B
Total Liabilities	7.73B	7.73B	7.51B	7.12B	6.92B	6.80B
Stockholders Equity	-2.44B	-2.45B	-2.49B	-2.27B	-2.13B	-2.14B
Cash Flow
Free Cash Flow	-25.66M	11.86M	-63.87M	32.55M	113.30M	-159.85M
Operating Cash Flow	369.30M	366.69M	353.13M	460.12M	499.16M	157.23M
Investing Cash Flow	-392.36M	-272.20M	-411.31M	-392.02M	-321.22M	1.39M
Financing Cash Flow	102.82M	27.08M	76.64M	-78.58M	-196.57M	-223.91M

Uniti Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.53
• 50DMA: Positive
• 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 UNIT, the sentiment is Positive. The current price of 4.53 is above the 20-day moving average (MA) of 4.25, above the 50-day MA of 4.40, and below the 200-day MA of 5.17, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 61.33 is Neutral, neither overbought nor oversold. The STOCH value of 79.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UNIT.

Uniti Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOR	77 Outperform	$1.16B	6.85	10.81%	―	-5.60%	-17.86%
Sector *	64 Neutral	$6.97B	18.61	-1.93%	6.82%	4.65%	-25.39%
CIM	63 Neutral	$1.14B	9.47	8.09%	10.52%	7.13%	64.82%
SAFE	62 Neutral	$1.10B	10.38	4.51%	4.61%	1.54%	―
FBRT	62 Neutral	$1.00B	16.51	5.07%	12.98%	-6.28%	-49.57%
DX	60 Neutral	$1.37B	16.46	6.01%	16.00%	73.74%	-34.10%
UNIT	57 Neutral	$1.11B	17.28	-3.72%	3.31%	2.44%	305.26%

Uniti Group Corporate Events

Uniti Group Completes $600M Senior Notes Offering

On June 24, 2025, Uniti Group Inc. subsidiaries completed a private offering of $600 million in 8.625% Senior Notes due 2032. The proceeds were used to partially redeem existing 10.50% senior notes due 2028 and for general corporate purposes. This financial maneuver is expected to impact the company’s debt structure by reducing interest expenses and extending debt maturity, potentially improving its financial flexibility and positioning within the industry.

The most recent analyst rating on (UNIT) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on Uniti Group stock, see the UNIT Stock Forecast page.

Uniti Group Announces $600 Million Notes Offering

On June 9, 2025, Uniti Group announced the pricing of a $600 million offering of 8.625% senior unsecured notes due 2032 by its subsidiaries. The proceeds from this offering are intended to fund the partial redemption of $500 million of their outstanding 10.50% senior notes due 2028, with the remainder used for general corporate purposes. This move is part of Uniti’s strategy to manage its debt obligations and improve its financial flexibility.

The most recent analyst rating on (UNIT) stock is a Sell with a $3.50 price target. To see the full list of analyst forecasts on Uniti Group stock, see the UNIT Stock Forecast page.

Uniti Group Announces $600 Million Senior Notes Offering

On June 9, 2025, Uniti Group Inc. announced a $600 million offering of senior notes due 2032 by its subsidiaries, with the proceeds intended to fund the partial redemption of $500 million of their outstanding 10.50% senior notes due 2028. The redemption is scheduled for June 24, 2025, and the remaining proceeds will be used for general corporate purposes. This move is part of Uniti’s strategic financial management and could impact its debt structure and financial flexibility.

The most recent analyst rating on (UNIT) stock is a Sell with a $3.50 price target. To see the full list of analyst forecasts on Uniti Group stock, see the UNIT Stock Forecast page.

Uniti Group Holds Virtual Annual Stockholders Meeting

On May 29, 2025, Uniti Group Inc. held its annual meeting of stockholders virtually, where three proposals were voted on. The stockholders elected five directors to the board, approved executive compensation, and ratified PricewaterhouseCoopers LLP as the independent auditor for 2025, reflecting continued shareholder support for the company’s leadership and financial oversight.

The most recent analyst rating on (UNIT) stock is a Sell with a $3.50 price target. To see the full list of analyst forecasts on Uniti Group stock, see the UNIT Stock Forecast page.

Uniti Group Progresses Towards Merger with Windstream

Windstream Holdings II, LLC, a successor to Windstream Holdings, Inc., reported its financial results for the quarter ending March 31, 2025. The company highlighted a continued expansion of its fiber network, with 38,000 new premises constructed, increasing fiber coverage to 38% in its Kinetic markets. Fiber subscriber growth was robust, with a 16% year-over-year increase, and fiber penetration reached 28%. The company also reported a 20% year-over-year growth in fiber subscriber revenue. Additionally, Windstream completed a sale of IPv4 assets for over $25 million and achieved an adjusted EBITDAR of $370 million, up $40 million sequentially. The company is progressing towards a planned merger with Uniti Group, expected to close in the early second half of 2025.

Uniti Group Approves New Equity Grant Agreements

On April 16, 2025, Uniti Group‘s Board approved new grant agreements for restricted shares and stock unit awards under its 2015 Equity Incentive Plan, aligning terms for vesting upon retirement, death, disability, and changes in control. Additionally, Harold Zeitz was nominated for election to the Board, bringing extensive industry experience, while Jennifer Banner will not seek re-election after a decade of service.