Uniti Group (UNIT) AI Stock Analysis

• Market Cap: $1.99B
• Dividend Yield: N/A
• Average Volume (3M): 2.00M
• Price to Earnings (P/E): 1.6
• Beta (1Y): 0.49
• Revenue Growth: 38.93%
• EPS Growth: 952.55%
• Country: US
• Employees: 758
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Specialty
• EPS (TTM): 4.92
• Shares Outstanding: 239,036,330
• 10 Day Avg. Volume: 2,186,475
• 30 Day Avg. Volume: 1,996,930
• PEG Ratio: -0.07
• Price to Book (P/B): -0.55
• Price to Sales (P/S): 1.16
• P/FCF Ratio: 114.20
• Enterprise Value/Market Cap: 5.89
• Enterprise Value/Revenue: 7.27
• Enterprise Value/Gross Profit: 8.83
• Enterprise Value/Ebitda: 5.51
• 1Y Price Target: $6.90
• Price Target Upside: -14.81% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): -0.7
• Revenue Forecast (FY): $3.63B

• Rating: 58 Neutral
• Price Target: $8.50 ▲(4.94% Upside)

The score is held back primarily by balance-sheet risk and weak/negative TTM free cash flow despite strong recent revenue growth. Technicals are supportive but not strongly bullish, while the very low P/E and generally positive strategic/financing updates provide partial offset.

Positive Factors

Fiber Revenue Growth & Net Adds

Sustained double-digit fiber revenue growth and elevated net adds reflect durable demand for high‑speed connectivity. This shifts Uniti’s revenue mix toward recurring fiber income, improving long‑term revenue visibility and positioning the business to scale margins as penetration and ARPU rise.

Scale from Windstream Merger

The Windstream merger materially expanded Uniti’s national wholesale fiber footprint, delivering scale benefits, broader market access and stronger positioning for large hyperscaler opportunities. Greater scale supports competitive pricing, cross‑sell, and improved returns on incremental fiber builds.

Long-term Contracts & Network Expansion

Multi‑decade, high‑value dark fiber contracts and route‑mile builds provide durable revenue backlog and underpinable cash flows. Long dated customer commitments reduce demand volatility, support securitization, and align assets with secular AI/hyperscaler bandwidth growth.

Negative Factors

Very High Leverage

Extremely elevated debt and intermittent negative equity materially constrain financial flexibility. High leverage increases refinancing, covenant and interest‑cost risk, limiting ability to fund organic builds and respond to downturns without dilutive or expensive external financing.

Negative Free Cash Flow

Negative trailing free cash flow despite operating cash generation signals weak cash conversion and heavy capex or working capital needs. This undermines the company’s ability to self‑fund growth and deleveraging, increasing dependency on capital markets for sustainment.

Ongoing Reliance on External Financing

Frequent large debt issuances and securitizations show structural reliance on capital markets to refinance term loans and fund builds. This creates execution risk from market dislocations, regulatory approvals for guarantees, and potential higher funding costs over time if leverage falls slowly.

Uniti Group Business Overview & Revenue Model

Company Description

Uniti, an internally managed real estate investment trust, is engaged in the acquisition and construction of mission critical communications infrastructure, and is a leading provider of wireless infrastructure solutions for the communications industry. As of September 30, 2020, Uniti owns 6.7 million fiber strand miles and other communications real estate throughout the United States.

How the Company Makes Money

Uniti Group generates revenue primarily through long-term lease agreements with major telecommunications companies. The company derives its income from leasing its fiber and tower assets, which provide critical infrastructure for broadband and data services. These leases typically involve fixed monthly payments, offering a stable revenue stream. Additionally, Uniti may engage in build-to-suit arrangements, where it constructs customized infrastructure for specific clients, further enhancing its income potential. Partnerships with key telecommunications providers are essential for Uniti's business model, as they ensure a consistent demand for its services and assets, contributing significantly to the company's overall earnings.

Uniti Group Financial Statement Overview

Summary

Revenue growth improved sharply (TTM +36.5%), but overall fundamentals are constrained by very high leverage (historically negative equity; TTM debt-to-equity ~14.5x) and weak cash conversion (TTM free cash flow -$81M despite unusually high TTM profitability), raising sustainability and refinancing-risk concerns.

Income Statement

Revenue accelerated sharply in TTM (Trailing-Twelve-Months) (+36.5%) versus low-single-digit growth in prior annual periods. Profitability is volatile: annual net income swung from a large loss (2020) to modest profits (2021, 2024) and small losses (2022–2023), while TTM shows unusually high margins that appear non-recurring in nature. Overall, the top-line trajectory improved, but earnings quality/consistency is a key concern.

Balance Sheet

Leverage is the main weakness. Total debt is very large relative to the business (TTM total debt ~$9.9B), and the company has exhibited negative equity in multiple annual periods (2020–2024), which limits financial flexibility and increases refinancing risk. While TTM shows positive equity, debt remains high (debt-to-equity ~14.5x), keeping the balance sheet risk profile elevated.

Cash Flow

Operating cash flow has been positive across periods, supporting the core business, but free cash flow is inconsistent and turns negative in TTM (Trailing-Twelve-Months) (-$81M) after being only modestly positive in 2024. Cash generation also appears weak relative to reported TTM profitability (free cash flow is negative while net income is very high), raising questions about sustainability and the ability to self-fund capital needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.61B	1.17B	1.15B	1.13B	1.10B	1.07B
Gross Profit	1.33B	1.17B	992.42M	1.13B	946.11M	843.83M
EBITDA	2.12B	879.31M	889.68M	641.76M	844.93M	738.85M
Net Income	1.60B	93.41M	-81.71M	-8.28M	123.66M	-706.30M
Balance Sheet
Total Assets	12.08B	5.28B	5.03B	4.85B	4.81B	4.73B
Cash, Cash Equivalents and Short-Term Investments	158.00M	155.59M	62.26M	43.80M	58.90M	77.53M
Total Debt	9.87B	5.88B	5.63B	5.27B	5.16B	4.83B
Total Liabilities	11.40B	7.73B	7.51B	7.12B	6.92B	6.80B
Stockholders Equity	680.70M	-2.45B	-2.49B	-2.27B	-2.13B	-2.14B
Cash Flow
Free Cash Flow	-81.16M	11.86M	-63.87M	32.55M	113.30M	-159.85M
Operating Cash Flow	415.42M	366.69M	353.13M	460.12M	499.16M	157.23M
Investing Cash Flow	-715.20M	-272.20M	-411.31M	-392.02M	-321.22M	1.39M
Financing Cash Flow	478.35M	27.08M	76.64M	-78.58M	-196.57M	-223.91M

Uniti Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.10
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• 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 8.1 is above the 20-day moving average (MA) of 7.55, above the 50-day MA of 7.07, and above the 200-day MA of 6.99, indicating a bullish trend. The MACD of 0.21 indicates Negative momentum. The RSI at 63.89 is Neutral, neither overbought nor oversold. The STOCH value of 64.83 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
EQIX	73 Outperform	$80.60B	75.16	7.72%	2.47%	5.36%	-1.68%
AMT	69 Neutral	$83.93B	28.59	77.38%	3.76%	-5.33%	163.89%
SBAC	67 Neutral	$19.62B	23.18	―	2.31%	4.82%	25.24%
WY	66 Neutral	$18.58B	57.57	―	3.57%	-1.64%	-37.58%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
UNIT	58 Neutral	$1.99B	1.60	―	―	38.93%	952.55%
CCI	45 Neutral	$37.80B	-11.16	-276.36%	5.44%	-26.56%	-369.24%

Uniti Group Corporate Events

Uniti Group Upsizes Senior Notes Offering to $1 Billion

On January 21, 2026, Uniti Group announced that its subsidiaries priced an upsized $1.0 billion offering of 8.625% senior notes due 2032, doubling the amount from a previously planned $500 million and setting the issue price at 100.25%, with guarantees from the parent company and most restricted subsidiaries, and an expected closing on February 4, 2026. The company plans to use the proceeds primarily to repay borrowings under Uniti Services’ senior secured first lien term loan due 2031 and for general corporate purposes, a move that is set to reshape portions of its capital structure, potentially reduce secured debt and extend its debt maturity profile while the notes remain available only to qualified institutional and certain offshore investors under private placement rules.

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

Uniti Group Launches $500 Million Senior Notes Offering

On January 21, 2026, Uniti Group announced that several of its subsidiaries had launched a private offering of $500 million in 8.625% senior notes due 2032, guaranteed on a senior unsecured basis by the parent company, Uniti Group LLC and most of Uniti Services’ restricted subsidiaries that back its senior secured credit facilities and existing notes. The transaction is structured so that, after required regulatory approvals and guarantees from certain regulated subsidiaries, the new notes are expected to be exchanged into additional 8.625% senior notes due 2032 under an existing 2025 indenture, effectively augmenting the same series of securities, while the net proceeds, together with cash on hand, are earmarked to repay borrowings under Uniti Services’ senior secured first lien term loan facility due 2031 and cover related fees and expenses, signaling a continued focus on refinancing and optimizing the group’s capital structure through targeted institutional debt markets.

The most recent analyst rating on (UNIT) stock is a Sell 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 Prices Major Fiber Network Securitization Notes

On January 15, 2026, Uniti Group announced that its bankruptcy-remote subsidiary Kinetic ABS Issuer LLC had priced a $960.1 million securitization of secured fiber network revenue term notes, spanning three tranches with a weighted average coupon of about 5.689% and anticipated repayment in February 2031. The notes, expected to close on January 30, 2026, will be secured by residential fiber network assets and customer contracts in Arkansas, Georgia, Kentucky, Ohio and Texas, and will sit in unrestricted subsidiaries under Uniti’s existing debt documents; the Issuer also plans to put in place a $150 million variable funding note facility and a separate liquidity funding note facility, while Uniti intends to direct net proceeds to general corporate purposes, including potential capex and debt repayment, signaling an effort to optimize its capital structure and support continued fiber build-out in key regional markets.

The most recent analyst rating on (UNIT) stock is a Hold with a $8.50 price target. To see the full list of analyst forecasts on Uniti Group stock, see the UNIT Stock Forecast page.

Uniti Group Launches Major Fiber Network Securitization Offering

On January 8, 2026, Uniti Group Inc. announced that its bankruptcy-remote subsidiary Kinetic ABS Issuer LLC has launched an offering of approximately $960.1 million in secured fiber network revenue term notes, expected to be repaid by February 2031 and backed by residential fiber network assets and customer contracts in Arkansas, Georgia, Kentucky, Ohio and Texas. The structure, which also includes a planned $150 million variable funding note facility and an additional liquidity funding note facility governed under the same indenture, is aimed at supporting Uniti’s financing flexibility, with proceeds earmarked for general corporate purposes such as success-based capital spending and debt repayment; the transaction underscores Uniti’s increasing use of securitization tied to its residential fiber footprint and may influence its leverage profile and capital allocation strategy while being targeted exclusively at qualified institutional buyers and offshore investors under private offering exemptions.

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