Unitil (UTL) AI Stock Analysis

• Market Cap: $932.29M
• Dividend Yield: 3.73%
• Average Volume (3M): 118.27K
• Price to Earnings (P/E): 17.5
• Beta (1Y): 0.13
• Revenue Growth: 1.03%
• EPS Growth: -0.78%
• Country: US
• Employees: 565
• Sector: Utilities
• Sector Strength: 65
• Industry: Diversified Utilities
• EPS (TTM): 1.10
• Shares Outstanding: 17,983,994
• 10 Day Avg. Volume: 84,360
• 30 Day Avg. Volume: 118,266
• PEG Ratio: 12.43
• Price to Book (P/B): 1.40
• Price to Sales (P/S): 1.59
• P/FCF Ratio: -15.84
• Enterprise Value/Market Cap: 1.99
• Enterprise Value/Revenue: 3.46
• Enterprise Value/Gross Profit: 8.39
• Enterprise Value/Ebitda: 9.38
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: $55.00 ▲(12.24% Upside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

UTL scores in the mid-range: improving margins and a supportive technical uptrend are key positives, along with reaffirmed guidance and a solid dividend. The main constraints are persistent negative free cash flow and elevated/rising leverage, with cost and interest expense pressure highlighted in the latest call.

Positive Factors

Regulated revenue model

Unitil’s core utility revenues are rate-regulated, giving it structurally predictable cash flows and the ability to recover approved costs and earn returns on infrastructure. This regulatory framework supports durable earnings stability and capital planning visibility over multi-year rate cycles.

Acquisitions & rate base growth

Successful integration of recent gas acquisitions and a disclosed 10% annual rate base growth target through 2029 indicate structural expansion of the regulated asset base. Growing rate base should increase allowed returns and regulated revenue over time if regulators approve cost recovery.

Improving margins & revenue rebound

Unitil’s recent step-up in gross and operating margins alongside revenue recovery demonstrates improving underlying operating economics. Sustained higher margins imply better cash generation potential per dollar of revenue and more durable earnings power if maintained through efficiency and scale.

Negative Factors

Negative free cash flow

Consistently negative free cash flow signals that operating cash generation does not cover capital investment needs, implying ongoing reliance on external financing for capex and acquisitions. Over months to years this raises funding risk and constrains optionality for nonregulated investments.

Rising leverage

Material growth in debt and a higher debt-to-equity ratio increase interest expense sensitivity and reduce financial flexibility. Elevated leverage can pressure credit metrics and raise the cost of capital, making rate case timing and financing access more critical for sustaining growth plans.

Rising O&M, depreciation & interest pressure

Higher recurring O&M, depreciation, and interest costs compress margins and reduce free cash flow unless offset by rate recoveries or efficiency gains. Regulatory lag in recovering these expenses can prolong margin pressure and make earnings more sensitive to cost and rate-case outcomes over multiple quarters.

Unitil Business Overview & Revenue Model

Company Description

Unitil Corporation, a public utility holding company, engages in the distribution of electricity and natural gas. It operates through three segments: Utility Electric Operations, Utility Gas Operations, and Non-Regulated. The company distributes electricity in the southeastern seacoast and state capital regions of New Hampshire, and the greater Fitchburg area of north central Massachusetts; and distributes natural gas in southeastern New Hampshire and portions of southern and central Maine, including the city of Portland and the Lewiston-Auburn area, as well as the greater Fitchburg area of north central Massachusetts. It also operates 86 miles of interstate underground natural gas transmission pipeline that provides interstate natural gas pipeline access and transportation services primarily in Maine and New Hampshire. In addition, the company provides energy brokering and advisory services to commercial and industrial customers; and real estate management services. It serves approximately 107,700 electric customers and 86,600 natural gas customers. Unitil Corporation was incorporated in 1984 and is headquartered in Hampton, New Hampshire.

How the Company Makes Money

Unitil generates revenue primarily through the provision of utility services, which includes the sale of electricity and natural gas to its customers. The company's revenue model is mainly based on regulated utility rates set by state public utility commissions. These rates allow Unitil to recover its costs and earn a regulated return on its investments in infrastructure. Key revenue streams include distribution charges for electricity and natural gas, as well as additional fees for energy efficiency programs and services. Unitil may also engage in partnerships with local governments and organizations to develop energy efficiency initiatives, which can provide additional revenue opportunities. Factors contributing to its earnings include customer growth, energy demand, regulatory approval of rate increases, and efficient operational management.

Unitil Financial Statement Overview

Summary

Profitability improved meaningfully in 2025 (gross margin 42.6%, EBIT margin 20.8%) and revenue rebounded, but financial quality is constrained by consistently negative free cash flow (-$53.8M in 2025) and rising leverage (debt-to-equity 1.54), increasing reliance on external funding for capex and acquisitions.

Income Statement

Revenue has grown over the period (from $418.6M in 2020 to $536.0M in 2025), with a rebound in 2025 (+6.8% YoY) after a weak 2024. Profitability has improved structurally: gross margin expanded to 42.6% in 2025 from ~30–36% earlier, and operating profitability strengthened (EBIT margin 20.8%, EBITDA margin 38.1%). Net margin is steady around ~7–10% (9.4% in 2025), showing consistent earnings power, though overall revenue growth has been uneven year to year.

Balance Sheet

The balance sheet has grown (assets $2.15B in 2025 vs. $1.52B in 2020), but leverage is elevated and rising: debt increased to $938.7M in 2025 from $755.8M in 2024 and $591.9M in 2020, with debt-to-equity at 1.54 in 2025. Returns on equity are respectable but not accelerating (about 8–9% across years, 8.2% in 2025), suggesting higher debt has not translated into meaningfully higher shareholder returns, which adds financial risk if rates or funding needs rise.

Cash Flow

Operating cash flow is positive and gradually higher ($131.3M in 2025 vs. $75.7M in 2020), but free cash flow is consistently negative (about -$7.2M to -$53.8M, with -$53.8M in 2025). Cash generation is therefore not covering ongoing investment needs, implying continued reliance on financing. The relationship between operating cash flow and earnings is mixed (coverage was stronger in 2024 at ~0.55 but weaker in 2025 at ~0.31), adding volatility to funding flexibility.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	536.00M	494.80M	557.10M	563.20M	473.30M
Gross Profit	221.20M	196.60M	183.00M	169.00M	161.80M
EBITDA	198.00M	174.90M	160.70M	143.50M	134.30M
Net Income	50.20M	47.10M	45.20M	41.40M	36.10M
Balance Sheet
Total Assets	2.15B	1.79B	1.67B	1.59B	1.54B
Cash, Cash Equivalents and Short-Term Investments	15.60M	6.30M	6.50M	9.00M	6.50M
Total Debt	938.70M	755.80M	681.60M	616.10M	578.20M
Total Liabilities	1.54B	1.28B	1.18B	1.12B	1.09B
Stockholders Equity	609.60M	512.50M	489.30M	467.60M	448.50M
Cash Flow
Free Cash Flow	-53.80M	-44.00M	-34.00M	-24.40M	-7.20M
Operating Cash Flow	131.30M	125.90M	107.00M	97.70M	107.80M
Investing Cash Flow	-345.50M	-169.90M	-141.00M	-122.10M	-115.00M
Financing Cash Flow	223.50M	43.80M	31.50M	26.90M	7.70M

Unitil Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 49.00
• 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 UTL, the sentiment is Positive. The current price of 49 is below the 20-day moving average (MA) of 50.90, below the 50-day MA of 49.65, and below the 200-day MA of 49.00, indicating a bullish trend. The MACD of 0.72 indicates Negative momentum. The RSI at 58.83 is Neutral, neither overbought nor oversold. The STOCH value of 52.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UTL.

Unitil Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OTTR	72 Outperform	$3.61B	13.05	16.10%	2.54%	-3.18%	-8.62%
MGEE	66 Neutral	$3.02B	22.11	10.80%	2.36%	8.26%	12.47%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
UTL	64 Neutral	$932.29M	17.52	8.51%	3.73%	1.03%	-0.78%
NWE	64 Neutral	$4.27B	23.52	―	4.09%	4.90%	-4.42%
AVA	60 Neutral	$3.47B	18.14	7.31%	5.10%	2.14%	-6.51%
HE	59 Neutral	$2.71B	20.66	7.14%	―	-16.62%	―

Unitil Corporate Events

Unitil Extends Aquarion Water Utility Acquisition Agreement

On February 19, 2026, Unitil restructured its at-the-market equity distribution program originally established on June 3, 2025, terminating Janney Montgomery Scott LLC as an agent, forward seller, and forward purchaser, and inserting Huntington Securities, Inc. into those roles alongside Scotia Capital (USA) Inc. and The Bank of Nova Scotia. The move preserves Unitil’s capacity to sell up to $50 million of common stock under an existing automatic shelf registration, maintaining financial flexibility to support strategic transactions while formalizing its ongoing banking and advisory ties with The Bank of Nova Scotia around recent gas and water utility acquisitions.

Separately, on February 23, 2026, Unitil entered Amendment No. 2 to its May 6, 2025 Purchase and Sale Agreement to acquire Aquarion Water Company of Massachusetts, Aquarion Water Company of New Hampshire, and Abenaki Water Co., extending the agreement’s termination date from February 23, 2026 to May 25, 2026. The extension underscores Unitil’s continuing commitment to closing the Aquarion-related water utility acquisitions, which are expected to broaden its regulated utility portfolio, while leaving all other purchase terms unchanged and confirming that the parties have no material relationships beyond the transaction documents.

The most recent analyst rating on (UTL) stock is a Buy with a $58.00 price target. To see the full list of analyst forecasts on Unitil stock, see the UTL Stock Forecast page.

Unitil updates executive equity compensation and performance awards

On January 27, 2026, Unitil’s Compensation Committee approved further amendments to its equity compensation practices for executive officers and senior management, refining the treatment of dividends on restricted stock while maintaining a structure that grants annual awards split evenly between time-vested and performance-vested restricted shares. Time Restricted Shares continue to vest in 25% increments over four years, while Performance Restricted Shares vest after a three-year period based on achieving specified thresholds for average return on common equity and growth in book value per share over 2026–2028, with potential for vesting above 100% of the target through issuance of additional shares if maximum goals are exceeded. On the same date, the company granted new tranches of Time Restricted Shares and Performance Restricted Shares to its top executives, including CEO Thomas P. Meissner Jr., CFO Daniel J. Hurstak and other named officers, and also issued unrestricted common shares to these executives as a result of Unitil exceeding combined target performance goals for ROE and book value growth over the 2023–2025 period under awards originally granted in 2023, reinforcing a pay-for-performance model that ties leadership compensation closely to long-term financial outcomes.

The most recent analyst rating on (UTL) stock is a Buy with a $55.00 price target. To see the full list of analyst forecasts on Unitil stock, see the UTL Stock Forecast page.

Unitil Extends Water Utility Acquisition Agreement Termination Date

On January 23, 2026, Unitil Corporation amended its May 6, 2025 Purchase and Sale Agreement with Aquarion Water Authority and the South Central Connecticut Regional Water Authority, extending the agreement’s termination date from January 23, 2026 to February 23, 2026. The amendment keeps all other terms of the acquisition of Aquarion’s Massachusetts and New Hampshire water businesses and Abenaki Water Co. unchanged, signaling Unitil’s continued commitment to closing the transaction while underscoring that there are no other material relationships between the parties beyond this deal.

The most recent analyst rating on (UTL) stock is a Hold with a $55.00 price target. To see the full list of analyst forecasts on Unitil stock, see the UTL Stock Forecast page.

Unitil announces planned corporate secretary leadership transition

On December 15, 2025, Unitil Corporation announced that longtime Corporate Secretary Sandra L. Whitney will retire and resign from the company and its subsidiaries effective at the end of the day on December 31, 2025, marking a planned leadership transition in its corporate governance function. As part of its succession plan, the company will appoint Senior Vice President and General Counsel Carleton B. Simpson as Corporate Secretary effective January 1, 2026, with Whitney remaining as a consultant through April 30, 2026 to support the handover of duties, signaling a structured approach to continuity and operational stability in its legal and compliance operations.

The most recent analyst rating on (UTL) stock is a Hold with a $52.00 price target. To see the full list of analyst forecasts on Unitil stock, see the UTL Stock Forecast page.