Zacks Investment Research cut shares of Ubiquiti Networks (NASDAQ:UBNT) from a buy rating to a hold rating in a report issued on Monday morning.

According to Zacks, “Ubiquiti is enjoying impressive momentum in the UniFi product family, which has contributed strongly to top-line growth in recent times. The company’s shares have charted an impressive trajectory in the past six months, outperforming the industry's gain. Going forward, the company believes traction of the recently launched products will drive top-line growth. Ubiquiti expects its Enterprise Technology business to grab a higher market share in the rest of the fiscal year, fuelled by strong demand for its products. However, on the flip side, macroeconomic problems like currency risks, rising labor costs in key locations and natural disasters pose concerns for the company. Also, an extremely competitive environment, which includes big multinational wireless telecom players, poses a threat to the company. The company also faces issues with its sales channel and supply chain execution, which affects operations and can directly impact margins.”

UBNT has been the subject of a number of other research reports. JMP Securities reiterated a market perform rating on shares of Ubiquiti Networks in a research report on Wednesday, September 27th. BidaskClub upgraded Ubiquiti Networks from a buy rating to a strong-buy rating in a research report on Tuesday, December 19th. ValuEngine cut Ubiquiti Networks from a buy rating to a hold rating in a research report on Thursday, November 16th. Vetr cut Ubiquiti Networks from a hold rating to a sell rating and set a $71.07 price objective for the company. in a research report on Thursday, January 4th. Finally, BMO Capital Markets reduced their price objective on Ubiquiti Networks from $66.00 to $60.00 and set a positive rating for the company in a research report on Friday, November 10th. Two investment analysts have rated the stock with a sell rating, four have given a hold rating, one has issued a buy rating and one has issued a strong buy rating to the company. The company presently has a consensus rating of Hold and a consensus price target of $62.21.

Ubiquiti Networks (NASDAQ UBNT) traded down $0.13 during trading on Monday, reaching $73.52. The company had a trading volume of 145,000 shares, compared to its average volume of 248,717. The stock has a market capitalization of $5,780.00, a PE ratio of 23.34, a PEG ratio of 1.15 and a beta of 0.51. Ubiquiti Networks has a 12 month low of $45.71 and a 12 month high of $76.93.

Ubiquiti Networks (NASDAQ:UBNT) last posted its quarterly earnings data on Thursday, November 9th. The Wireless communications provider reported $0.92 EPS for the quarter, beating analysts’ consensus estimates of $0.86 by $0.06. The company had revenue of $245.90 million during the quarter, compared to analysts’ expectations of $240.39 million. Ubiquiti Networks had a return on equity of 45.45% and a net margin of 28.76%. Ubiquiti Networks’s revenue for the quarter was up 20.1% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.79 earnings per share. equities analysts predict that Ubiquiti Networks will post 3.35 EPS for the current fiscal year.

Ubiquiti Networks announced that its Board of Directors has approved a share repurchase program on Thursday, November 9th that authorizes the company to repurchase $50.00 million in shares. This repurchase authorization authorizes the Wireless communications provider to buy shares of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s leadership believes its stock is undervalued.

Institutional investors and hedge funds have recently modified their holdings of the business. PNC Financial Services Group Inc. increased its position in Ubiquiti Networks by 4.3% in the second quarter. PNC Financial Services Group Inc. now owns 1,958 shares of the Wireless communications provider’s stock worth $102,000 after buying an additional 80 shares in the last quarter. SG Americas Securities LLC purchased a new stake in Ubiquiti Networks in the second quarter worth about $144,000. Pacer Advisors Inc. increased its position in Ubiquiti Networks by 11.8% in the second quarter. Pacer Advisors Inc. now owns 3,019 shares of the Wireless communications provider’s stock worth $157,000 after buying an additional 319 shares in the last quarter. Gilder Gagnon Howe & Co. LLC purchased a new stake in Ubiquiti Networks in the third quarter worth about $178,000. Finally, Brown Advisory Inc. purchased a new stake in Ubiquiti Networks in the third quarter worth about $211,000. Institutional investors and hedge funds own 33.80% of the company’s stock.

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About Ubiquiti Networks

Ubiquiti Networks, Inc develops performance networking technology for service providers and enterprises. The Company offers a portfolio of networking products and solutions. Its service provider product platforms provide carrier-class network infrastructure for fixed wireless broadband, wireless backhaul systems and routing.

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