Universal Electronics (NASDAQ:UEIC) Announces Quarterly Earnings Results

Universal Electronics (NASDAQ:UEIC) issued its quarterly earnings results on Thursday. The technology company reported $0.17 earnings per share for the quarter, beating the consensus estimate of $0.10 by $0.07, FiscalAI reports. Universal Electronics had a positive return on equity of 2.70% and a negative net margin of 4.57%. The company had revenue of $89.42 million during the quarter, compared to the consensus estimate of $76.97 million.

Here are the key takeaways from Universal Electronics’ conference call:

• Third-quarter sales were $89.4 million, down 1.3% year over year but up 22% sequentially. Connected Home grew 13.4%, led by HVAC, while Home Entertainment fell as subscription-broadcast demand continued to decline.
• Adjusted gross margin fell to 26.3% from 29.1%, pressured by higher component costs and a stronger Chinese renminbi. The company says pricing adjustments and surcharges are expected to recover roughly three-quarters of identified inflation, with most benefits beginning in Q1 2027.
• Cost reductions helped adjusted non-GAAP operating expenses fall 20% to $19.9 million, while adjusted EPS rose to $0.17 from $0.08 a year ago. Further actions taken in August and October are expected to deliver about $2.5 million in annualized savings.
• UEI reaffirmed its fiscal 2026 adjusted EPS guidance of $0.45–$0.65, after delivering $0.42 through nine months. Cash increased $9.1 million year to date to $41.4 million, and borrowings under credit lines declined; management expects inventory to build modestly in Q4 as it secures materials for 2027.

Universal Electronics Price Performance

NASDAQ:UEIC traded up $0.66 during trading hours on Friday, reaching $5.52. 317,269 shares of the company were exchanged, compared to its average volume of 52,389. The firm has a market cap of $71.15 million, a price-to-earnings ratio of -9.68 and a beta of 1.30. Universal Electronics has a 52-week low of $2.69 and a 52-week high of $5.99. The stock has a 50 day simple moving average of $5.13 and a 200 day simple moving average of $4.49.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on the company. Wall Street Zen downgraded Universal Electronics from a “strong-buy” rating to a “buy” rating in a research report on Sunday, November 1st. Weiss Ratings reiterated a “sell (d-)” rating on shares of Universal Electronics in a research report on Friday, September 18th. Rosenblatt Securities reiterated a “neutral” rating and set a $5.00 target price on shares of Universal Electronics in a research report on Friday, August 7th. Finally, Zacks Research raised Universal Electronics to a “hold” rating in a research note on Monday, October 5th. Three equities research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Universal Electronics has an average rating of “Reduce” and an average price target of $4.25.

Insider Activity

In other news, insider Toro 18 Holdings Llc sold 105,541 shares of the business’s stock in a transaction on Friday, September 11th. The shares were sold at an average price of $4.63, for a total transaction of $488,654.83. Following the completion of the sale, the insider directly owned 1,101,832 shares of the company’s stock, valued at $5,101,482.16. The trade was a 8.74% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Over the last three months, insiders have sold 442,815 shares of company stock worth $2,201,304. 17.10% of the stock is owned by insiders.

Universal Electronics Company Profile

Universal Electronics Inc (NASDAQ: UEIC) designs, develops and distributes consumer electronics products and technologies that simplify the control of home entertainment and smart-home devices. Its offerings include universal remote controls, wireless home-control products, audio and video accessories, and related software and connected-device solutions.

The company serves original equipment manufacturers, subscription television providers, retailers and consumers. Its products are marketed under the One For All and other company brands, as well as through private-label and licensed-brand arrangements.