Universal Electronics (NASDAQ:UEIC) Issues Quarterly Earnings Results

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

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 Stock Down 6.2%

Shares of NASDAQ:UEIC traded down $0.32 during trading on Thursday, hitting $4.86. 135,446 shares of the company traded hands, compared to its average volume of 57,959. The business’s fifty day moving average is $5.10 and its 200-day moving average is $4.48. The stock has a market capitalization of $62.65 million, a price-to-earnings ratio of -4.19 and a beta of 1.30. Universal Electronics has a one year low of $2.69 and a one year high of $5.99.

Wall Street Analysts Forecast Growth

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

Insider Transactions at Universal Electronics

In other Universal Electronics news, major shareholder Toro 18 Holdings Llc sold 200,000 shares of Universal Electronics stock in a transaction on Monday, August 10th. The stock was sold at an average price of $5.22, for a total transaction of $1,044,000.00. Following the sale, the insider owned 1,344,647 shares of the company’s stock, valued at $7,019,057.34. The trade was a 12.95% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Over the last three months, insiders sold 442,815 shares of company stock valued at $2,201,304. Corporate insiders own 17.10% of the company’s stock.

About Universal Electronics

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.