Credit Suisse Initiates Coverage on Ubiquiti Networks (UBNT)
Analysts at Credit Suisse initiated coverage on shares of Ubiquiti Networks (NASDAQ:UBNT) in a research report issued to clients and investors on Wednesday, TheFlyOnTheWall.com reports. The firm set a “neutral” rating and a $33.00 price target on the stock. Credit Suisse’s price objective suggests a potential downside of 0.54% from the company’s current price.
The analysts wrote, “We believe that Ubiquiti has created a relatively unique business model that can disrupt several markets in the networking space over time. However, we believe shares are fully valued, with strong near-term revenue momentum offset by medium-term competitive risks and possible margin pressure. In the near term, we see possible upside to our revenue projections of $501mn for FY14 and $610mn for FY15, which are above consensus expectations. First, airMAX (65% of revenues) could see a continued rebound, given pent-up demand and the large opportunity in the WISP market. Second, UniFi is gaining traction in the WLAN segment. While the company’s ambition to be number one in unit terms may appear lofty, achieving this could add a further $180mn in revenues, or 30% to our estimates for FY15.”
Other equities research analysts have also recently issued reports about the stock. Analysts at Wunderlich raised their price target on shares of Ubiquiti Networks (NASDAQ:UBNT) from $33.00 to $40.00 in a research note to investors on Monday, August 26th. They now have a “buy” rating on the stock. Separately, analysts at Craig Hallum initiated coverage on shares of Ubiquiti Networks (NASDAQ:UBNT) in a research note to investors on Wednesday, August 21st. They set a “buy” rating on the stock. Finally, analysts at Zacks upgraded shares of Ubiquiti Networks (NASDAQ:UBNT) from a “neutral” rating to an “outperform” rating in a research note to investors on Tuesday, August 13th. They now have a $28.40 price target on the stock.
Four research analysts have rated the stock with a hold rating and seven have issued a buy rating to the stock. Ubiquiti Networks presently has a consensus rating of “Buy” and a consensus target price of $29.95.
Ubiquiti Networks (NASDAQ:UBNT) traded down 0.15% during mid-day trading on Wednesday, hitting $33.13. 201,777 shares of the company’s stock traded hands. Ubiquiti Networks has a one year low of $9.97 and a one year high of $37.40. The stock has a 50-day moving average of $29.60 and a 200-day moving average of $19.87. The company has a market cap of $2.887 billion and a price-to-earnings ratio of 37.28.
Ubiquiti Networks (NASDAQ:UBNT) last posted its quarterly earnings results on Thursday, August 8th. The company reported $0.33 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.27 by $0.06. The company had revenue of $101.20 million for the quarter, compared to the consensus estimate of $93.28 million. During the same quarter in the previous year, the company posted $0.30 earnings per share. The company’s revenue for the quarter was up 6.7% on a year-over-year basis. Analysts expect that Ubiquiti Networks will post $1.62 EPS for the current fiscal year.
In other Ubiquiti Networks news, major shareholder Peter Chung unloaded 13,000,000 shares of Ubiquiti Networks stock in a transaction dated Wednesday, September 11th. The shares were sold at an average price of $33.00, for a total value of $429,000,000.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Major shareholders that own more than 10% of a company’s shares are required to disclose their transactions with the SEC.
Ubiquiti Networks, Inc (NASDAQ:UBNT) is a communications technology Company.
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