uCloudlink Group Inc.
uCloudlink Group Inc. Fundamental Analysis
uCloudlink Group Inc. (UCL) shows moderate financial fundamentals with a PE ratio of 10.64, profit margin of 9.23%, and ROE of 32.40%. The company generates $0.0B in annual revenue with moderate year-over-year growth of 7.08%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 59.3/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze UCL's fundamental strength across five key dimensions:
Efficiency Score
ExcellentUCL demonstrates superior asset utilization.
Valuation Score
ExcellentUCL trades at attractive valuation levels.
Growth Score
ExcellentUCL delivers strong and consistent growth momentum.
Financial Health Score
ExcellentUCL maintains a strong and stable balance sheet.
Profitability Score
WeakUCL struggles to sustain strong margins.
Key Financial Metrics
Is UCL Expensive or Cheap?
P/E Ratio
UCL trades at 10.64 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, UCL's PEG of 0.02 indicates potential undervaluation.
Price to Book
The market values uCloudlink Group Inc. at 2.64 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 2.74 times EBITDA. This is generally considered low.
How Well Does UCL Make Money?
Net Profit Margin
For every $100 in sales, uCloudlink Group Inc. keeps $9.23 as profit after all expenses.
Operating Margin
Core operations generate 9.22 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $32.40 in profit for every $100 of shareholder equity.
ROA
uCloudlink Group Inc. generates $11.06 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
uCloudlink Group Inc. generates limited operating cash flow of $-81.12K, signaling weaker underlying cash strength.
Free Cash Flow
uCloudlink Group Inc. generates weak or negative free cash flow of $-446.36K, restricting financial flexibility.
FCF Per Share
Each share generates $-0.12 in free cash annually.
FCF Yield
UCL converts -82.90% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.64
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.64
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.08
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.29
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.68
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.32
vs 25 benchmark
ROA
Return on assets percentage
0.11
vs 25 benchmark
ROCE
Return on capital employed
0.24
vs 25 benchmark
How UCL Stacks Against Its Sector Peers
| Metric | UCL Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.64 | 21.66 | Better (Cheaper) |
| ROE | 32.40% | 1190.00% | Weak |
| Net Margin | 9.23% | -55754.00% (disorted) | Weak |
| Debt/Equity | 0.29 | 1.32 | Strong (Low Leverage) |
| Current Ratio | 1.68 | 1.59 | Neutral |
| ROA | 11.06% | -202359.00% (disorted) | Strong |
UCL outperforms its industry in 3 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews uCloudlink Group Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
337.48%
Industry Style: Growth, Technology, Streaming
High GrowthEPS CAGR
561.89%
Industry Style: Growth, Technology, Streaming
High GrowthFCF CAGR
1105.67%
Industry Style: Growth, Technology, Streaming
High Growth