Uniti Group Inc.
Uniti Group Inc. Fundamental Analysis
Uniti Group Inc. (UNIT) shows moderate financial fundamentals with a PE ratio of 2.05, profit margin of 56.80%, and ROE of -1.33%. The company generates $2.1B in annual revenue with weak year-over-year growth of 1.49%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -115.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze UNIT's fundamental strength across five key dimensions:
Efficiency Score
ExcellentUNIT demonstrates superior asset utilization.
Valuation Score
ExcellentUNIT trades at attractive valuation levels.
Growth Score
WeakUNIT faces weak or negative growth trends.
Financial Health Score
WeakUNIT carries high financial risk with limited liquidity.
Profitability Score
WeakUNIT struggles to sustain strong margins.
Key Financial Metrics
Is UNIT Expensive or Cheap?
P/E Ratio
UNIT trades at 2.05 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, UNIT's PEG of -0.11 indicates potential undervaluation.
Price to Book
The market values Uniti Group Inc. at 6.83 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at -6.76 times EBITDA. This is generally considered low.
How Well Does UNIT Make Money?
Net Profit Margin
For every $100 in sales, Uniti Group Inc. keeps $56.80 as profit after all expenses.
Operating Margin
Core operations generate 21.20 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-1.33 in profit for every $100 of shareholder equity.
ROA
Uniti Group Inc. generates $10.55 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Uniti Group Inc. produces operating cash flow of $332.76M, showing steady but balanced cash generation.
Free Cash Flow
Uniti Group Inc. generates weak or negative free cash flow of $-436.72M, restricting financial flexibility.
FCF Per Share
Each share generates $-1.83 in free cash annually.
FCF Yield
UNIT converts -18.61% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
2.05
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
6.83
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.11
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
26.35
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.74
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-1.33
vs 25 benchmark
ROA
Return on assets percentage
0.11
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How UNIT Stacks Against Its Sector Peers
| Metric | UNIT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 2.05 | 22.46 | Better (Cheaper) |
| ROE | -132.88% | 681.00% | Weak |
| Net Margin | 56.80% | -37308.00% (disorted) | Strong |
| Debt/Equity | 26.35 | -20.87 (disorted) | Distorted |
| Current Ratio | 0.74 | 1953.63 | Weak Liquidity |
| ROA | 10.55% | -1226.00% (disorted) | Strong |
UNIT outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Uniti Group Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
18.83%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
850.68%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
-35.99%
Industry Style: Income, Inflation Hedge, REIT
Declining