Uniti Group Inc. Fundamental Analysis (NASDAQ: UNIT)
Uniti Group Inc. (NASDAQ: UNIT) shows moderate financial fundamentals with a PE ratio of -1.25, profit margin of -21.20%, and ROE of -3.97%. The company generates $3.5B in annual revenue with strong year-over-year growth of 91.49%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 1099.1/100 based on profitability, valuation, growth, and balance sheet metrics. The A grade reflects excellent fundamentals and strong overall stability.
Fundamental Health Score
We analyze UNIT's fundamental strength across five key dimensions:
Efficiency Score
WeakUNIT struggles to generate sufficient returns from assets.
Valuation Score
ExcellentUNIT trades at attractive valuation levels.
Growth Score
ModerateUNIT shows steady but slowing expansion.
Financial Health Score
ExcellentUNIT maintains a strong and stable balance sheet.
Profitability Score
WeakUNIT struggles to sustain strong margins.
Key Financial Metrics
Is UNIT Expensive or Cheap?
P/E Ratio
UNIT trades at -1.25 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, UNIT's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Uniti Group Inc. at -13.07 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -8.21 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 $-21.20 as profit after all expenses.
Operating Margin
Core operations generate 5.08 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-3.97 in profit for every $100 of shareholder equity.
ROA
Uniti Group Inc. generates $-5.76 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 $563.20M, showing steady but balanced cash generation.
Free Cash Flow
Uniti Group Inc. generates weak or negative free cash flow of $-984.23M, restricting financial flexibility.
FCF Per Share
Each share generates $-4.05 in free cash annually.
FCF Yield
UNIT converts -1.04% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-1.25
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.009
vs 25 benchmark
P/B Ratio
Price to book value ratio
-13.07
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.27
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-147.16
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.33
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-3.97
vs 25 benchmark
ROA
Return on assets percentage
-0.06
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How UNIT Stacks Against Its Sector Peers
| Metric | UNIT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -1.25 | 25.26 | Better (Cheaper) |
| ROE | -397.14% | 722.00% | Weak |
| Net Margin | -21.20% | 2077.00% | Weak |
| Debt/Equity | -147.16 | -37.25 (disorted) | Distorted |
| Current Ratio | 1.33 | 91.70 | Neutral |
| ROA | -5.76% | 270.00% | Weak |
UNIT outperforms its industry in 1 out of 6 key metrics, 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
35.80%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
219.79%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
44.43%
Industry Style: Income, Inflation Hedge, REIT
High Growth