B. Riley Increases Earnings Forecast for Universal Technical Institute

Equities analysts at B. Riley Research have revised their earnings estimates for Universal Technical Institute Inc. (NYSE: UTI), reflecting a positive outlook for the company. In a research note issued on November 20, 2023, analyst G. Boss increased the forecasted earnings per share (EPS) for the fourth quarter of 2026 to $0.36, up from a previous estimate of $0.34. This adjustment aligns with the consensus estimate for Universal Technical Institute’s current fiscal year, which stands at $1.00 per share.

The revised earnings outlook comes as part of broader assessments made by several brokerages regarding the company’s performance. Barrington Research reaffirmed an “outperform” rating and set a price target of $36.00 on UTI shares, while Rosenblatt Securities also maintained a “buy” rating with the same target price. Additionally, Zacks Research has downgraded the stock from a “hold” to a “strong sell” rating, reflecting diverging opinions within the market.

Institutional investors have recently adjusted their positions in Universal Technical Institute. Notably, Verdence Capital Advisors LLC increased its stake by 3.4% during the third quarter, now owning 11,259 shares valued at approximately $383,000. Other firms, including Verition Fund Management LLC and Engineers Gate Manager LP, have also increased their holdings, indicating a growing confidence among institutional stakeholders.

Stock Performance and Financial Metrics

On the stock market, shares of Universal Technical Institute opened at $21.80 on Monday. Over the past year, the stock has fluctuated between a low of $21.29 and a high of $36.32. With a market capitalization of $1.19 billion, the company currently has a price-to-earnings ratio of 19.12 and a PEG ratio of 2.27. The stock’s 50-day and 200-day moving averages are $30.09 and $30.86, respectively.

Universal Technical Institute last reported its quarterly earnings on November 19, 2023, announcing an EPS of $0.34, which exceeded analysts’ expectations of $0.26 by $0.08. The company generated revenue of $222.44 million, surpassing the anticipated $219.33 million. The net margin stood at 7.79%, with a return on equity of 22.12%.

Outlook and Guidance

For the fiscal year 2026, Universal Technical Institute has provided guidance of $0.710 to $0.800 EPS, indicating a steady path forward. The current consensus rating for the stock is classified as “Moderate Buy,” with an average price target of $35.83, according to MarketBeat.com.

Universal Technical Institute offers education programs in transportation, skilled trades, and healthcare across the United States. The company operates under various brands, including the Universal Technical Institute, Motorcycle Mechanics Institute, and Concorde Career Colleges, among others.

As the landscape for technical education continues to evolve, the insights from B. Riley and other analysts provide crucial guidance for investors and stakeholders monitoring Universal Technical Institute’s future trajectory.