Analyst comments on UBNT

There were some analyst comments on UBNT today:

http://blogs.barrons.com/techtraderdaily/2014/08/04/arista-u…

As far as Ubiquiti, Wells’s Lubert rates its shares Outperform as well, and thinks the company can beat the consensus of $151 million in sales and 51 cents EPS for its fiscal Q4, given “strength in the company’s enterprise and carrier business, with inventory likely to decline sequentially,” and that “Ubiquiti is likely to benefit from improved distribution and greater supply during the seasonally strong September quarter,” perhaps also forecasting above consensus for Q1 of $157 million and 52 cents.

Macquarie Research’s Rajesh Ghai offers an Outperform rating on Ubiquiti as well, and a $50 to $55 price target range, writing that the company will likely beat Q4 expectations and forecast in line with the Street for Q1.

He likes several trends as far as the outlook for next year:

We remain optimistic on UBNT’s FY15 outlook based on continued positive channel and customer feedback on its various products, including the recently launched airFiber 5. Our channel contacts suggest initial demand for airFiber 5 has stayed strong due to its unique functionality (point-to-point connectivity up to 50km) and not surprisingly low price point vis-a`-vis competitor products. Together with the new airMax AC and UniFi Video products, we expect airFiber to contribute materially to growth in 4QFY14 and more importantly in FY15.

3 Likes

HI…

Regarding UBNT, any benefit to buying some here around $40 prior to earnings on Thursday?

I’m sitting at a 1/3 position at around $45 currently.

Regarding UBNT, any benefit to buying some here around $40 prior to earnings on Thursday?

Hi Zildjian,

It will probably go either up or down or stay the same after earnings. The question is “Do I want more of this company?”. If the answer is “Yes!” then go ahead and buy another third and don’t bother trying to guess what it will do right after earnings.

Saul

14 Likes