Should I Buy UEIC? UEIC 2026 Analysis

Should You Buy Universal Electronics Inc (UEIC) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Sell

Latest Price

3.970

1 Day change

-1.98%

52 Week Range

10.450

Analysis Updated At

2026/01/26

Universal Electronics Inc (UEIC) is not a good buy for a beginner investor with a long-term strategy and $50,000-$100,000 available for investment. The stock is facing declining revenue, negative analyst sentiment, and a lack of positive catalysts. Additionally, technical indicators and options data suggest limited upside potential and bearish sentiment in the short term.

Technical Analysis

The MACD histogram is positive at 0.0407 but contracting, indicating weakening momentum. RSI at 68.455 is in the neutral zone, showing no clear overbought or oversold conditions. Moving averages are converging, suggesting indecision in price movement. Key resistance levels are at 4.066 and 4.206, while support levels are at 3.616 and 3.476. The stock is currently trading near resistance levels, limiting potential upside.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

The implied volatility (IV) is high at 200.15 with an IV percentile of 94.8, suggesting significant uncertainty. However, the put-call ratios indicate a lack of bearish sentiment, with calls dominating the options market.

Technical Summary

Sell

Buy

Positive Catalysts

NULL identified. No recent news or significant insider/hedge fund activity. The company has some expansion opportunities in multifamily residential and security sectors, but these are overshadowed by broader declines.

Neutral/Negative Catalysts

Revenue declined by -11.29% YoY in Q3 2025, and Q4 guidance indicates further declines, particularly in the HVAC/HASH segment. Analysts have lowered price targets, and the stock is expected to decline further based on historical candlestick patterns (-3.04% in the next week, -5.99% in the next month).

Financial Performance

In Q3 2025, revenue dropped to $90.55M (-11.29% YoY). Net income improved to -$8.33M (+213.36% YoY), but it remains negative. EPS increased to -0.62 (+210.00% YoY), but it is still in the red. Gross margin fell to 29.07% (-3.45% YoY), indicating declining profitability.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

B. Riley downgraded the price target from $5 to $3.50 and maintained a Neutral rating. Analysts highlight ongoing pressure from secular declines in the home entertainment business and softer average selling price trends in HVAC/HASH.

1 Analyst Rating

Wall Street analysts forecast UEIC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for UEIC is 3.5 USD with a low forecast of 3.5 USD and a high forecast of 3.5 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

0 Buy

1 Hold

0 Sell

Hold

Current: 4.050

Low

3.5

Averages

3.5

High

3.5

Current: 4.050

Low

3.5

Averages

3.5

High

3.5

B. Riley

Neutral

downgrade

AI Analysis

2025-11-10

Reason

B. Riley

Price Target

AI Analysis

2025-11-10

downgrade

Neutral

Reason

B. Riley lowered the firm's price target on Universal Electronics to $3.50 from $5 and keeps a Neutral rating on the shares. Universal Electronics reported Q3 results showing a sales shortfall, with Q4 guidance indicating a faster decline, including potential negative year-over-year performance in the HVAC/HASH segment, the analyst tells investors in a research note. Despite expansion opportunities in multifamily residential and security, overall guidance reflects ongoing pressure from the reaccelerating secular decline in the home entertainment business and softer average selling price trends in HVAC/HASH, B. Riley says.

B. Riley

Jeff Van Sinderen

Buy -> Neutral

downgrade

$14 -> $5

2025-08-11

Reason

B. Riley

Jeff Van Sinderen

Price Target

$14 -> $5

2025-08-11

downgrade

Buy -> Neutral

Reason

B. Riley analyst Jeff Van Sinderen downgraded Universal Electronics to Neutral from Buy with a price target of $5, down from $14, post the Q2 report. Although the company's secular decline rate in legacy home entertainment appeared to be moderating, its back half of 2025 guidance reflects considerable deterioration, the analyst tells investors in a research note. The firm no longer expects growth for fiscal 2025.

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UEIC Should I Buy

UEIC Should I Buy

Should You Buy Universal Electronics Inc (UEIC) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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