02:50 PM EST, 11/10/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We raise our 12-month target price by $150 to $675, applying an EV/revenue multiple of 14.1x to our FY 26 (Jun.) estimate. Ubiquiti's ( UI ) beat was strong, but management's decision to offer no forward guidance left the market uncertain if this momentum would continue. The sequential decline in Enterprise sales could indicate that distributors and integrators are now well stocked (inventory normalization) or that end demand is cooling off. Ubiquiti ( UI ) itself noted some excess inventory write-downs, and while gross margin benefited from lower shipping costs, the company did incur higher tariff and inventory charges than before. We worry that Ubiquiti's ( UI ) explosive growth in recent quarters was boosted by backlog fulfillment and pent-up demand after supply shortages, both of which are factors that may be fading. In addition, external trends in the networking industry pose challenges as enterprise IT spending appears to be decelerating industry-wide.