Universal Stainless Stock Analysis, Valuation (NASDAQ:USAP)

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$27.34 $0.73 (2.74%) USAP stock closing price Aug 17, 2018 (Closing)

Take a look at Amigobulls Universal Stainless stock analysis video. This video puts forward our latest analysis highlighting the pros and cons for USAP stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Universal Stainless & Alloy Products Stock Rating 2.5/5

Amigobulls USAP stock analysis relies on business fundamentals such as Universal Stainless revenue growth, profits and return on equity measures from the latest quarter 2018 Q2 earnings. Universal Stainless valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Universal Stainless stock rating is our opinion about the business fundamentals of the company.

Should you buy USAP stock?

  • Universal Stainless sales grew by 25.6% year on year in 2018-06.
  • Revenue growth has been tremendous with a compounded annual growth of 1.3 over the last 5 years.
  • Universal Stainless has a lower debt burden than its peers in the Basic Materials sector, with a debt/equity ratio of 0.25.
  • USAP stock is trading at a favorable price to sales multiple of 1 as against the Basic Materials sector average multiple of 1.3.
  • Universal Stainless has a healthy FCF (Free Cash Flow) margin of 12.7.

Should you sell USAP stock?

  • Universal Stainless's LTM Net margins were poor at 6.4%.
  • USAP stock is trading at a PE ratio of 36, which is worse than the sector average multiple of 17.4.

Comments on this video and Universal Stainless stock

Amigobulls Universal Stainless stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Company's fundamentals remain one of the key driver of USAP stock and helps investors in making good buy and sell decision.

Universal Stainless revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. Investors could make use of USAP technical analysis to check whether the fundamental story is reflected in the market sentiment.