UCTT EV/EBITDA Analysis

At 28.1x, UCTT’s EV/EBITDA — a valuation measure that compares a company’s total value, including debt, to its operating earnings — indicates investors are paying $28.10 for every $1 of earnings before interest, taxes, depreciation, and amortization.

This is well above the sector median of 13.6x, placing UCTT in the 86th percentile among peers, meaning most comparable companies trade at lower multiples. The metric is decreasing, with a quarter-over-quarter drop of 12.1% from 31.9x, and the last four reported values show a downward path: 28.1x, 31.9x, 30.2x, 36.0x; year-over-year change is not available. A still-high valuation alongside a falling trend suggests the market is gradually repricing the stock lower, which could reduce downside risk if earnings hold, but also signals that UCTT remains priced for growth expectations that peers do not command. The combination of an elevated level with a decreasing trend implies the stock is becoming less expensive but is not yet cheap, leaving risk for further multiple compression. This metric contradicts the overall CAUTIOUS verdict, because a persistently high valuation versus peers supports caution rather than confidence.

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