UTStarcom Holdings Corp. Ordinary Shares (UTSI)

FairStock Score: 45/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for businesses that earn good returns on capital, carry modest debt, and sell at a sensible price. UTStarcom does not clear the first hurdle. At the close on 2026-10-13, the shares were $2.38 and the market capitalization was only $24.7 million, a very small enterprise in telecom infrastructure. FairStock's calculations show a price-to-book of 0.71 and a price-to-earnings of -2.36, meaning the market is paying less than stated book value but the company is not currently profitable. ROE is -25.51% and ROCE is -11.79%, so it is destroying capital, not compounding it. The debt-to-equity ratio is only 0.02, which is a genuine positive, and the balance sheet does not appear heavily leveraged based on that measure. But the Piotroski F-Score of 1/9 and Altman Z-Score of 1.60 point to weak financial momentum and possible distress. The company operates Equipment and Services segments with 206 employees, selling packet transport, routing, fiber, and Wi-Fi products. I see no evidence of a durable competitive moat; telecom equipment is competitive, and this is a tiny player. Revenue growth and profit growth are not available in the data, and the Lynch category is 'none' because there are only 0 years of filed results, not the three needed. The fair stock score of 45/100 is middling at best. A below-book price can be attractive if assets are real and earnings recover, but without a demonstrated path to positive returns, this looks more like a speculative asset play than a Buffett-quality compounder.

In plain English: UTStarcom makes telecom networking equipment and services, mainly for bandwidth, cloud, mobile, and streaming traffic in China, India, Japan, and other markets. The business looks weak: it is losing money, its returns are negative, and its financial-strength signals are poor. The stock trades below the value of its net assets on the books, but because losses are ongoing, the price looks low rather than clearly safe.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer