United Guardian Inc (UG) stock analysis
Close on Nov 12, 2026Market cap $39.65MP/E 12.7Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Strong24 of 30 checks passed
United Guardian passes 24 of the 30 checks behind our score; 3 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 6/6
- Growth
- 2/6
- Past performance
- 5/6
- Financial health
- 6/6
- Dividend
- 5/6
What stands out
Margin of safety over 20%
The price is 32.7% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $8.59 is below our fair value estimate of $12.77.
Return on equity over 15%
Return on equity was 28.7% over the last twelve months and averaged 28.9% over five years.
Return on capital over 10%
Return on invested capital was 109%, above the 10% that usually covers the cost of capital.
What to watch
Earnings shrank over 5 years
Net income shrank 8.6% a year on average over the last five fiscal years.
Revenue growing under 10% a year
Revenue grew -6.0% a year over the last three fiscal years, short of the 10% we look for.
Gross margin slipping
Gross margin was 49.7% over the last twelve months, against 50.6% a year earlier.
Valuation6/6
P/E below its 5-year median
United Guardian's P/E of 12.6 is below its own 5-year median of 15.0.
P/E below the industry
United Guardian's P/E of 12.6 is below the Soap, Detergents, and Cleaning Preparations; Perfumes, Cosmetics, and Other Toilet Preparations median of 29.9.
EV/EBITDA below its 5-year median
United Guardian's EV/EBITDA of 9.2 is below its 5-year median of 9.8.
P/B below the industry
United Guardian's price-to-book of 3.53 is below the Soap, Detergents, and Cleaning Preparations; Perfumes, Cosmetics, and Other Toilet Preparations median of 4.86.
Trading below fair value
The share price of $8.59 is below our fair value estimate of $12.77.
Margin of safety over 20%
The price is 32.7% below fair value, more than the 20% cushion we look for.
Growth2/6
Revenue growing under 10% a year
Revenue grew -6.0% a year over the last three fiscal years, short of the 10% we look for.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings growth accelerating
Net income grew 59.6% over the last twelve months, against a 5-year average of -8.6% a year.
Growing faster than the industry
Revenue grew 23.6% over the last twelve months; the Soap, Detergents, and Cleaning Preparations; Perfumes, Cosmetics, and Other Toilet Preparations median is 6.0%.
Company guidance
No outlook found in earnings releases from the last twelve months.
Gross margin slipping
Gross margin was 49.7% over the last twelve months, against 50.6% a year earlier.
Past performance5/6
Return on equity over 15%
Return on equity was 28.7% over the last twelve months and averaged 28.9% over five years.
Return on capital over 10%
Return on invested capital was 109%, above the 10% that usually covers the cost of capital.
Return on equity above the industry
United Guardian's return on equity of 28.7% is above the Soap, Detergents, and Cleaning Preparations; Perfumes, Cosmetics, and Other Toilet Preparations median of -1.2%.
Earnings shrank over 5 years
Net income shrank 8.6% a year on average over the last five fiscal years.
Net margin above its 5-year average
Net margin was 25.2% over the last twelve months, against a 5-year average of 24.8%.
Net margin above the industry
United Guardian's net margin of 25.2% is above the Soap, Detergents, and Cleaning Preparations; Perfumes, Cosmetics, and Other Toilet Preparations median of 0.2%.
Financial health6/6
No debt
United Guardian has no borrowings on its latest balance sheet.
Debt not rising
With no debt today, leverage cannot have risen.
Debt covered by cash flow
There is no debt to cover.
Interest well covered
No meaningful interest expense to cover.
Short-term assets cover short-term debts
Current assets are 6.50 times current liabilities.
Low bankruptcy risk
The Altman Z-score is 14.24; above 3 is the safe zone and below 1.8 the distress zone.
Dividend5/6
Pays a dividend
United Guardian paid dividends worth 6.4% of the share price over the last twelve months.
Yield above Treasuries
The 6.4% yield is above the 4.4% on a 1-year Treasury.
Yield in the top quarter
The top quarter of US dividend payers yield 3.8% or more; United Guardian yields 6.4%.
Dividend stability
Fewer than five years of dividend history.
Covered by earnings
Dividends take 80.9% of net income.
Covered by free cash flow
Dividends take 86.0% of free cash flow.
Fair value
How we estimate itOur estimate per share
$12.77
The share price is 33% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 22.4× | 15.0× | 29.9× | $15.23 | 44% |
| EV/EBITDA | 13.8× | 9.8× | 17.9× | $11.95 | 39% |
| Earnings power | 7.4% cost of equity | – | – | $8.14 | 17% |
| Fair value | $12.77 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 15.0
- Soap, Detergents, and Cleaning Preparations; Perfumes, Cosmetics, and Other Toilet Preparations median 29.9
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
High risk
- Average value traded per day
- $142.93K
- Value traded per 1% price move
- $53.25K
Downside
Low risk
- Typical loss in a bad month
- 10.8%
- Volatility (annualized)
- 46%
- Sharpe ratio, 1 year
- 0.70
- Beta to the S&P 500 (5Y)
- 0.51
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2011 to 2025
Gross margin
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | -13.4% | -6.0% | -0.8% | -2.8% | |
| Gross profit | -20.4% | -8.5% | -3.4% | -5.2% | |
| Operating income | -38.5% | -17.8% | -9.2% | -9.8% | |
| Net income | -35.2% | -6.4% | -8.6% | -7.5% | |
| Free cash flow | -37.1% | -8.0% | -11.7% | -9.4% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | 18.2% | 31.5% | 18.2% | |
| Return on assets | 16.9% | 27.2% | 15.7% | |
| Current ratio | 13.11 | 7.95 | 7.31 | |
| Inventory turnover | 3.8× | 3.7× | 3.7× | |
| Capex to revenue | 1.5% | 0.4% | 0.6% | |
| Diluted shares | 5M | 5M | 5M |
Where the cash went
Fiscal 2021 to 2025, five years combined
United Guardian generated $16.42M from operations and spent $15.15M on capital expenditure, dividends and share buybacks. 6% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 20.0% | 0.78× | 1.16× | 18.2% |
| FY2024 | 26.7% | 0.91× | 1.15× | 27.9% |
| FY2023 | 23.7% | 0.92× | 1.14× | 25.0% |
| FY2022 | 20.2% | 1.11× | 1.20× | 26.9% |
| FY2021 | 33.4% | 1.15× | 1.20× | 46.2% |
| FY2020 | 30.1% | 0.90× | 1.16× | 31.5% |
| FY2019 | 35014.9% | 0.00× | 1.16× | 44.2% |
| FY2018 | 32.4% | 1.06× | 1.14× | 39.0% |
| FY2017 | 29.6% | 0.94× | 1.10× | 30.5% |
| FY2016 | 24.0% | 0.71× | 1.08× | 18.2% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero$2.11M
- Cash generatingOperating cash flow above zero$1.97M
- Return on assets improvedROA up on the prior year25.2% → 15.3%
- Earnings backed by cashOperating cash flow above net income$1.97M vs $2.11M
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose6.62 → 7.31
- No dilutionShare count did not rise5M → 5M
- Gross margin improvedGross margin up on the prior year53.03% → 48.75%
- More efficientAsset turnover rose0.94 → 0.76
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