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ULS

NYSE
Neutral · 49/100

UL Solutions Inc

Industrials
Professional Services

$89.47

7.8%

Updated Today 12:11 PM ET

Report Card

ULS at a glance — five pillars scored 0–100 from real filed financials.

Value
0
Growth
0
Profitability
0
Health
0
Dividends
0

Overall: Neutral · 49/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.

Price — Past Year

▲ Up 27.3% over the last 12 months

Price 50-day average 200-day averageDCF fair value ±15%Source: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$19.55B

P/E

55.86x

Forward P/E (est.)

54.21x

ROE

28.8%

Revenue Growth

6.9%

EPS Growth

3.0%

Profit Margin

11.3%

FCF Yield

Debt / Equity

0.39x

ROIC

23.0%

Interest Coverage

Current Ratio

1.16x

Dividend Yield

0.6%

Implied Growth (rev. DCF)

6.8%

Rating Score

49/100

Business Overview
Research

UL Solutions Inc (ULS) is a large-cap company in the Professional Services industry, part of the Industrials sector of the S&P 500, with a market value around $19.55B.

In its latest reported year it generated about $3.05B in revenue and $325.00M in net profit.

Our model rates ULS Neutral (49/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what ULS's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. ULS trades near $89.47, around its 50-day average ($96.75) and 200-day average ($83.91). Price tangled in its moving averages means there is no clear trend — the stock is ranging.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 39 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.

Volatility — ATR. Average True Range is the typical daily move. ULS's is $3.99 (~4.5% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month ULS found buyers near $88.60 (support) and sellers near $102.07 (resistance); its 52-week range is $61.64–$107.54. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 0.6× the 20-day average — lighter than usual, so the move carries less conviction. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Revenue Growth
Research

3Y CAGR

6.6%

3/4 checks passedRevenue growingRevenue growth beats sector midpointEPS growingEPS growing faster than revenue

Revenue moved from $2.52B in 2022 to $3.05B in 2025, a 6.6% compound annual growth rate. The most recent year grew a steady 6.9% year over year. Slower, mature growth is common for established businesses.

Profitability
Research
4/4 checks passedProfitableNet margin above sector midpointROE above 12%ROIC above 10%

Gross Margin

49.9%

Operating Margin

17.1%

Net Margin

10.6%

ROE

28.8%

UL Solutions Inc keeps about 11.3% of each sales dollar as net profit, with a 49.9% gross margin and 17.1% operating margin. Return on equity is 28.8% and return on invested capital about 23.0%. Margins are moderate — typical of a competitive but profitable business.

Debt Analysis
Research
3/3 checks passedDebt under 1× equityDebt under 2× equityShort-term bills covered

Total Debt

$491.00M

Net Debt

$233.00M

Net Debt / EBITDA

0.45x

Debt / Equity

0.39x

Leverage: debt-to-equity is 0.4x, with a current ratio of 1.2x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $491.00M of total debt against $258.00M of cash.

Cash Flow Analysis
Research
1/1 checks passedMarket expects achievable growth (<8%)

Operating CF

$600.00M

Free Cash Flow

$403.00M

FCF Margin

13.2%

In the latest year UL Solutions Inc produced about $600.00M of operating cash flow and $403.00M of free cash flow after capital spending. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.

Valuation Analysis
Research
2/4 checks passedPositive earnings (P/E meaningful)P/E below sector's upper bandForward P/E below trailing (earnings growing)Trading below DCF fair value

P/E

55.86x

P/S

6.4x

P/B

12.56x

EV / EBITDA

27.86x

ULS trades at 55.9x trailing earnings (about 54.2x on estimated forward earnings), 6.4x sales, and 12.6x book value. Reverse-engineering today's price implies the market expects roughly 6.8% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.

DCF Fair Value (Educational)

A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.

DCF fair value / share

$40.57

Current price

$89.47

-55% · Above fair-value estimate

Starting FCF (latest 10-K)

$403.00M

Growth, years 1–5

6.9%

Fade to terminal, years 6–10

2.5%

Discount rate

9.0%

PV of 10-yr free cash flow$3.54B
PV of terminal value$4.62B
Estimated equity value$8.16B
Shares outstanding201M

Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
55.9xExpensive
Forward P/E
54.2xExpensive
P/S ratio
6.4xExpensive
Revenue growth
6.9%Strong
EPS growth
3.0%Weak
Gross margin
49.9%Strong
Net margin
11.3%Strong
ROE
28.8%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$0.00 $0.00

vs. $89.47 today · expected CAGR -2%8%

Metric20262027202820292030
Revenue$3.27B$3.50B$3.74B$4.00B$4.28B
Net income$359.34M$384.49M$411.41M$440.20M$471.02M
EPS$1.79$1.91$2.05$2.19$2.34
Share price (low)$60.78$65.03$69.58$74.45$79.66
Share price (high)$100.10$107.11$114.61$122.63$131.21
CAGR (low–high)-32% / 12%-15% / 9%-8% / 9%-4% / 8%-2% / 8%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for ULS:

  • Strong return on equity (28.8%) shows capital is put to work well.
  • A conservative balance sheet (debt/equity 0.4x) lowers risk.
Bear Case

The case against ULS:

  • A rich 55.9x earnings multiple prices in a lot of growth.
  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Valuation risk — at 55.9x earnings, disappointing results could compress the multiple.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the picture is mixed: UL Solutions Inc is a large-cap industrials business growing at a mature pace, with modest profitability, and a sound balance sheet. It trades at 55.9x earnings, which our model scores Neutral (49/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

ULS — frequently asked questions

Is ULS a good stock to buy?

We don't give buy or sell advice. Our model rates UL Solutions Inc Neutral (49/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.

What is ULS's rating on The Stocks School?

UL Solutions Inc currently scores 49/100 (Neutral) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.

How our ratings work
Where does ULS's data come from?

Live price data plus real fundamentals and 5-year financials pulled directly from UL Solutions Inc's SEC filings — refreshed automatically, not hand-entered.

How is the 5-year projection for ULS calculated?

It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.

Is this ULS analysis financial advice?

No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell ULS. Always do your own research and consider a licensed professional.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.