Company posted Q2 net loss of $95.3 mln, including $47.2 mln goodwill impairment charge
Result drivers
ClearPath license timing - Co said declines in revenue and gross profit margin were mainly due to timing of ClearPath license renewals
TS&S margin improvement - TS&S gross profit margin rose, driven by delivery improvement and labor cost savings, partially offset by lower-margin DWS business
DWS margin pressure - DWS gross profit margin fell due to client attrition, higher proportion of lower-margin hardware, and increased delivery costs from new business implementation
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the IT services & consulting peer group is "buy"
Wall Street's median 12-month price target for Unisys Corp is $6.00, about 74.9% above its July 28 closing price of $3.43
The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 3 three months ago
UIS•
