Universal Technical Institute (UTI) stock surged 12.72% in the pre-market trading session on Thursday, fueled by the company's impressive fiscal Q1 2025 financial performance and strategic initiatives.
The key catalysts driving UTI's pre-market rally include:
- Earnings Beat and Raised Guidance: UTI reported Q1 earnings per share of $0.40, significantly outpacing analysts' estimates of $0.18. Revenue also came in at $201.4 million, up 15.3% year-over-year and exceeding expectations. Encouraged by the strong results, UTI raised its full-year fiscal 2025 revenue guidance to $810 million - $820 million and EPS guidance to $0.96 - $1.04.
- New Partnership with Tesla: UTI announced a major collaboration with Tesla to offer the automaker's START Collision Repair program at its Long Beach campus, beginning in Spring 2025. This 4-month training program will open up employment opportunities for UTI graduates at Tesla's collision repair centers, aligning with the growing demand for skilled technicians in the electric vehicle industry.
- Positive Analyst Sentiment: Several analysts, including Truist and Rosenblatt, have raised their price targets on UTI stock and maintained Buy ratings, reflecting optimism about the company's growth prospects and strategic initiatives.