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UL Solutions Inc. (ULS) Stock Analysis

Buy WaitVALUE-TRAP 2/5Moderate Confidence

Industrials · Specialty Business Services

Earnings in 3 days (2026-05-05). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Wait for pullback to $83.17. Weak momentum — blocks BUY_NOW at $91.27. Engine's entry $83.17 (support + ATR) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Analyst target reached - limited upside remaining; Near 52-week high (2.9% away).

UL Solutions is the largest TIC (Testing, Inspection, and Certification) services provider in North America by revenue, serving 80,000+ customers across 110+ countries through Industrial, Consumer, and Software & Advisory segments. In 2025, approximately 59% of revenue was... Read more

$91.27+10.8% A.UpsideScore 4.6/10#19 of 21 Specialty Business Services
Entry $83.17(support + ATR)Stop $79.38Target $92.15(resistance)A.R:R -1.1:1Setup A.R:R 2.4:1
Analyst target$93.57+2.5%12 analysts
$92.15our TP
$91.27price
$93.57mean
$78
$105

Wait for pullback to $83.17. Weak momentum — blocks BUY_NOW at $91.27. Engine's entry $83.17 (support + ATR) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Analyst target reached - limited upside remaining; Near 52-week high (2.9% away). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Earnings in 3 days. Wait until post-earnings. Score 4.6/10, moderate confidence.

Passes 4/7 gates (clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and earnings proximity 3d<=7d. Suitability: moderate.

Thesis

Rewards
No bull case signals
Risks
Analyst target reached - limited upside remaining
Near 52-week high (2.9% away)
Value-trap signals (2/5): Margin compression (op margin 4.2%), High leverage (D/E 3.7)

Key Metrics

P/E (TTM)56.6
P/E (Fwd)36.4
Mkt Cap$18.2B
EV/EBITDA27.5
Profit Mgn10.6%
ROE31.0%
Rev Growth6.8%
Beta0.77
Dividend0.64%
Rating analysts16

Quality Signals

Piotroski F7/9

Options Flow

P/C0.85neutral
IV67%elevated

Concentration Risks(10-K Item 1A)

  • MEDIUMGeographicChina
    10-K Item 1A: 'The Company conducts significant business in China, including through its joint venture with CCIC'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

4 floor-breakers

Growth below the gate floor. Component breakdown shows what dragged the score down.static

Earnings Growth
0.0
Revenue Growth
4.2

Priced at a premium — multiples above sector norms. Needs delivery on growth + margins to justify.static

Ev Ebitda
0.0
Pe
2.2
Forward Pe
2.9
Analyst Target
3.0
Peg Ratio
4.1
Ps
6.2
Forward P/E: 36.4xPEG: 2.39

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Volume
0.0
Macd
1.0
Obv
1.0
Rsi
5.0
Ma Position
9.0
Volume distribution (falling OBV)Above 200-day MA

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Value Rank
2.0
Growth Rank
5.5
Quality Rank
7.3
Superior ROE vs peers
GatesMomentum 3.2<4.5A.R:R -1.1=NEGATIVEEARNINGS PROXIMITY 3d<=7dInsider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARSuitability: Moderate
RSI
67 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $81.83Resistance $94.03

Price Targets

$79
$83
$92
A.Upside+1.0%
A.R:R-1.1:1
Setup A.R:R (at entry)2.4:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeCautious

Risk Alerts

! Target reached (-10.8% upside)
! Earnings in 3 days - binary event risk
! Momentum score 3.2/10 — below 4.5 minimum

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-05-05 (3d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is ULS stock a buy right now?

Wait for pullback to $83.17. Weak momentum — blocks BUY_NOW at $91.27. Engine's entry $83.17 (support + ATR) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Analyst target reached - limited upside remaining; Near 52-week high (2.9% away). Chart setup: No recognized chart pattern (not a breakout, bounce, continuation, recovery, falling knife, or range) — technicals mixed. Earnings in 3 days. Wait until post-earnings. Target $92.15 (+1.0%), stop $79.38 (−15.0%), Setup A.R:R 2.4:1. Score 4.6/10, moderate confidence.

What is the ULS stock price target?

Take-profit target: $92.15 (+10.8% upside). Target $92.15 (+1.0%), stop $79.38 (−15.0%), Setup A.R:R 2.4:1. Stop-loss: $79.38.

What are the risks of investing in ULS?

Analyst target reached - limited upside remaining; Near 52-week high (2.9% away); Value-trap signals (2/5): Margin compression (op margin 4.2%), High leverage (D/E 3.7).

Is ULS overvalued or undervalued?

UL Solutions Inc. trades at a P/E of 56.6 (forward 36.4). TrendMatrix value score: 3.1/10. Verdict: Buy (Wait for Entry).

What do analysts say about ULS?

16 analysts cover ULS with a consensus score of 4.0/5. Average price target: $94.

What does UL Solutions Inc. do?UL Solutions is the largest TIC (Testing, Inspection, and Certification) services provider in North America by revenue,...

UL Solutions is the largest TIC (Testing, Inspection, and Certification) services provider in North America by revenue, serving 80,000+ customers across 110+ countries through Industrial, Consumer, and Software & Advisory segments. In 2025, approximately 59% of revenue was generated from customers outside the United States.

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