ULS

UL Solutions Inc.

Fundamental data last updated:August 15, 2026

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company profile

SECTOR

Industrials

industry

Specialty Business Services

Exchange

NYSE

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

UL Solutions Inc. provides safety science services worldwide. It operates through three segments: Industrial, Consumer, and Software and Advisory. The Industrial segment provides testing, inspection, and certification services across various end markets, including energy, industrial automation, engineered materials, and built environment, as well as stakeholders, such as manufacturers, building owners, end users, and regulators. The Consumer segment offers safety certification testing, ongoing certification, global market access, testing for connectivity, performance and quality, and critical systems advisory and training services, as well as product market acceptance and risk mitigation services for customers in the consumer products end markets comprising consumer electronics, medical devices, information technologies, appliances, HVAC, lighting, and retail, as well as consumer applications, such as new mobility, smart products, and 5G. The Software and Advisory segment provide software and technical advisory services that enable customers to manage regulatory requirements, deliver supply chain transparency, and operationalize sustainability for regulated industries, including life sciences, supply chain regulations, transparency needs, and new ESG and sustainability requirements. It offers ULTRUS software brand to help customers improve speed to market, sustainability and safety. UL Solutions Inc. was formerly known as UL Inc. and changed its name to UL Solutions Inc. in June 2022. The company was founded in 1894 and is headquartered in Northbrook, Illinois with additional offices in North America, Asia Pacific, Africa, Europe, Latin America, and Middle East. UL Solutions Inc. operates as a subsidiary of ULSE Inc.

 


VALUATION

P/E

57.34

Market Cap ($M USD)

$20.04B

Forward P/E

35.48

PEG

0.58

PRICE TO SALES

6.45

PRICE TO BOOK

14.98

EV / EBITDA

26.31

5-Year Average P/E

Free Cash Flow Yield

2.25%

DCF Value

$33.68

Graham Number

$16.11

Price to FCF

44.52

EV to FCF

45.15

Earnings Yield

1.74%

FCF Yield

2.25%

DIVIDEND

Yield

0.55%

Annual Payout

$0.55

Payout Ratio

30.66%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$1.74

Next Year EPS Growth Estimate

$2.81

Next Year Revenue Growth Estimate

$3.65B

Return on Equity (ROE)

28.40%

FREE CASH FLOW

Operating Margin

17.75%

Debt-to-Equity

0.64

Piotroski F-Score

7

Altman Z-Score

9.34

Return on Invested Capital (ROIC)

26.82%

Current Ratio

1.16

Quick Ratio

1.16

Net Debt to EBITDA

0.36

Interest Coverage

14.90

Gross Profit margin

49.61%

FCF PER SHARE

$2.24

REVENUE PER SHARE

$15.45

Gainseekers Quantitative Analysis

Summary

ULS UL Solutions Inc. appears to be priced for perfection, with its market valuation significantly extended above its DCF Value and Graham Number. The Forward P/E of 35.79 suggests high growth expectations, yet the Earnings Yield of just 1.73% raises questions about immediate returns. However, the Altman Z-score of 9.19 indicates robust financial health, suggesting low bankruptcy risk. Despite the lofty multiples, the market seems to be betting on future growth, but the current valuation leaves little room for error.

AI Exposure / Tech Reliance

Operating in the Specialty Business Services sector, ULS is well-positioned to leverage AI and tech advancements. Its industry inherently demands adaptability to technological shifts, offering opportunities to integrate AI for enhanced service delivery. This adaptability could provide a competitive edge in streamlining operations and improving client solutions.

The Bull Case

For the discerning GARP investor, ULS offers compelling strengths. A robust ROIC of 26.82% and a Piotroski F-Score of 7 highlight efficient capital allocation and strong financial health. The company's operating margin of 17.75% and a solid gross profit margin underscore its pricing power. These metrics suggest a business capable of generating consistent cash flows, making it attractive for those seeking growth at a reasonable price.

The Bear Case

Despite its strengths, ULS faces significant valuation risks. The Price/Book ratio of 15.11 and Price/Sales of 6.51 indicate a potentially overvalued stock, especially when trading near its 52-week high. The FCF Yield of just 2.23% and a Price to FCF of 44.92 suggest that cash flow generation may not justify the current price levels. These factors, combined with technical overextension, present a precarious situation for potential investors.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$100.50

Institutional Ownership %

1-Year Beta

0.59

Insider Buying % (6 Mo)

Distance to 52-Week High

8.02%

Distance to 52-Week Low

38.09%

EARNINGS SURPRISE %

21.07%

50-DAY SMA

$91.70

200-DAY SMA

$80.04

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.