# UL Solutions Inc. (ULS) — Stock CV

UL Solutions Inc. is a $14.1B industrial company. Revenue grew 6.6% over the last year, it keeps 16¢ of every dollar of sales as profit, and its net debt equals ~0.4 years of free cash flow. It trades at 28.0× earnings — near the lowest of its own history.

> UL Solutions is a global leader specializing in a broad range of product testing, inspection, and certification services. UL Solutions is the for-profit branch out of three organizations under the UL Enterprise.

## Identity

- **Ticker**: ULS
- **Sector**: Industrials
- **Industry**: Consulting Services
- **Headquarters**: NORTHBROOK, IL
- **Employees**: 14 851
- **Website**: https://www.ul.com
- **Market cap**: $14.1B
- **Last price**: $69.99
- **Financial profile**: Strong

## Vitals (TTM)

- **Revenue**: $3.15B
- **Net income**: $506M
- **Free cash flow**: $436M
- **Net debt**: $196M
- **P/E**: 28.0
- **Revenue growth (YoY)**: 6.6%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 69 |
| Growth | 35 |
| Profitability | 85 |
| Health | 82 |
| Quality | 94 |
| Moat | 88 |

## Qualifications (beginner checklist) — 10 of 11 passed

- [x] Revenue growing — +6.6% YoY
- [x] Profitable — $506M TTM
- [x] Profit growing — +3.0% YoY
- [x] Generates cash — $436M TTM
- [x] Debt under control — ~0.4y of cash flow to repay
- [x] Established company — $14.1B market cap
- [ ] Not printing shares — +10.2% shares over ~5y
- [x] Proven track record — 5/5 profitable years
- [x] Financially stable — Altman Z 7.0 — safe
- [x] Pays a dividend — yield 0.78%
- [x] Valuation not extreme — P/E 28.0

## Experience (career milestones)

- **FY2024** — Best year on record: $326M net income
- **FY2021** — Profitable every year on record: 5 consecutive profitable years in our data
- **FY2021** — Revenue already above $1B: $2.52B in first reported year
- **FY2021** — Positive free cash flow every year since: 5-year streak
- **2018** — UPM launched brand promise 'UPM Biofore – Beyond fossils'
- **2011** — The overcapacity continued in graphic paper business and in 2011, UPM acquired Myllykoski Corporation and Rhein…
- **2009** — UPM created the term "Biofore" to describe new forest industry
- **2000** — The Miramichi paper mill in New Brunswick, which UPM acquired in 2000, was closed in 2007
- **1996** — UPM-Kymmene was formed by the merger of Kymmene Corporation with Repola Oy and its subsidiary United Paper Mills Ltd…

## Strengths

- High gross margin (50.4%)
- Could repay net debt from ~0.1 years of free cash flow
- Interest covered 11.0× by operating earnings
- High returns on invested capital (ROIC 22.3%)
- Piotroski F-Score 7/9 — fundamentally strong checklist

## Watch-outs

- None stand out in the data.

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $2.52B | $224M | $314M |
| FY2022 | $2.52B | $293M | $208M |
| FY2023 | $2.68B | $260M | $252M |
| FY2024 | $2.87B | $326M | $287M |
| FY2025 | $3.05B | $325M | $403M |

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Source: https://stockcv.com/ULS — derived from company filings; may be delayed or incomplete. Information, not investment advice.