Ultralife Corporation

ULBI

IndustrialsElectrical Equipment & PartsNASDAQ

$7.05

Market Cap: $117.43M

Ultralife Corporation (ULBI) Valuation Summary

Updated May 11, 2026 02:57

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	—	N/A	—
Revenue DCF 10Y	$5.71 – $62.35	$10.29	+46.0%
▸ Trading Multiples
EV/Revenue	$3.66 – $111.78	$41.59	+489.9%

Valuation History

DCF Analysis

Ultralife Corporation (ULBI) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$10.29

Market Price

$7.05

Upside / Downside

+46.0%

Verdict

Undervalued

Using a Revenue DCF model with operating margin convergence from 3.3% to a target of 10.3% over 5 years, discounted at a WACC of 8.0%, Ultralife Corporation (ULBI) has an intrinsic value of $10.29 per share (range: $5.71 – $62.35).

Key Assumptions

Current Operating Margin

3.3%

Target Operating Margin

10.3%

WACC

8.0%

Terminal Growth Rate

2.5%

Historical CapEx/Rev

1.8%

Target CapEx/Rev

6.0%

D&A/Revenue

3.0%

Tax Rate

22.1%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	225	17.6%	4.7%	11	8	7	(5)	20	-10	-10
2027	266	18.1%	6.1%	16	13	8	(7)	16	-3	-3
2028	314	18.1%	7.5%	24	18	9	(10)	19	-1	-1
2029	370	18.1%	8.9%	33	26	11	(13)	23	1	1
2030	437	18.1%	10.3%	45	35	13	(17)	27	4	3
2031	506	15.6%	10.3%	52	41	15	(22)	27	6	4
2032	572	13.1%	10.3%	59	46	17	(27)	27	9	6
2033	632	10.6%	10.3%	65	51	19	(33)	24	13	7
2034	683	8.0%	10.3%	70	55	20	(38)	20	17	9
2035	721	5.5%	10.3%	74	58	21	(43)	15	21	10

Enterprise Value Bridge

Sum of PV(FCFF)26

Terminal Value (Gordon Growth at 2.5%)387

PV of Terminal Value186

Enterprise Value212

(–) Net Debt40

Equity Value171

(÷) Shares Outstanding17

Fair Value per Share$10.29

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.3%	7.3%	10.3%	13.3%	16.3%
6.0%	$-9	$-1	$20	$41	$62
7.0%	$-8	$-2	$14	$30	$46
8.0%	$-8	$-2	$10	$23	$36
9.0%	$-8	$-3	$8	$18	$28
10.0%	$-8	$-3	$6	$15	$23

Current price: $7.05. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 40.3% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$41.59

Market Price

$7.05

Upside / Downside

+489.9%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Ultralife Corporation (ULBI) has a fair value of $41.59 based on 7 comparable companies in the Electrical Equipment & Parts industry.

EV/Revenue Valuation — Electrical Equipment & Parts

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Ultralife CorporationULBI	117	0.8x	1.2x
Espey Mfg. & Electronics Corp.ESP	210	4.4x	4.0x
HireQuest, Inc.HQI	167	5.0x	5.5x
Safe Pro Group Inc. Common StockSPAI	72	92.1x	115.0x
CBAK Energy Technology, Inc.CBAT	70	0.5x	3.4x
Ocean Power Technologies, Inc.OPTT	63	9.9x	9.6x
Metalpha Technology Holding LimitedMATH	41	0.8x	—
Flux Power Holdings, Inc.FLUX	18	0.5x	0.7x
Industry Median		4.4x	4.8x
(*) Revenue		191	133
= Enterprise Value		833	632
(-) Net Debt		40	40
Equity Value		793	591
(/) Outstanding shares		17	17
Fair Price		$48	$36

Selected Fair Value (avg of trailing + forward)

$41.59

+489.9%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

—

N/A

—

Revenue DCF 10Y

$5.71 – $62.35

$10.29

+46.0%

▸ Trading Multiples

EV/Revenue

$3.66 – $111.78

$41.59

+489.9%

DCF Analysis

Ultralife Corporation (ULBI) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$10.29

Market Price

$7.05

Upside / Downside

+46.0%

Verdict

Undervalued

Key Assumptions

Current Operating Margin

3.3%

Target Operating Margin

10.3%

WACC

8.0%

Terminal Growth Rate

2.5%

Historical CapEx/Rev

1.8%

Target CapEx/Rev

6.0%

D&A/Revenue

3.0%

Tax Rate

22.1%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	225	17.6%	4.7%	11	8	7	(5)	20	-10	-10
2027	266	18.1%	6.1%	16	13	8	(7)	16	-3	-3
2028	314	18.1%	7.5%	24	18	9	(10)	19	-1	-1
2029	370	18.1%	8.9%	33	26	11	(13)	23	1	1
2030	437	18.1%	10.3%	45	35	13	(17)	27	4	3
2031	506	15.6%	10.3%	52	41	15	(22)	27	6	4
2032	572	13.1%	10.3%	59	46	17	(27)	27	9	6
2033	632	10.6%	10.3%	65	51	19	(33)	24	13	7
2034	683	8.0%	10.3%	70	55	20	(38)	20	17	9
2035	721	5.5%	10.3%	74	58	21	(43)	15	21	10

Enterprise Value Bridge

Sum of PV(FCFF)26

Terminal Value (Gordon Growth at 2.5%)387

PV of Terminal Value186

Enterprise Value212

(–) Net Debt40

Equity Value171

(÷) Shares Outstanding17

Fair Value per Share$10.29

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.3%	7.3%	10.3%	13.3%	16.3%
6.0%	$-9	$-1	$20	$41	$62
7.0%	$-8	$-2	$14	$30	$46
8.0%	$-8	$-2	$10	$23	$36
9.0%	$-8	$-3	$8	$18	$28
10.0%	$-8	$-3	$6	$15	$23

Current price: $7.05. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 40.3% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$41.59

Market Price

$7.05

Upside / Downside

+489.9%

Verdict

Undervalued

EV/Revenue Valuation — Electrical Equipment & Parts

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Ultralife CorporationULBI	117	0.8x	1.2x
Espey Mfg. & Electronics Corp.ESP	210	4.4x	4.0x
HireQuest, Inc.HQI	167	5.0x	5.5x
Safe Pro Group Inc. Common StockSPAI	72	92.1x	115.0x
CBAK Energy Technology, Inc.CBAT	70	0.5x	3.4x
Ocean Power Technologies, Inc.OPTT	63	9.9x	9.6x
Metalpha Technology Holding LimitedMATH	41	0.8x	—
Flux Power Holdings, Inc.FLUX	18	0.5x	0.7x
Industry Median		4.4x	4.8x
(*) Revenue		191	133
= Enterprise Value		833	632
(-) Net Debt		40	40
Equity Value		793	591
(/) Outstanding shares		17	17
Fair Price		$48	$36

Selected Fair Value (avg of trailing + forward)

$41.59

+489.9%