UL Solutions Inc.

UL Solutions Inc. has launched Retail Total Access, a software platform designed to help retailers manage product quality and supply chain risk by unifying testing, inspection, and audit data. The platform gives retail quality teams a single view of supplier performance, repeat issues, and regional or factory risk, aiming to reduce fragmentation and improve decision-making. Developed with customer input, Retail Total Access includes tools for submitting requests, tracking progress, accessing reports and images, managing failures, and reviewing performance analytics. UL Solutions, a global applied safety science company, said features will continue to evolve over time.

UL Solutions Inc. reported second quarter 2026 revenue of $816 million, a 5.2% increase from the prior year, with organic revenue growth of 6.6%. Net income jumped 161.9% to $254 million, driven by a gain on the sale of its Employee Health and Safety software business, while adjusted net income rose 17.3% to $129 million. Adjusted EBITDA reached $219 million, up 11.2%, and the adjusted EBITDA margin expanded 140 basis points to 26.8%. The company generated $379 million in operating cash flow for the first half of 2026 and ended the quarter with $434 million in cash and equivalents. For the full year, UL Solutions expects mid-single digit constant currency organic revenue growth and an adjusted EBITDA margin of approximately 27.0%.

UL Solutions announced the opening of a new automotive electromagnetic compatibility laboratory in Toyota City, Japan. The facility began operations on July 1 and is designed to support the development of increasingly complex vehicle technologies in a major global automotive hub. It provides critical EMC testing to help manufacturers ensure that vehicle electronics, such as braking and steering systems, remain protected from electromagnetic interference. Located in Japan's Tokai region, the lab strengthens UL Solutions' global footprint and offers specialized capabilities for high-voltage, high-current, and high-performance testing, aiming to reduce malfunction risks and accelerate market entry of next-generation automotive technologies.

Zacks Investment Research identifies UL Solutions, Willdan Group, and ZipRecruiter as three business services stocks well-positioned for near-term growth amid a prospering industry driven by AI adoption and strong service activities. The Zacks Business-Services industry, which carries a Zacks Industry Rank of 108, has underperformed the broader market over the past year, declining 34.1% compared to the S&P 500's 23.9% gain, and currently trades at a forward price-to-earnings ratio of 13.31. UL Solutions is expanding its global platform with new testing facilities and AI-powered software, with its 2026 consensus earnings estimate rising 3.2% to $2.26 per share. Willdan Group has secured multiple contracts including a $100 million extension with Southern California Edison and a $54 million modernization project, and its recent acquisition of Burton Energy Group is expected to boost 2026 earnings, with the consensus estimate increasing 8.3% to $4.94 per share. ZipRecruiter is enhancing its AI-powered hiring tools and resume database, and its 2026 consensus loss per share has narrowed by 50% to 8 cents.

UL Solutions has issued its first certification for a remotely operated robot designed for hazardous locations to ExRobotics for its ExR-2.5 inspection robot. The new certification program, based on UL 6260, evaluates robots for fire, explosion, electric shock and mechanical risks to confirm they can operate safely without becoming an ignition source in potentially explosive atmospheres. The certification supports the adoption of robotic inspection and maintenance technologies that help reduce risk to personnel and enhance reliability in high-risk industrial environments. UL 6260 covers remotely operated robots used across industries including oil and gas, petrochemical processing, agricultural, transportation, pharmaceutical, energy and mining.

Government and technical consulting stocks tracked by StockStory fell an average of 7.7% since their latest earnings results, despite reporting revenues in line with analyst consensus estimates. SAIC posted revenues of $1.91 billion, up 1.5% year on year and beating expectations by 4.1%, but its stock still declined 1.7%. UL Solutions, the best performer in the group, reported revenues of $758 million, up 7.5% year on year, while Amentum, the weakest, saw flat revenues of $3.48 billion and a significant EPS miss, sending its shares down 10.2%. ICF International and Maximus also missed revenue estimates, with ICF's revenues falling 10.3% year on year and Maximus's declining 4.1%, contributing to their respective stock declines of 10.7% and 9.3%.

UL Solutions Inc. has drawn a bullish thesis from TradersPro's Substack, citing structural demand for its testing, inspection, and certification services. The company's shares traded at $95.33 as of June 16th, with trailing and forward price-to-earnings ratios of 55.42 and 40.49 respectively, according to Yahoo Finance. The thesis highlights growth driven by rising regulatory complexity, accelerating product innovation, and increasing adoption of AI-enabled systems and connected devices, all of which require independent validation. UL Solutions is seen as a structurally advantaged compounder benefiting from durable long-term demand, with shares recently showing a breakout on rising volume that signals renewed institutional accumulation.

StockStory recommends watching mid-cap stocks PTC and UL Solutions while advising investors to sell Somnigroup. PTC, a software provider for manufacturers, reported average billings growth of 21% over the last year, a gross margin of 84.7%, and an operating margin of 38.7%, with shares trading at $113.87. UL Solutions, a testing and certification company, posted annual EPS growth of 16.1%, expanded its free cash flow margin by 5.3 percentage points over five years, and trades at $90.91 per share. Somnigroup, the bedding manufacturer behind Tempur-Pedic and Sealy, saw 14.5% annual revenue growth over five years, shrinking returns on capital, and no expected free cash flow margin growth, with shares at $75.12.