NYSE:ST is a prime example of a stock that offers more than what meets the eye in terms of fundamentals.

Last update: May 1, 2024

Discover SENSATA TECHNOLOGIES HOLDING (NYSE:ST)—an undervalued stock our stock screener has picked out. NYSE:ST demonstrates solid fundamentals, including health and profitability, all while staying attractively priced. Let's explore the details.

Deciphering NYSE:ST's Valuation Rating

ChartMill assigns a Valuation Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing different valuation elements, such as price to earnings and free cash flow, both in absolute terms and relative to the market and industry. In the case of NYSE:ST, the assigned 7 reflects its valuation:

With a Price/Earnings ratio of 10.61, the valuation of ST can be described as very reasonable.
92.86% of the companies in the same industry are more expensive than ST, based on the Price/Earnings ratio.
ST is valuated cheaply when we compare the Price/Earnings ratio to 24.67, which is the current average of the S&P500 Index.
ST is valuated reasonably with a Price/Forward Earnings ratio of 10.03.
Based on the Price/Forward Earnings ratio, ST is valued cheaper than 95.24% of the companies in the same industry.
ST is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.02, which is the current average of the S&P500 Index.
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ST indicates a rather cheap valuation: ST is cheaper than 85.71% of the companies listed in the same industry.
80.95% of the companies in the same industry are more expensive than ST, based on the Price/Free Cash Flow ratio.

Looking at the Profitability

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NYSE:ST, the assigned 5 is a significant indicator of profitability:

Looking at the Return On Assets, with a value of -0.05%, ST is in the better half of the industry, outperforming 67.86% of the companies in the same industry.
ST has a Return On Equity of -0.13%. This is in the better half of the industry: ST outperforms 69.05% of its industry peers.
With a decent Return On Invested Capital value of 6.43%, ST is doing good in the industry, outperforming 72.62% of the companies in the same industry.
ST has a better Operating Margin (13.76%) than 82.14% of its industry peers.
The Gross Margin of ST (31.11%) is better than 71.43% of its industry peers.

Health Assessment of NYSE:ST

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:ST has achieved a 5 out of 10:

With a decent Altman-Z score value of 2.12, ST is doing good in the industry, outperforming 60.71% of the companies in the same industry.
With a decent Debt to FCF ratio value of 12.49, ST is doing good in the industry, outperforming 71.43% of the companies in the same industry.
A Current Ratio of 2.55 indicates that ST has no problem at all paying its short term obligations.
ST has a better Current ratio (2.55) than 70.24% of its industry peers.
Looking at the Quick ratio, with a value of 1.69, ST is in the better half of the industry, outperforming 63.10% of the companies in the same industry.

What does the Growth looks like for NYSE:ST

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NYSE:ST has earned a 4 for growth:

The Earnings Per Share is expected to grow by 12.08% on average over the next years. This is quite good.
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

More Decent Value stocks can be found in our Decent Value screener.

Check the latest full fundamental report of ST for a complete fundamental analysis.

Keep in mind

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.