75.39 USD
+0.33 (+0.44%)
75.39 USD
0 (0%)
Overall STEP gets a fundamental rating of 3 out of 10. We evaluated STEP against 238 industry peers in the Capital Markets industry. Both the profitability and financial health of STEP have multiple concerns. STEP is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
- In the past year STEP was profitable.
- STEP had a positive operating cash flow in the past year.
- In multiple years STEP reported negative net income over the last 5 years.
- Each year in the past 5 years STEP had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of -11.54%, STEP is doing worse than 83.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -11.54% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-0.97%
ROA(5y)1.29%
ROE(3y)-28.2%
ROE(5y)-7.16%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- STEP's Gross Margin of 79.38% is amongst the best of the industry. STEP outperforms 84.45% of its industry peers.
- STEP's Gross Margin has improved in the last couple of years.
- The Profit Margin and Operating Margin are not available for STEP so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 79.38% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y5.98%
GM growth 5Y2.12%
2. Health
2.1 Basic Checks
- The number of shares outstanding for STEP has been increased compared to 1 year ago.
- The number of shares outstanding for STEP has been increased compared to 5 years ago.
- STEP has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 0.17, we must say that STEP is in the distress zone and has some risk of bankruptcy.
- STEP has a worse Altman-Z score (0.17) than 71.01% of its industry peers.
- The Debt to FCF ratio of STEP is 14.26, which is on the high side as it means it would take STEP, 14.26 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 14.26, STEP is in line with its industry, outperforming 58.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 14.26 | ||
| Altman-Z | 0.17 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- STEP has a Current Ratio of 0.79. This is a bad value and indicates that STEP is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 0.79, STEP is doing worse than 63.87% of the companies in the same industry.
- A Quick Ratio of 0.79 indicates that STEP may have some problems paying its short term obligations.
- STEP has a Quick ratio of 0.79. This is in the lower half of the industry: STEP underperforms 63.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
- STEP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.38%, which is quite impressive.
- The Earnings Per Share has been growing by 8.39% on average over the past years. This is quite good.
- Looking at the last year, STEP shows a very strong growth in Revenue. The Revenue has grown by 91.10%.
- Measured over the past years, STEP shows a very strong growth in Revenue. The Revenue has been growing by 21.29% on average per year.
EPS 1Y (TTM)26.38%
EPS 3Y8.39%
EPS 5YN/A
EPS Q2Q%20%
Revenue 1Y (TTM)91.1%
Revenue growth 3Y-4.87%
Revenue growth 5Y21.29%
Sales Q2Q%22.68%
3.2 Future
- STEP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.79% yearly.
- STEP is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 20.91% yearly.
EPS Next Y1.74%
EPS Next 2Y12.7%
EPS Next 3Y15.79%
EPS Next 5YN/A
Revenue Next Year13.2%
Revenue Next 2Y21.98%
Revenue Next 3Y20.91%
Revenue Next 5YN/A
3.3 Evolution
- 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
- STEP is valuated quite expensively with a Price/Earnings ratio of 36.60.
- Based on the Price/Earnings ratio, STEP is valued a bit more expensive than 76.89% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.30. STEP is valued slightly more expensive when compared to this.
- With a Price/Forward Earnings ratio of 28.96, STEP can be considered very expensive at the moment.
- STEP's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. STEP is more expensive than 67.23% of the companies in the same industry.
- STEP's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.6 | ||
| Fwd PE | 28.96 |
4.2 Price Multiples
- STEP's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 471.03 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- A more expensive valuation may be justified as STEP's earnings are expected to grow with 15.79% in the coming years.
PEG (NY)21.02
PEG (5Y)N/A
EPS Next 2Y12.7%
EPS Next 3Y15.79%
5. Dividend
5.1 Amount
- STEP has a Yearly Dividend Yield of 1.48%. Purely for dividend investing, there may be better candidates out there.
- STEP's Dividend Yield is slightly below the industry average, which is at 6.10.
- STEP's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
- STEP has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- The earnings of STEP are negative and hence is the payout ratio. STEP will probably not be able to sustain this dividend level.
DP-17.56%
EPS Next 2Y12.7%
EPS Next 3Y15.79%
STEPSTONE GROUP INC-CLASS A / STEP FAQ
Can you provide the ChartMill fundamental rating for STEPSTONE GROUP INC-CLASS A?
ChartMill assigns a fundamental rating of 3 / 10 to STEP.
What is the valuation status of STEPSTONE GROUP INC-CLASS A (STEP) stock?
ChartMill assigns a valuation rating of 1 / 10 to STEPSTONE GROUP INC-CLASS A (STEP). This can be considered as Overvalued.
Can you provide the profitability details for STEPSTONE GROUP INC-CLASS A?
STEPSTONE GROUP INC-CLASS A (STEP) has a profitability rating of 3 / 10.
What is the expected EPS growth for STEPSTONE GROUP INC-CLASS A (STEP) stock?
The Earnings per Share (EPS) of STEPSTONE GROUP INC-CLASS A (STEP) is expected to grow by 1.74% in the next year.
Can you provide the dividend sustainability for STEP stock?
The dividend rating of STEPSTONE GROUP INC-CLASS A (STEP) is 2 / 10 and the dividend payout ratio is -17.56%.