16.74 USD
-0.04 (-0.24%)
STER gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 86 industry peers in the Professional Services industry. STER may be in some trouble as it scores bad on both profitability and health. STER is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
STER had positive earnings in the past year.
STER had a positive operating cash flow in the past year.
STER had negative earnings in 4 of the past 5 years.
Each year in the past 5 years STER had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -1.04%, STER is not doing good in the industry: 71.79% of the companies in the same industry are doing better.
With a Return On Equity value of -2.07%, STER is not doing good in the industry: 70.51% of the companies in the same industry are doing better.
The Return On Invested Capital of STER (2.06%) is worse than 65.38% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for STER is significantly below the industry average of 12.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.04% | ||
| ROE | -2.07% | ||
| ROIC | 2.06% |
ROA(3y)0.01%
ROA(5y)-1.46%
ROE(3y)0%
ROE(5y)-3.28%
ROIC(3y)2.58%
ROIC(5y)N/A
1.3 Margins
STER has a Operating Margin (4.56%) which is in line with its industry peers.
STER has a Gross Margin (45.32%) which is in line with its industry peers.
In the last couple of years the Gross Margin of STER has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.56% | ||
| PM (TTM) | N/A | ||
| GM | 45.32% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.7%
GM growth 5YN/A
2. Health
2.1 Basic Checks
STER has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
STER has less shares outstanding than it did 1 year ago.
Compared to 1 year ago, STER has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.82 indicates that STER is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 1.82, STER is not doing good in the industry: 69.23% of the companies in the same industry are doing better.
The Debt to FCF ratio of STER is 8.97, which is on the high side as it means it would take STER, 8.97 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.97, STER is doing worse than 60.26% of the companies in the same industry.
STER has a Debt/Equity ratio of 0.73. This is a neutral value indicating STER is somewhat dependend on debt financing.
STER has a Debt to Equity ratio of 0.73. This is in the lower half of the industry: STER underperforms 62.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 8.97 | ||
| Altman-Z | 1.82 |
ROIC/WACC0.24
WACC8.51%
2.3 Liquidity
STER has a Current Ratio of 1.62. This is a normal value and indicates that STER is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of STER (1.62) is better than 61.54% of its industry peers.
STER has a Quick Ratio of 1.62. This is a normal value and indicates that STER is financially healthy and should not expect problems in meeting its short term obligations.
STER's Quick ratio of 1.62 is fine compared to the rest of the industry. STER outperforms 64.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
The earnings per share for STER have decreased strongly by -12.75% in the last year.
STER shows a decrease in Revenue. In the last year, the revenue decreased by -0.32%.
The Revenue has been growing by 16.59% on average over the past years. This is quite good.
EPS 1Y (TTM)-12.75%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-17.86%
Revenue 1Y (TTM)-0.32%
Revenue growth 3Y16.59%
Revenue growth 5YN/A
Sales Q2Q%5.33%
3.2 Future
Based on estimates for the next years, STER will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.09% on average per year.
Based on estimates for the next years, STER will show a quite strong growth in Revenue. The Revenue will grow by 8.13% on average per year.
EPS Next Y-8.3%
EPS Next 2Y5.97%
EPS Next 3Y9.09%
EPS Next 5YN/A
Revenue Next Year6.36%
Revenue Next 2Y7.66%
Revenue Next 3Y8.13%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 18.81, the valuation of STER can be described as rather expensive.
STER's Price/Earnings ratio is a bit cheaper when compared to the industry. STER is cheaper than 66.67% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.92, STER is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 15.06, the valuation of STER can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of STER indicates a somewhat cheap valuation: STER is cheaper than 73.08% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.46, STER is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.81 | ||
| Fwd PE | 15.06 |
4.2 Price Multiples
STER's Enterprise Value to EBITDA ratio is in line with the industry average.
STER's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.62 | ||
| EV/EBITDA | 21.88 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.97%
EPS Next 3Y9.09%
5. Dividend
5.1 Amount
No dividends for STER!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:STER (10/30/2024, 8:00:00 PM)
16.74
-0.04 (-0.24%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners84.64%
Inst Owner Change0%
Ins Owners0.47%
Ins Owner Change0%
Market Cap1.64B
Revenue(TTM)736.54M
Net Income(TTM)-15.17M
Analysts52.31
Price Target16.83 (0.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-22.66%
Min EPS beat(2)-29.87%
Max EPS beat(2)-15.44%
EPS beat(4)0
Avg EPS beat(4)-18.8%
Min EPS beat(4)-29.87%
Max EPS beat(4)-13.71%
EPS beat(8)2
Avg EPS beat(8)-11.35%
EPS beat(12)6
Avg EPS beat(12)0.84%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.46%
Min Revenue beat(2)-1.66%
Max Revenue beat(2)0.74%
Revenue beat(4)1
Avg Revenue beat(4)-3.29%
Min Revenue beat(4)-8.28%
Max Revenue beat(4)0.74%
Revenue beat(8)1
Avg Revenue beat(8)-2.85%
Revenue beat(12)5
Avg Revenue beat(12)1.14%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.01%
PT rev (3m)2.01%
EPS NQ rev (1m)-11.11%
EPS NQ rev (3m)-18.42%
EPS NY rev (1m)-4.93%
EPS NY rev (3m)-11.63%
Revenue NQ rev (1m)-0.38%
Revenue NQ rev (3m)-1.31%
Revenue NY rev (1m)0.89%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.81 | ||
| Fwd PE | 15.06 | ||
| P/S | 2.23 | ||
| P/FCF | 26.62 | ||
| P/OCF | 19.5 | ||
| P/B | 2.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.88 |
EPS(TTM)0.89
EY5.32%
EPS(NY)1.11
Fwd EY6.64%
FCF(TTM)0.63
FCFY3.76%
OCF(TTM)0.86
OCFY5.13%
SpS7.52
BVpS7.49
TBVpS-4.32
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.04% | ||
| ROE | -2.07% | ||
| ROCE | 2.6% | ||
| ROIC | 2.06% | ||
| ROICexc | 2.18% | ||
| ROICexgc | 44.9% | ||
| OM | 4.56% | ||
| PM (TTM) | N/A | ||
| GM | 45.32% | ||
| FCFM | 8.37% |
ROA(3y)0.01%
ROA(5y)-1.46%
ROE(3y)0%
ROE(5y)-3.28%
ROIC(3y)2.58%
ROIC(5y)N/A
ROICexc(3y)2.75%
ROICexc(5y)N/A
ROICexgc(3y)51.21%
ROICexgc(5y)N/A
ROCE(3y)3.27%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.7%
GM growth 5YN/A
F-Score3
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 8.97 | ||
| Debt/EBITDA | 5.55 | ||
| Cap/Depr | 35.59% | ||
| Cap/Sales | 3.06% | ||
| Interest Coverage | 0.91 | ||
| Cash Conversion | 86.87% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 1.82 |
F-Score3
WACC8.51%
ROIC/WACC0.24
Cap/Depr(3y)27.76%
Cap/Depr(5y)27.08%
Cap/Sales(3y)2.81%
Cap/Sales(5y)3.7%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-12.75%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-17.86%
EPS Next Y-8.3%
EPS Next 2Y5.97%
EPS Next 3Y9.09%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.32%
Revenue growth 3Y16.59%
Revenue growth 5YN/A
Sales Q2Q%5.33%
Revenue Next Year6.36%
Revenue Next 2Y7.66%
Revenue Next 3Y8.13%
Revenue Next 5YN/A
EBIT growth 1Y-27.27%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year23.82%
EBIT Next 3Y15.9%
EBIT Next 5YN/A
FCF growth 1Y71.64%
FCF growth 3Y57.18%
FCF growth 5YN/A
OCF growth 1Y48.64%
OCF growth 3Y38.83%
OCF growth 5YN/A
STERLING CHECK CORP / STER FAQ
What is the fundamental rating for STER stock?
ChartMill assigns a fundamental rating of 3 / 10 to STER.
What is the valuation status for STER stock?
ChartMill assigns a valuation rating of 4 / 10 to STERLING CHECK CORP (STER). This can be considered as Fairly Valued.
Can you provide the profitability details for STERLING CHECK CORP?
STERLING CHECK CORP (STER) has a profitability rating of 2 / 10.
What are the PE and PB ratios of STERLING CHECK CORP (STER) stock?
The Price/Earnings (PE) ratio for STERLING CHECK CORP (STER) is 18.81 and the Price/Book (PB) ratio is 2.23.
Can you provide the financial health for STER stock?
The financial health rating of STERLING CHECK CORP (STER) is 3 / 10.