STE Valuation

STERIS plc

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242.330

+0.77(0.319%)1D

Overview
Forecast
Valuation
Earnings

STE Relative Valuation

STE's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, STE is overvalued; if below, it's undervalued.

Historical Valuation

STERIS plc (STE) is now in the Undervalued zone, suggesting that its current forward PE ratio of 23.48 is considered Undervalued compared with the five-year average of 24.76. The fair price of STERIS plc (STE) is between 250.28 to 292.63 according to relative valuation methord. Compared to the current price of 241.15 USD , STERIS plc is Undervalued By 3.65%.

Relative Value

Fair Zone

250.28-292.63

Current Price：241.15

3.65%

Undervalued

23.48

Trailing

Forward

15.10

EV/EBITDA

STERIS plc. (STE) has a current EV/EBITDA of 15.10. The 5-year average EV/EBITDA is 16.84. The thresholds are as follows: Strongly Undervalued below 13.22, Undervalued between 13.22 and 15.03, Fairly Valued between 18.66 and 15.03, Overvalued between 18.66 and 20.47, and Strongly Overvalued above 20.47. The current Forward EV/EBITDA of 15.10 falls within the Historic Trend Line -Fairly Valued range.

18.34

EV/EBIT

STERIS plc. (STE) has a current EV/EBIT of 18.34. The 5-year average EV/EBIT is 19.72. The thresholds are as follows: Strongly Undervalued below 15.51, Undervalued between 15.51 and 17.61, Fairly Valued between 21.83 and 17.61, Overvalued between 21.83 and 23.93, and Strongly Overvalued above 23.93. The current Forward EV/EBIT of 18.34 falls within the Historic Trend Line -Fairly Valued range.

3.95

STERIS plc. (STE) has a current PS of 3.95. The 5-year average PS is 4.11. The thresholds are as follows: Strongly Undervalued below 3.22, Undervalued between 3.22 and 3.66, Fairly Valued between 4.55 and 3.66, Overvalued between 4.55 and 4.99, and Strongly Overvalued above 4.99. The current Forward PS of 3.95 falls within the Historic Trend Line -Fairly Valued range.

19.46

P/OCF

STERIS plc. (STE) has a current P/OCF of 19.46. The 5-year average P/OCF is 21.60. The thresholds are as follows: Strongly Undervalued below 13.87, Undervalued between 13.87 and 17.73, Fairly Valued between 25.46 and 17.73, Overvalued between 25.46 and 29.33, and Strongly Overvalued above 29.33. The current Forward P/OCF of 19.46 falls within the Historic Trend Line -Fairly Valued range.

29.98

P/FCF

STERIS plc. (STE) has a current P/FCF of 29.98. The 5-year average P/FCF is 28.19. The thresholds are as follows: Strongly Undervalued below 3.50, Undervalued between 3.50 and 15.85, Fairly Valued between 40.53 and 15.85, Overvalued between 40.53 and 52.88, and Strongly Overvalued above 52.88. The current Forward P/FCF of 29.98 falls within the Historic Trend Line -Fairly Valued range.

STERIS plc (STE) has a current Price-to-Book (P/B) ratio of 3.42. Compared to its 3-year average P/B ratio of 3.38 , the current P/B ratio is approximately 1.05% higher. Relative to its 5-year average P/B ratio of 3.51, the current P/B ratio is about -2.70% higher. STERIS plc (STE) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 2.72%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 2.51% , the current FCF yield is about -100.00% lower.

3.42

P/B

Median3y

3.38

Median5y

3.51

3.83

FCF Yield

Median3y

2.72

Median5y

2.51

Competitors Valuation Multiple

The average P/S ratio for STE's competitors is 1.27, providing a benchmark for relative valuation. STERIS plc Corp (STE) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 8.72%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Koninklijke Philips NV

Mettler-Toledo International Inc

Zimmer Biomet Holdings Inc

Loss

6.97%

19.48B

Performance Decomposition

Market capitalization of STE increased by 8.88% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 10.94 to 12.80.

The secondary factor is the Revenue Growth, contributed 8.72%to the performance.

Overall, the performance of STE in the past 1 year is driven by Margin Expansion. Which is more sustainable.

8.72%

1.28B → 1.39B

Revenue Growth

17.00%

10.94 → 12.80

Margin Expansion

-16.84%

44.41 → 36.93

P/E Change

8.88%