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STC: Compliance Platform Launch Will Support Stable Outlook And Dividend Profile

New Digital Services And Higher Dividend Will Drive Shareholder Opportunity

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STC
AnalystConsensusTarget
Not Invested
Published 24 Sep 2024

Update shared on 09 Dec 2025

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AnalystConsensusTarget's Fair Value
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1Y
1.7%
7D
2.4%

Analysts have modestly reaffirmed their view on Stewart Information Services, maintaining a fair value estimate of approximately $80.00 per share. They see essentially unchanged long term assumptions for revenue growth, profit margins, and valuation multiples supporting a stable outlook.

What's in the News

  • Launched FINCEN Reporting Services, a new technology platform to help title and closing customers comply with FinCEN's Anti-Money Laundering Rule by automating data collection, reportability checks, communications, electronic filings, and document retention (company announcement)
  • Positioned FINCEN Reporting Services as an industry first, offering seamless communication among all transaction parties while ensuring secure data handling and timely report submissions for both residential and commercial deals (company announcement)
  • Enhanced compliance offering with advanced encryption, real time status dashboards, and integrated support across transaction types, aiming to reduce operational burden and regulatory risk for clients ahead of the March 1, 2026 reporting deadline (company announcement)

Valuation Changes

  • Fair Value Estimate is unchanged at approximately $80.00 per share, reflecting a stable overall valuation framework.
  • The discount rate edged down very slightly to 6.96 percent, implying a virtually identical cost of capital assumption.
  • Revenue growth is effectively unchanged at about 8.81 percent annually, indicating consistent expectations for top line expansion.
  • The net profit margin remains steady at roughly 6.75 percent, signaling no material shift in long term profitability assumptions.
  • Future P/E holds essentially flat at around 11.27 times, suggesting no notable change in the market multiple applied to future earnings.

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Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.