STEM Stock Overview

Provides specialist recruitment services in the sciences, technology, engineering, and mathematics markets in the United Kingdom, Austria, Germany, Switzerland, Netherlands, Spain, Belgium, France, the United States, Dubai, Japan. More details

STEM fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	6/6
Financial Health	6/6
Dividends	5/6

Rewards

Price-To-Earnings ratio (6.4x) is below the UK market (15.7x)

Earnings grew by 13.2% over the past year

Trading at good value compared to peers and industry

Risk Analysis

Earnings are forecast to decline by an average of 36.3% per year for the next 3 years

Volatile share price over the past 3 months compared to the UK market

Unstable dividend track record

My Notes

Capture your thoughts, links and company narrative

SThree plc Competitors

Robert Walters

LSE:RWA

UK£214.2m

PageGroup

LSE:PAGE

UK£1.0b

Learning Technologies Group

AIM:LTG

UK£776.1m

Gattaca

AIM:GATC

UK£26.8m

Price History & Performance

Summary of share price highs, lows and changes for SThree
Historical stock prices
Current Share Price	UK£2.70
52 Week High	UK£4.58
52 Week Low	UK£2.22
Beta	0.98
1 Month Change	-19.88%
3 Month Change	-33.42%
1 Year Change	-36.09%
3 Year Change	-41.81%
5 Year Change	-27.03%
Change since IPO	32.03%

SThree plc's (LON:STEM) 25% Dip In Price Shows Sentiment Is Matching Earnings

Dec 17

SThree's (LON:STEM) Dividend Will Be £0.051

Jul 26

Recent updates

We Think SThree's (LON:STEM) Statutory Profit Might Understate Its Earnings Potential

Jan 13

SThree plc's (LON:STEM) Stock Has Seen Strong Momentum: Does That Call For Deeper Study Of Its Financial Prospects?

Dec 23

A Look At SThree's (LON:STEM) Share Price Returns

Dec 02

Shareholder Returns

	STEM	GB Professional Services	GB Market
7D	0%	-2.9%	-2.6%
1Y	-36.1%	12.3%	2.7%

Return vs Industry: STEM underperformed the UK Professional Services industry which returned 12.3% over the past year.

Return vs Market: STEM underperformed the UK Market which returned 2.7% over the past year.

Price Volatility

Is STEM's price volatile compared to industry and market?
STEM volatility
STEM Average Weekly Movement	8.4%
Professional Services Industry Average Movement	4.4%
Market Average Movement	4.8%
10% most volatile stocks in GB Market	10.5%
10% least volatile stocks in GB Market	2.6%

Stable Share Price: STEM's share price has been volatile over the past 3 months compared to the UK market.

Volatility Over Time: STEM's weekly volatility (8%) has been stable over the past year, but is still higher than 75% of UK stocks.

About the Company

Founded	Employees	CEO	Website
1986	2,280	Timo Lehne	www.sthree.com

SThree plc provides specialist recruitment services in the sciences, technology, engineering, and mathematics markets in the United Kingdom, Austria, Germany, Switzerland, Netherlands, Spain, Belgium, France, the United States, Dubai, Japan. The company offers recruitment services for permanent and contract roles, as well as support services. The company provides its services under the Computer Futures, Progressive Recruitment, Real Staffing, Huxley, Global Enterprise Partners, JP Gray, Madison Black, Newington International, and Orgtel brands.

SThree plc Fundamentals Summary

How do SThree's earnings and revenue compare to its market cap?
STEM fundamental statistics
Market cap	UK£353.71m
Earnings (TTM)	UK£56.48m
Revenue (TTM)	UK£1.60b

6.4x

P/E Ratio

0.2x

P/S Ratio

Is STEM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
STEM income statement (TTM)
Revenue	UK£1.60b
Cost of Revenue	UK£1.20b
Gross Profit	UK£398.93m
Other Expenses	UK£342.44m
Earnings	UK£56.48m

Last Reported Earnings

May 31, 2024

Next Earnings Date

Jan 28, 2025

Earnings per share (EPS)	0.42
Gross Margin	24.91%
Net Profit Margin	3.53%
Debt/Equity Ratio	0%

How did STEM perform over the long term?

See historical performance and comparison

Dividends

6.2%

Current Dividend Yield

39%

Payout Ratio

Company Analysis and Financial Data Status

Data	Last Updated (UTC time)
Company Analysis	2024/12/20 20:04
End of Day Share Price	2024/12/20 00:00
Earnings	2024/05/31
Annual Earnings	2023/11/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

Package	Data	Timeframe	Example US Source ^*
Company Financials	10 years	Income statement Cash flow statement Balance sheet	SEC Form 10-K SEC Form 10-Q
Analyst Consensus Estimates	+3 years	Forecast financials Analyst price targets	Analyst Research Reports Blue Matrix
Market Prices	30 years	Stock prices Dividends, Splits and Actions	ICE Market Data SEC Form S-1
Ownership	10 years	Top shareholders Insider trading	SEC Form 4 SEC Form 13D
Management	10 years	Leadership team Board of directors	SEC Form 10-K SEC Form DEF 14A
Key Developments	10 years	Company announcements	SEC Form 8-K

^* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

SThree plc is covered by 26 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

Analyst	Institution
James Bayliss	Berenberg
James Gilbert	Canaccord Genuity
Andrew Smith	Charles Stanley Securities

STEM Stock Overview

Rewards

Risk Analysis

SThree plc Competitors

LSE:RWA

UK£214.2m

LSE:PAGE

UK£1.0b

AIM:LTG

UK£776.1m

AIM:GATC

UK£26.8m

Price History & Performance

Recent News & Updates

SThree plc's (LON:STEM) 25% Dip In Price Shows Sentiment Is Matching Earnings

New major risk - Revenue and earnings growth

SThree plc to Report Fiscal Year 2024 Results on Jan 28, 2025

Upcoming dividend of UK£0.051 per share

Now 20% undervalued after recent price drop

SThree's (LON:STEM) Dividend Will Be £0.051

Recent updates

SThree plc's (LON:STEM) 25% Dip In Price Shows Sentiment Is Matching Earnings

New major risk - Revenue and earnings growth

SThree plc to Report Fiscal Year 2024 Results on Jan 28, 2025

Upcoming dividend of UK£0.051 per share

Now 20% undervalued after recent price drop

SThree's (LON:STEM) Dividend Will Be £0.051

CFO & Executive Director exercised options and sold UK£117k worth of stock

First half dividend increased to UK£0.051

First half 2024 earnings released: EPS: UK£0.21 (vs UK£0.21 in 1H 2023)

SThree plc Proposes Interim Dividend for the Six Months Ended 31 May 2024, Payable on 6 December 2024

Now 20% overvalued after recent price rise

SThree plc to Report First Half, 2024 Results on Jul 23, 2024

High number of new directors

SThree plc Approves Final Dividend

SThree (LON:STEM) Is Paying Out A Larger Dividend Than Last Year

SThree (LON:STEM) Is Paying Out A Larger Dividend Than Last Year

SThree plc Announces Appointment of Sanjeevan Bala as an Independent Non-Executive Director, Effective April 25, 2024

CEO & Executive Director exercised options and sold UK£135k worth of stock

SThree's (LON:STEM) Dividend Will Be Increased To £0.116

SThree (LON:STEM) Is Increasing Its Dividend To £0.116

Final dividend of UK£0.12 announced

Full year 2023 earnings: EPS and revenues exceed analyst expectations

SThree plc to Report Q1, 2024 Results on Mar 19, 2024

SThree plc, Annual General Meeting, Apr 25, 2024

SThree plc Announces Retirement of Barrie Brien from Board

Upcoming dividend of UK£0.05 per share at 4.3% yield

Price target decreased by 8.8% to UK£5.59

SThree's (LON:STEM) Dividend Will Be £0.05

SThree (LON:STEM) Has Announced A Dividend Of £0.05

SThree (LON:STEM) Has Affirmed Its Dividend Of £0.05

First half 2023 earnings released: EPS: UK£0.21 (vs UK£0.24 in 1H 2022)

SThree plc Proposes Interim Dividend for the Six Months Ended 31 May 2023, Payable on 8 December 2023

Upcoming dividend of UK£0.11 per share at 3.9% yield

Now 20% undervalued after recent price drop

SThree (LON:STEM) Is Increasing Its Dividend To £0.11

Now 21% undervalued

Estimating The Fair Value Of SThree plc (LON:STEM)

Consensus EPS estimates increase by 15%

SThree (LON:STEM) Is Increasing Its Dividend To £0.11

Full year 2022 earnings: EPS and revenues exceed analyst expectations

SThree plc, Annual General Meeting, Apr 19, 2023

SThree plc to Report Fiscal Year 2022 Results on Jan 30, 2023

Imogen Joss, Independent Non-Executive Director of Euromoney Appoints as A Non-Executive Director of Sthree Plc, with Effect from 1 December 2022

Less than half of directors are independent

Upcoming dividend of UK£0.05 per share

SThree's (LON:STEM) Shareholders Will Receive A Bigger Dividend Than Last Year

SThree (LON:STEM) Will Pay A Larger Dividend Than Last Year At £0.05

SThree plc Appoints Elaine O’Donnell as Non-Executive Director, as Chair of the Audit and Risk Committee and Member of the Remuneration and Nomination Committees

Less than half of directors are independent

Is Now An Opportune Moment To Examine SThree plc (LON:STEM)?

SThree's (LON:STEM) Dividend Will Be Increased To £0.05

SThree plc Announces Management Changes, Effective 1 October 2022

First half 2022 earnings released: EPS: UK£0.24 (vs UK£0.14 in 1H 2021)

Sthree plc Proposes to Pay Interim Dividend, Payable on 2 December 2022

Returns On Capital Signal Tricky Times Ahead For SThree (LON:STEM)

SThree plc to Report First Half, 2022 Results on Jul 25, 2022

Investor sentiment deteriorated over the past week

Should You Think About Buying SThree plc (LON:STEM) Now?

Upcoming dividend of UK£0.08 per share