STERIS Valuation

Is STE N undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of STE N when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: STE N (MX$3824.43) is trading above our estimate of fair value (MX$2715.2)

Significantly Below Fair Value: STE N is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for STE N?

Key metric: As STE N is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for STE N. This is calculated by dividing STE N's market cap by their current revenue.
What is STE N's PS Ratio?
PS Ratio4.4x
SalesUS$5.09b
Market CapUS$22.15b

Price to Sales Ratio vs Peers

How does STE N's PS Ratio compare to its peers?

The above table shows the PS ratio for STE N vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average7.2x
PODD Insulet
9.2x14.3%US$18.2b
SOON Sonova Holding
5.2x6.3%CHF 18.9b
DXCM DexCom
7.5x13.3%US$29.6b
STMN Straumann Holding
6.9x8.6%CHF 17.6b
STE N STERIS
4.4x7.0%Mex$22.1b

Price-To-Sales vs Peers: STE N is good value based on its Price-To-Sales Ratio (4.4x) compared to the peer average (6.6x).


Price to Sales Ratio vs Industry

How does STE N's PS Ratio compare vs other companies in the Global Medical Equipment Industry?

135 CompaniesPrice / SalesEstimated GrowthMarket Cap
STE N 4.4xIndustry Avg. 3.3xNo. of Companies135PS03.26.49.612.816+
135 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: STE N is expensive based on its Price-To-Sales Ratio (4.4x) compared to the Global Medical Equipment industry average (3.5x).


Price to Sales Ratio vs Fair Ratio

What is STE N's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

STE N PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4.4x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate STE N's Price-To-Sales Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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