Is StepStone Group’s (STEP) Leadership Succession Strategy Reinforcing or Recasting Its Private Equity Identity?

• StepStone Group has announced that longtime Partner Lindsay Creedon, currently Co-Head of Private Equity Co-Investments and a Global Executive Committee member, will become Head of Private Equity effective January 1, 2026, while CEO Scott Hart remains on the Private Equity Investment Committee.
• This appointment highlights StepStone’s emphasis on leadership continuity and culture, as Creedon will retain her committee roles and stewardship of major client relationships.
• Next, we’ll examine how Creedon’s expanded leadership in private equity shapes StepStone Group’s broader investment narrative and long-term positioning.

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What Is StepStone Group's Investment Narrative?

To own StepStone Group, you need to believe in its role as a scaled, diversified gatekeeper to private markets, even as the firm works through recent losses and a dividend that is not covered by earnings. The big near term swing factors still look tied to fundraising momentum, performance fees and uptake of newer vehicles like the STPEX interval fund, rather than to this week’s leadership news. Lindsay Creedon’s appointment as future Head of Private Equity reads as continuity more than disruption, reinforcing the culture and investment process that already support those catalysts. The core risks remain: a rich price-to-sales multiple for an unprofitable business, relatively weak recent share returns and governance questions around board independence and CEO pay while losses have increased.

However, governance and profit trends are issues investors should keep front of mind. According our valuation report, there's an indication that StepStone Group's share price might be on the cheaper side.

Exploring Other Perspectives

The single Simply Wall St Community fair value estimate of US$9.10 sits far below recent trading, underscoring how differently some private investors view StepStone’s loss-making profile and governance concerns compared with current market optimism.

Explore another fair value estimate on StepStone Group - why the stock might be worth less than half the current price!

Build Your Own StepStone Group Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your StepStone Group research is our analysis highlighting 1 key reward and 2 important warning signs that could impact your investment decision.
• Our free StepStone Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate StepStone Group's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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