Stifel Financial Corp.
Stifel Financial Corp. Fundamental Analysis
Stifel Financial Corp. (SF) shows moderate financial fundamentals with a PE ratio of 13.59, profit margin of 13.55%, and ROE of 15.43%. The company generates $6.5B in annual revenue with moderate year-over-year growth of 6.94%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 68.5/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze SF's fundamental strength across five key dimensions:
Efficiency Score
WeakSF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSF trades at attractive valuation levels.
Growth Score
ModerateSF shows steady but slowing expansion.
Financial Health Score
ExcellentSF maintains a strong and stable balance sheet.
Profitability Score
ModerateSF maintains healthy but balanced margins.
Key Financial Metrics
Is SF Expensive or Cheap?
P/E Ratio
SF trades at 13.59 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SF's PEG of -2.27 indicates potential undervaluation.
Price to Book
The market values Stifel Financial Corp. at 2.01 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.31 times EBITDA. This is generally considered low.
How Well Does SF Make Money?
Net Profit Margin
For every $100 in sales, Stifel Financial Corp. keeps $13.55 as profit after all expenses.
Operating Margin
Core operations generate 20.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $15.43 in profit for every $100 of shareholder equity.
ROA
Stifel Financial Corp. generates $2.12 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Stifel Financial Corp. produces operating cash flow of $1.05B, showing steady but balanced cash generation.
Free Cash Flow
Stifel Financial Corp. generates strong free cash flow of $988.73M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $6.39 in free cash annually.
FCF Yield
SF converts 8.32% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.59
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.27
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.006
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.83
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.36
vs 25 benchmark
Current Ratio
Current assets to current liabilities
5.24
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.15
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How SF Stacks Against Its Sector Peers
| Metric | SF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.59 | 19.02 | Better (Cheaper) |
| ROE | 15.43% | 815.00% | Weak |
| Net Margin | 13.55% | 1816.00% | Weak |
| Debt/Equity | 0.36 | 0.98 | Strong (Low Leverage) |
| Current Ratio | 5.24 | 670.62 | Strong Liquidity |
| ROA | 2.12% | -24633.00% (disorted) | Weak |
SF outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Stifel Financial Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
72.93%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
40.29%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-21.45%
Industry Style: Value, Dividend, Cyclical
Declining