Steel Partners Holdings L.P.
Steel Partners Holdings L.P. Fundamental Analysis
Steel Partners Holdings L.P. (SPLP) shows strong financial fundamentals with a PE ratio of 3.78, profit margin of 12.04%, and ROE of 20.65%. The company generates $2.1B in annual revenue with moderate year-over-year growth of 6.42%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 70.1/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze SPLP's fundamental strength across five key dimensions:
Efficiency Score
WeakSPLP struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSPLP trades at attractive valuation levels.
Growth Score
ExcellentSPLP delivers strong and consistent growth momentum.
Financial Health Score
ExcellentSPLP maintains a strong and stable balance sheet.
Profitability Score
ModerateSPLP maintains healthy but balanced margins.
Key Financial Metrics
Is SPLP Expensive or Cheap?
P/E Ratio
SPLP trades at 3.78 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SPLP's PEG of 0.22 indicates potential undervaluation.
Price to Book
The market values Steel Partners Holdings L.P. at 0.72 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.04 times EBITDA. This is generally considered low.
How Well Does SPLP Make Money?
Net Profit Margin
For every $100 in sales, Steel Partners Holdings L.P. keeps $12.04 as profit after all expenses.
Operating Margin
Core operations generate 15.55 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $20.65 in profit for every $100 of shareholder equity.
ROA
Steel Partners Holdings L.P. generates $6.53 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Steel Partners Holdings L.P. generates limited operating cash flow of $146.10M, signaling weaker underlying cash strength.
Free Cash Flow
Steel Partners Holdings L.P. produces free cash flow of $112.33M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $5.89 in free cash annually.
FCF Yield
SPLP converts 11.70% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
3.78
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.22
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.72
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.46
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.09
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.34
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.18
vs 25 benchmark
How SPLP Stacks Against Its Sector Peers
| Metric | SPLP Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 3.78 | 26.32 | Better (Cheaper) |
| ROE | 20.65% | 1290.00% | Weak |
| Net Margin | 12.04% | -43768.00% (disorted) | Strong |
| Debt/Equity | 0.09 | 116.05 | Strong (Low Leverage) |
| Current Ratio | 1.34 | 10.65 | Neutral |
| ROA | 6.53% | -1541671.00% (disorted) | Weak |
SPLP outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Steel Partners Holdings L.P.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
62.02%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
2643.65%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
305.68%
Industry Style: Cyclical, Value, Infrastructure
High Growth