Sensata Technologies Holding plc
Sensata Technologies Holding plc Fundamental Analysis
Sensata Technologies Holding plc (ST) shows weak financial fundamentals with a PE ratio of 177.09, profit margin of 0.84%, and ROE of 1.11%. The company generates $3.7B in annual revenue with weak year-over-year growth of -3.34%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 33.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ST's fundamental strength across five key dimensions:
Efficiency Score
WeakST struggles to generate sufficient returns from assets.
Valuation Score
ModerateST shows balanced valuation metrics.
Growth Score
ModerateST shows steady but slowing expansion.
Financial Health Score
ExcellentST maintains a strong and stable balance sheet.
Profitability Score
ModerateST maintains healthy but balanced margins.
Key Financial Metrics
Is ST Expensive or Cheap?
P/E Ratio
ST trades at 177.09 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ST's PEG of 0.82 indicates potential undervaluation.
Price to Book
The market values Sensata Technologies Holding plc at 1.99 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.12 times EBITDA. This signals the market has high growth expectations.
How Well Does ST Make Money?
Net Profit Margin
For every $100 in sales, Sensata Technologies Holding plc keeps $0.84 as profit after all expenses.
Operating Margin
Core operations generate 6.40 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.11 in profit for every $100 of shareholder equity.
ROA
Sensata Technologies Holding plc generates $0.46 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Sensata Technologies Holding plc produces operating cash flow of $578.97M, showing steady but balanced cash generation.
Free Cash Flow
Sensata Technologies Holding plc generates strong free cash flow of $469.13M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.22 in free cash annually.
FCF Yield
ST converts 8.45% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
177.09
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.82
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.99
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.49
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.008
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.57
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.01
vs 25 benchmark
ROA
Return on assets percentage
0.005
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How ST Stacks Against Its Sector Peers
| Metric | ST Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 177.09 | 35.19 | Worse (Expensive) |
| ROE | 1.11% | 1155.00% | Weak |
| Net Margin | 0.84% | -127067.00% (disorted) | Weak |
| Debt/Equity | 0.01 | 0.41 | Strong (Low Leverage) |
| Current Ratio | 2.57 | 4.71 | Strong Liquidity |
| ROA | 0.46% | -314918.00% (disorted) | Weak |
ST outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Sensata Technologies Holding plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
22.97%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
-51.37%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
-4.74%
Industry Style: Growth, Innovation, High Beta
Declining