Sensata Technologies Holding plc Fundamental Analysis (NYSE: ST)
Sensata Technologies Holding plc Fundamental Analysis (NYSE: ST)
Sensata Technologies Holding plc (NYSE: ST) shows weak financial fundamentals with a PE ratio of 72.02, profit margin of 2.38%, and ROE of 3.18%. The company generates $3.8B in annual revenue with weak year-over-year growth of -5.86%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 26.7/100 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
WeakST faces weak or negative growth trends.
Financial Health Score
ExcellentST maintains a strong and stable balance sheet.
Profitability Score
WeakST struggles to sustain strong margins.
Key Financial Metrics
Is ST Expensive or Cheap?
P/E Ratio
ST trades at 72.02 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ST's PEG of -0.22 indicates potential undervaluation.
Price to Book
The market values Sensata Technologies Holding plc at 2.23 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 6.19 times EBITDA. This is generally considered low.
How Well Does ST Make Money?
Net Profit Margin
For every $100 in sales, Sensata Technologies Holding plc keeps $2.38 as profit after all expenses.
Operating Margin
Core operations generate 14.49 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.18 in profit for every $100 of shareholder equity.
ROA
Sensata Technologies Holding plc generates $1.36 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 $684.03M, showing steady but balanced cash generation.
Free Cash Flow
Sensata Technologies Holding plc generates strong free cash flow of $571.50M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.93 in free cash annually.
FCF Yield
ST converts 8.69% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
72.02
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.22
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.23
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.75
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.83
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.29
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How ST Stacks Against Its Sector Peers
| Metric | ST Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 72.02 | 35.70 | Worse (Expensive) |
| ROE | 3.18% | 723.00% | Weak |
| Net Margin | 2.38% | -131080.00% (disorted) | Weak |
| Debt/Equity | 0.83 | 0.22 | Weak (High Leverage) |
| Current Ratio | 2.29 | 5.96 | Strong Liquidity |
| ROA | 1.36% | 247.00% | Weak |
ST outperforms its industry in 1 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
31.13%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
-79.53%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
19.27%
Industry Style: Growth, Innovation, High Beta
High Growth