Stem Inc Stock Buy Hold or Sell Recommendation
| STEM Stock | USD 1.73 0.03 1.76% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Stem Inc is 'Strong Hold'. Macroaxis provides Stem buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Stem positions. The advice algorithm takes into account all of Stem's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Stem's buy or sell advice are summarized below:
Real Value 2.1 | Target Price 9.43 | Hype Value 1.7 | Market Value 1.73 | Naive Value 1.4 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Stem Inc given historical horizon and risk tolerance towards Stem. When Macroaxis issues a 'buy' or 'sell' recommendation for Stem Inc, the advice is generated through an automated system that utilizes algorithms and statistical models.
Stem |
Execute Stem Buy or Sell Advice
The Stem recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Stem Inc. Macroaxis does not own or have any residual interests in Stem Inc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Stem's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Dangerous | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Average | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Stem Trading Alerts and Improvement Suggestions
| Stem Inc generated a negative expected return over the last 90 days | |
| Stem Inc has high historical volatility and very poor performance | |
| Stem Inc may become a speculative penny stock | |
| Stem Inc has high likelihood to experience some financial distress in the next 2 years | |
| The company reported the previous year's revenue of 461.51 M. Net Loss for the year was (140.41 M) with profit before overhead, payroll, taxes, and interest of 35.66 M. | |
| Stem Inc currently holds about 334.89 M in cash with (207.38 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 2.17, which can makes it an attractive takeover target, given it will continue generating positive cash flow. | |
| Roughly 71.0% of the company shares are owned by institutional investors | |
| Latest headline from businesswire.com: Mouser Electronics Sponsors Ten80 STEM Challenge to Empower Future Engineers and Innovators |
Stem Returns Distribution Density
The distribution of Stem's historical returns is an attempt to chart the uncertainty of Stem's future price movements. The chart of the probability distribution of Stem daily returns describes the distribution of returns around its average expected value. We use Stem Inc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Stem returns is essential to provide solid investment advice for Stem.
| Mean Return | -0.57 | Value At Risk | -9.14 | Potential Upside | 9.18 | Standard Deviation | 6.21 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Stem historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Stem Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Stem is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Stem Inc backward and forwards among themselves. Stem's institutional investor refers to the entity that pools money to purchase Stem's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Morgan Stanley - Brokerage Accounts | 2023-12-31 | 1.5 M | Ardsley Advisory Partners | 2023-12-31 | 1.4 M | Van Eck Associates Corporation | 2023-12-31 | 1.4 M | Rock Point Advisors, Llc | 2023-12-31 | 1.4 M | Northern Trust Corp | 2023-12-31 | 1.3 M | Nomura Holdings Inc | 2023-12-31 | 1.2 M | Bank Of New York Mellon Corp | 2023-12-31 | 1.1 M | Lido Advisors, Llc | 2023-12-31 | 1.1 M | Yaupon Capital Management Lp | 2023-12-31 | 1.1 M | Schroder Investment Management Group | 2023-12-31 | 11.4 M | Blackrock Inc | 2023-12-31 | 11.2 M |
Stem Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (1.6M) | (17.3M) | (1.9M) | 18.6M | (18.3M) | (17.4M) | |
| Change In Cash | (9.0M) | (5.9M) | 740.8M | (659.9M) | 17.5M | 13.4M | |
| Net Borrowings | 67.2M | (92.3K) | 421.9M | (8.8M) | (10.1M) | (9.6M) | |
| Depreciation | 13.9M | 17.7M | 24.5M | 45.4M | 45.8M | 27.9M | |
| Capital Expenditures | 46.4M | 12.0M | 10.2M | 20.9M | 18.2M | 21.8M | |
| Net Income | (59.4M) | (156.1M) | (101.2M) | (124.1M) | (140.4M) | (147.4M) | |
| End Period Cash Flow | 12.9M | 6.9M | 747.8M | 87.9M | 105.4M | 176.2M | |
| Change To Netincome | 5.9M | (109.5M) | 34.8M | 35.1M | 40.4M | 42.4M |
Stem Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Stem or Electrical Equipment sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Stem's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Stem stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -1.04 | |
β | Beta against NYSE Composite | 5.39 | |
σ | Overall volatility | 6.05 | |
Ir | Information ratio | -0.11 |
Stem Volatility Alert
Stem Inc is displaying above-average volatility over the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Stem's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Stem's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Stem Fundamentals Vs Peers
Comparing Stem's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Stem's direct or indirect competition across all of the common fundamentals between Stem and the related equities. This way, we can detect undervalued stocks with similar characteristics as Stem or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Stem's fundamental indicators could also be used in its relative valuation, which is a method of valuing Stem by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Stem to competition |
| Fundamentals | Stem | Peer Average |
| Return On Equity | -0.29 | -0.31 |
| Return On Asset | -0.0785 | -0.14 |
| Profit Margin | (0.30) % | (1.27) % |
| Operating Margin | (0.19) % | (5.51) % |
| Current Valuation | 758.99 M | 16.62 B |
| Shares Outstanding | 161.53 M | 571.82 M |
| Shares Owned By Insiders | 3.64 % | 10.09 % |
| Shares Owned By Institutions | 71.18 % | 39.21 % |
| Number Of Shares Shorted | 37.24 M | 4.71 M |
| Price To Earning | 10.62 X | 28.72 X |
| Price To Book | 0.65 X | 9.51 X |
| Price To Sales | 0.60 X | 11.42 X |
| Revenue | 461.51 M | 9.43 B |
| Gross Profit | 35.66 M | 27.38 B |
| EBITDA | (120.73 M) | 3.9 B |
| Net Income | (140.41 M) | 570.98 M |
| Cash And Equivalents | 334.89 M | 2.7 B |
| Cash Per Share | 2.17 X | 5.01 X |
| Total Debt | 603.91 M | 5.32 B |
| Debt To Equity | 0.90 % | 48.70 % |
| Current Ratio | 2.40 X | 2.16 X |
| Book Value Per Share | 2.73 X | 1.93 K |
| Cash Flow From Operations | (207.38 M) | 971.22 M |
| Short Ratio | 5.59 X | 4.00 X |
| Earnings Per Share | (0.90) X | 3.12 X |
| Target Price | 5.48 | |
| Number Of Employees | 624 | 18.84 K |
| Beta | 1.89 | -0.15 |
| Market Capitalization | 274.6 M | 19.03 B |
| Total Asset | 1.36 B | 29.47 B |
| Retained Earnings | (772.49 M) | 9.33 B |
| Working Capital | 221.88 M | 1.48 B |
| Current Asset | 2.11 M | 9.34 B |
Note: Acquisition by David Buzby of 33800 shares of Stem at 1.81 subject to Rule 16b-3 [view details]
Stem Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Stem . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 116282.0 | |||
| Daily Balance Of Power | 0.375 | |||
| Rate Of Daily Change | 1.02 | |||
| Day Median Price | 1.69 | |||
| Day Typical Price | 1.7 | |||
| Price Action Indicator | 0.055 | |||
| Period Momentum Indicator | 0.03 |
About Stem Buy or Sell Advice
When is the right time to buy or sell Stem Inc? Buying financial instruments such as Stem Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.| 2021 | 2022 | 2023 | 2024 (projected) | Short and Long Term Debt Total | 330.4M | 460.5M | 603.9M | 634.1M | Total Assets | 1.2B | 1.4B | 1.4B | 765.8M |
Use Investing Ideas to Build Portfolios
In addition to having Stem in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Giant Impact Thematic Idea Now
Giant Impact
An experimental equal-weighted decomposition of large high potential stocks based on Macroaxis scoring framework. The Giant Impact theme has 44 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Giant Impact Theme or any other thematic opportunities.
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Check out Stem Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Stem Inc information on this page should be used as a complementary analysis to other Stem's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Bonds Directory module to find actively traded corporate debentures issued by US companies.
Complementary Tools for Stem Stock analysis
When running Stem's price analysis, check to measure Stem's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Stem is operating at the current time. Most of Stem's value examination focuses on studying past and present price action to predict the probability of Stem's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Stem's price. Additionally, you may evaluate how the addition of Stem to your portfolios can decrease your overall portfolio volatility.
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Is Stem's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Stem. If investors know Stem will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Stem listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.90) | Revenue Per Share 2.966 | Quarterly Revenue Growth 0.077 | Return On Assets (0.08) | Return On Equity (0.29) |
The market value of Stem Inc is measured differently than its book value, which is the value of Stem that is recorded on the company's balance sheet. Investors also form their own opinion of Stem's value that differs from its market value or its book value, called intrinsic value, which is Stem's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Stem's market value can be influenced by many factors that don't directly affect Stem's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Stem's value and its price as these two are different measures arrived at by different means. Investors typically determine if Stem is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Stem's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.