STERIS Plc Valuation

STE Stock  USD 205.99  5.09  2.53%   
At this time, the company appears to be undervalued. STERIS plc has a current Real Value of $226.87 per share. The regular price of the company is $205.99. Our model measures the value of STERIS plc from examining the company fundamentals such as return on equity of 0.0911, and Shares Outstanding of 98.81 M as well as evaluating its technical indicators and probability of bankruptcy. In general, most investors recommend purchasing undervalued stocks and exiting overvalued stocks since, at some point future time, asset prices and their ongoing real values will draw towards each other. Key fundamental drivers impacting STERIS Plc's valuation include:
Price Book
3.1421
Enterprise Value
23.2 B
Enterprise Value Ebitda
16.8373
Price Sales
3.7279
Forward PE
23.2558
Undervalued
Today
205.99
Please note that STERIS Plc's price fluctuation is very steady at this time. Calculation of the real value of STERIS plc is based on 3 months time horizon. Increasing STERIS Plc's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for STERIS plc is useful when determining the fair value of the STERIS stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of STERIS Plc. Since STERIS Plc is currently traded on the exchange, buyers and sellers on that exchange determine the market value of STERIS Stock. However, STERIS Plc's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  205.99 Real  226.87 Target  242.0 Hype  205.89 Naive  202.97
The real value of STERIS Stock, also known as its intrinsic value, is the underlying worth of STERIS plc Company, which is reflected in its stock price. It is based on STERIS Plc's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of STERIS Plc's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence STERIS Plc's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
185.39
Downside
226.87
Real Value
228.15
Upside
Estimating the potential upside or downside of STERIS plc helps investors to forecast how STERIS stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of STERIS Plc more accurately as focusing exclusively on STERIS Plc's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
2.122.402.17
Details
Hype
Prediction
LowEstimatedHigh
204.61205.89207.17
Details
Potential
Annual Dividend
LowForecastedHigh
1.451.461.48
Details
8 Analysts
Consensus
LowTarget PriceHigh
220.22242.00268.62
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use STERIS Plc's intrinsic value based on its ongoing forecasts of STERIS Plc's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against STERIS Plc's closest peers. When choosing an evaluation method for STERIS plc, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

STERIS Plc Investments

(327.75 Million)

STERIS Valuation Trend

Knowing STERIS Plc's actual value is paramount for traders to make sound investment determinations. STERIS Plc's real value is not only important for the investor to make better decisions but also for a more accurate overall view of STERIS Plc's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both STERIS Plc's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

STERIS Market Cap

STERIS plc is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Health Care industry is at this time estimated at about 29.57 Billion. STERIS Plc totals roughly 19.85 Billion in market capitalization claiming about 67% of equities under Health Care industry.
Capitalization  Revenue  Workforce  Total debt  Valuation

STERIS Plc Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining STERIS Plc's current stock value. Our valuation model uses many indicators to compare STERIS Plc value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across STERIS Plc competition to find correlations between indicators driving STERIS Plc's intrinsic value. More Info.
STERIS plc is rated third in price to earning category among related companies. It is rated third in price to book category among related companies fabricating about  0.09  of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for STERIS plc is roughly  11.75 . The current year's Price To Book Ratio is expected to grow to 4.50. Comparative valuation analysis is a catch-all model that can be used if you cannot value STERIS Plc by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for STERIS Plc's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the STERIS Plc's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates STERIS Plc's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in STERIS Plc and how it compares across the competition.

About STERIS Plc Valuation

The stock valuation mechanism determines the current worth of STERIS plc on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of STERIS plc. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of STERIS plc based exclusively on its fundamental and basic technical indicators. By analyzing STERIS Plc's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of STERIS Plc's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of STERIS Plc. We calculate exposure to STERIS Plc's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to STERIS Plc's related companies.
Last ReportedProjected for Next Year
Gross Profit2.5 B2.6 B
Pretax Profit Margin 0.04  0.03 
Operating Profit Margin 0.06  0.06 
Net Profit Margin 0.02  0.02 
Gross Profit Margin 0.50  0.51 

8 Steps to conduct STERIS Plc's Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates STERIS Plc's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct STERIS Plc's valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain STERIS Plc's financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine STERIS Plc's revenue streams: Identify STERIS Plc's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research STERIS Plc's industry and market trends, including the size of the market, growth rate, and competition.
  • Establish STERIS Plc's growth potential: Evaluate STERIS Plc's management, business model, and growth potential.
  • Determine STERIS Plc's financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate STERIS Plc's estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.
STERIS Plc's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether STERIS Plc's value is low or high relative to the company's performance and growth projections. Determining the market value of STERIS Plc can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of STERIS Plc represents a small ownership stake in the entity. As a stockholder of STERIS, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

STERIS Plc Dividends Analysis For Valuation

At present, STERIS Plc's Dividend Yield is projected to slightly decrease based on the last few years of reporting. The current year's Dividend Payout Ratio is expected to grow to 1.62, whereas Dividend Paid And Capex Coverage Ratio is forecasted to decline to (5.12). . At present, STERIS Plc's Price Earnings Ratio is projected to increase significantly based on the last few years of reporting.
Last ReportedProjected for Next Year
Dividends Paid211 M221.6 M
Dividend Yield 0.01  0.02 
Dividend Payout Ratio 1.54  1.62 
Dividend Paid And Capex Coverage Ratio(4.88)(5.12)
There are various types of dividends STERIS Plc can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of STERIS shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from STERIS plc directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When STERIS pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of STERIS Plc by the value of the dividends paid out.

STERIS Plc Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as STERIS Plc does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding100.2 M
Quarterly Earnings Growth Y O Y0.145
Forward Price Earnings23.2558

STERIS Plc Current Valuation Indicators

Valuation refers to the process of determining the present value of STERIS plc and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value STERIS we look at many different elements of the entity such as STERIS's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. STERIS Plc's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final STERIS Plc's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as STERIS Plc, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use STERIS Plc's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes STERIS Plc's worth.
When determining whether STERIS plc is a strong investment it is important to analyze STERIS Plc's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact STERIS Plc's future performance. For an informed investment choice regarding STERIS Stock, refer to the following important reports:
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in STERIS plc. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in estimate.
For information on how to trade STERIS Stock refer to our How to Trade STERIS Stock guide.
You can also try the ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.

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When running STERIS Plc's price analysis, check to measure STERIS Plc'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 STERIS Plc is operating at the current time. Most of STERIS Plc's value examination focuses on studying past and present price action to predict the probability of STERIS Plc's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move STERIS Plc's price. Additionally, you may evaluate how the addition of STERIS Plc to your portfolios can decrease your overall portfolio volatility.
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Is STERIS Plc'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 STERIS Plc. If investors know STERIS 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 STERIS Plc listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.145
Dividend Share
1.98
Earnings Share
5.69
Revenue Per Share
54.709
Quarterly Revenue Growth
0.148
The market value of STERIS plc is measured differently than its book value, which is the value of STERIS that is recorded on the company's balance sheet. Investors also form their own opinion of STERIS Plc's value that differs from its market value or its book value, called intrinsic value, which is STERIS Plc'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 STERIS Plc's market value can be influenced by many factors that don't directly affect STERIS Plc'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 STERIS Plc's value and its price as these two are different measures arrived at by different means. Investors typically determine if STERIS Plc is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, STERIS Plc'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.