NASDAQ
STGW
Last Price
US $7.43
KEY FIGURES
MKT CAP
$1.7B
EPS
TTM
$0.08
PEG
TTM
-
P/E
TTM
94.37x
P/S
TTM
0.60x
YIELD
0.00%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
2.52%
Return on equity
ROIC: 2.10%
Valuation History
94.4X
Price to Earnings
EV/EBITDA: 9.3X
Cash flow
Profit margin
26.78%
(FY vs FY)
EBITDA Y/Y
26.52%
(FY vs FY)
Cash flow Y/Y
14.84%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $7.43
53.43%
Default assumptions
EBITDA Multiple
Fair Value
Market $7.43
-31.63%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Stagwell Inc. cash flow to debt ratio of 18.12% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial stability - Healthy cash flow growth.
Stagwell Inc.'s free cash flow has increased 178.31% from $88.85M last year to $247.29M, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
Stagwell Inc.'s debt to equity ratio is 2.36, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
Stagwell Inc.'s debt has decreased relative to shareholder equity from 5.00 last year to 2.36 today, signaling strengthened financials
Financial risk - Net debt/EBITDA.
Stagwell Inc. has a net debt to EBITDA ratio of 3.72x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial risk - ICR.
Stagwell Inc.'s interest coverage ratio is 1.56, which means that the company struggles to meet interest obligations, signaling financial risk.
Financial stability - Profit margin growth.
Stagwell Inc.'s profit margin has increased (708.85%) in the last year from 0.08% to 0.64%, signaling increasing performance
Financial risk - Short term assets vs short term liabilities.
Stagwell Inc.'s short-term liabilities of $1.48G exceed its short-term assets of $1.16G, signaling financial risk
Decreasing performance - ROA.
Stagwell Inc.'s return on assets of 0.45% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
Stagwell Inc.'s return on equity of 2.52%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
Stagwell Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Stagwell Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Stagwell Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Stagwell Inc. has a free cash flow yield of 14.17%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Stagwell Inc.'s yearly earnings has increased 1.19K% since last year from $2.26M to $29.10M, signaling increasing performance
Increasing performance - Healthy revenue growth.
Stagwell Inc.'s yearly revenue has increased 2.39% since last year from $2.84G to $2.91G, signaling increasing performance
Decreasing performance - ROIC.
ROIC 2.10% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
Increasing performance - 3-year revenue CAGR.
Stagwell Inc.'s 3-year revenue CAGR of 2.67% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Stagwell Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Stagwell Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
Stagwell Inc. is undervalued relative to its fair value price of 11.40 based on Discounted Cash Flow model
Overvalued - Earnings yield.
Stagwell Inc. has an earnings yield of 1.08%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
Stagwell Inc. is overvalued relative to its fair value price of 5.08 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Stagwell Inc. has an EV/EBITDA ratio of 9.28x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Stagwell Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails
Undervalued - P/B ratio.
Stagwell Inc. has a price-to-book ratio of 2.44x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Stagwell Inc. has a price-to-sales ratio of 0.59x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue