Evaluating Steris: Insights From 4 Financial Analysts

In the preceding three months, 4 analysts have released ratings for Steris STE, presenting a wide array of perspectives from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Steris and provided 12-month price targets. The average target is $253.75, accompanied by a high estimate of $265.00 and a low estimate of $225.00. Marking an increase of 0.5%, the current average surpasses the previous average price target of $252.50.

Investigating Analyst Ratings: An Elaborate Study

A clear picture of Steris's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Steris. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Steris compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Steris's stock. This examination reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Steris's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Steris analyst ratings.

About Steris

Steris is an Ireland-domiciled medical technology company focused on sterilization services and infection prevention. The company is the global leader in contract sterilization services, ensuring the safe delivery of single-use and implantable medical equipment to hospitals around the world. Additionally, Steris sells sterilizers, washer-disinfectors, and other decontamination equipment and supplies for use by care provider facilities and in biopharma manufacturing sites. Domiciled in the United States before its inversion to Ireland, the firm derives approximately 70% of its revenue from Healthcare Services, 19% from Applied Sterilization Technologies, or AST, and 11% from life sciences services after the divestment of its dental products business.

Unraveling the Financial Story of Steris

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Steris displayed positive results in 3 months. As of 31 March, 2024, the company achieved a solid revenue growth rate of approximately 15.87%. This indicates a notable increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Steris's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -0.12%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Steris's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -0.02%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Steris's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of -0.01%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Steris's debt-to-equity ratio is below the industry average at 0.54, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Basics of Analyst Ratings

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.