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STELStellar Bancorp, Inc.
$39.69$2.0B
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  4. Financial Ratios

Stellar Bancorp, Inc. (STEL) Financial Ratios

Latest Ratios: P/E Ratio 19.9x · EV/EBITDA 12.8x · ROE 6.3%. (2015–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

STEL Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$2.0B$1.6B$1.5B$1.5B$1.0B$837M$743M$780M$736M$670M—
Enterprise Value$1.6B$1.2B$678M$1.2B$833M$293M$272M$474M$358M$351M—
P/E Ratio →19.9415.5513.1911.3620.0410.2824.0715.4115.5624.31—
P/S Ratio3.392.692.432.413.003.202.974.574.955.18—
P/B Ratio1.230.960.940.980.751.031.361.461.511.50—
P/FCF21.8217.3111.879.209.808.0213.8014.5515.3118.81—
P/OCF20.8316.5211.458.829.467.8012.1713.9014.9118.81—

P/E links to full P/E history page with 30-year chart

STEL EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—2.051.082.022.431.121.092.782.402.72—
EV / EBITDA12.859.583.836.3410.852.724.277.025.687.24—
EV / EBIT12.859.584.687.6913.322.934.867.636.107.97—
EV / FCF—13.215.307.717.912.805.058.847.449.86—

STEL Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin69.3%69.3%69.4%73.5%75.3%91.5%73.4%88.4%93.7%93.4%89.5%
Operating Margin21.4%21.4%23.2%26.3%18.2%38.2%22.4%36.4%39.4%34.1%31.7%
Net Profit Margin17.3%17.3%18.4%21.2%15.0%31.2%18.2%29.6%31.8%21.3%22.0%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE6.3%6.3%7.4%9.0%4.7%12.0%8.4%9.9%10.1%6.9%7.8%
ROA0.9%0.9%1.1%1.2%0.6%1.5%1.2%1.5%1.5%0.9%0.9%
ROIC5.7%5.7%6.5%7.5%3.6%9.1%6.9%8.5%9.3%7.8%7.6%
ROCE2.0%2.0%8.2%9.5%4.7%11.7%8.8%10.9%11.9%9.9%9.7%

STEL Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.020.020.040.110.130.260.120.120.010.020.10
Debt / EBITDA0.310.310.400.812.261.981.040.980.060.170.84
Net Debt / Equity—-0.23-0.52-0.16-0.14-0.67-0.86-0.57-0.78-0.71-0.97
Net Debt / EBITDA-2.97-2.97-4.75-1.22-2.58-5.07-7.41-4.53-6.01-6.57-7.93
Debt / FCF—-4.10-6.57-1.48-1.89-5.21-8.75-5.71-7.87-8.95-9.60
Interest Coverage0.740.740.751.051.844.061.433.575.294.954.67

Net cash position: cash ($419M) exceeds total debt ($40M)

STEL Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio31.7931.790.230.210.240.420.220.150.160.130.15
Quick Ratio31.7931.790.230.210.240.420.220.150.160.130.15
Cash Ratio102.43102.430.100.040.040.130.160.130.140.130.15
Asset Turnover—0.060.060.060.030.040.060.050.050.040.04
Inventory Turnover———————————
Days Sales Outstanding———————————

STEL Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield1.4%——————————
Payout Ratio28.5%28.5%24.6%21.2%29.9%11.9%21.9%17.3%10.5%16.0%16.2%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield5.0%6.4%7.6%8.8%5.0%9.7%4.2%6.5%6.4%4.1%—
FCF Yield4.6%5.8%8.4%10.9%10.2%12.5%7.2%6.9%6.5%5.3%—
Buyback Yield3.6%——————————
Total Shareholder Yield5.1%——————————
Shares Outstanding—$52M$54M$53M$35M$29M$29M$25M$25M$23M$22M

Key Metrics

Growth RegimeContracting
ProfitabilityStrained
Balance SheetHealthy
Cash FlowStable
Top Statement Risk

CRE concentration and funding

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Premium Valuation Lacks Earnings Support

Based on reported figures, Stellar Bancorp trades at a P/B of 1.23, which appears elevated relative to its stagnant ROE of approximately 1.6%, suggesting that the market may be pricing in a recovery that is not yet visible in the bank's core profitability metrics or growth trajectory.

The current P/B multiple implies an expectation of future ROTCE expansion that remains unsupported by the bank's recent performance. Investors should monitor whether this valuation premium is a reflection of potential M&A optionality or a mispricing of the bank's current earnings power relative to its regional peers.

DuPont Decomposition Reveals Structural Weakness

As reported in financial statements, Stellar Bancorp's ROE has remained anchored near 1.6% over the last ten quarters, a result of persistent NIM compression and an efficiency ratio that frequently exceeds 45%, indicating that the bank's profitability is currently constrained by both margin pressure and high operating costs.

The decomposition of ROE suggests that the bank lacks the necessary operating leverage to drive meaningful bottom-line growth. The reliance on a large securities portfolio rather than higher-yielding commercial loans appears to be a primary driver of the bank's muted asset utilization and overall profitability profile.

Margin Compression Limits Operating Leverage

According to recent quarterly data, Stellar Bancorp's NIM has consistently hovered between 0.9% and 1.0%, reflecting a structural inability to expand spreads despite the interest rate environment, which warrants further investigation into the bank's deposit beta and the pricing power of its core commercial loan portfolio.

The efficiency ratio's fluctuation between 45% and 49% suggests that the bank is struggling to achieve economies of scale following its recent merger. This lack of operating leverage may indicate that the cost of maintaining a specialized, high-touch banking model is currently outpacing the revenue generated from its regional footprint.

Conservative Capitalization Buffers Credit Risk

Based on the company's reported figures, the equity-to-assets ratio has remained remarkably stable at approximately 15% to 16% over the past ten quarters, providing a robust capital buffer that appears designed to absorb potential volatility within the bank's concentrated commercial real estate loan portfolio.

While this high capital level supports a fortress-like balance sheet, it also acts as a drag on ROE, as the bank is not deploying its capital aggressively. Investors should monitor whether this capital hoarding is a strategic choice to mitigate CRE risks or a sign of limited high-quality lending opportunities.

Misapplication of P/E Multiples

The P/E ratio is frequently misapplied to Stellar Bancorp, as it obscures the volatility caused by significant swings in provision expenses and non-cash purchase accounting accretion, which can distort the bank's true earnings power and lead to inaccurate comparisons with non-financial peers.

Analysts should instead focus on P/TBV and core ROE, which provide a more accurate view of the bank's underlying franchise value. Relying on P/E in a period of high provisioning volatility may lead to a misunderstanding of the bank's actual profitability and its ability to generate sustainable shareholder returns.

Download Financial Ratios Data

Includes 30+ ratios · 11 years · Updated daily

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STEL — Frequently Asked Questions

Quick answers to the most common questions about buying STEL stock.

What is Stellar Bancorp, Inc.'s P/E ratio?

Stellar Bancorp, Inc.'s current P/E ratio is 19.9x. The historical average is 16.6x. This places it at the 67th percentile of its historical range.

What is Stellar Bancorp, Inc.'s EV/EBITDA?

Stellar Bancorp, Inc.'s current EV/EBITDA is 12.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 6.4x.

What is Stellar Bancorp, Inc.'s ROE?

Stellar Bancorp, Inc.'s return on equity (ROE) is 6.3%. The historical average is 8.1%.

Is STEL stock overvalued?

Based on historical data, Stellar Bancorp, Inc. is trading at a P/E of 19.9x. This is at the 67th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Stellar Bancorp, Inc.'s dividend yield?

Stellar Bancorp, Inc.'s current dividend yield is 1.42% with a payout ratio of 28.5%.

What are Stellar Bancorp, Inc.'s profit margins?

Stellar Bancorp, Inc. has 69.3% gross margin and 21.4% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Stellar Bancorp, Inc. have?

Stellar Bancorp, Inc.'s Debt/EBITDA ratio is 0.3x, indicating low leverage. A ratio below 2x is generally considered financially healthy.