Latest Ratios: P/E Ratio -6.7x · EV/EBITDA N/A · ROE -39.2%. (2018–2026 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $5.8B | $3.8B | $3.7B | $2.4B | $1.5B | $1.8B | $1.2B | — | — | — |
| Enterprise Value | $6.0B | $4.0B | $3.8B | $2.5B | $1.6B | $1.8B | $994M | — | — | — |
| P/E Ratio → | -6.72 | — | — | 39.27 | — | 8.61 | 17.12 | — | — | — |
| P/S Ratio | 2.94 | 1.94 | 3.20 | 3.39 | — | 1.30 | 1.50 | — | — | — |
| P/B Ratio | 4.08 | 4.32 | 2.09 | 1.27 | 0.91 | 0.97 | 1.78 | — | — | — |
| P/FCF | 91.02 | 60.00 | 62.11 | 16.76 | 10.32 | 8.35 | 7.93 | — | — | — |
| P/OCF | 87.43 | 57.64 | 57.23 | 14.72 | 9.93 | 8.27 | 7.86 | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.03 | 3.28 | 3.51 | — | 1.31 | 1.27 | — | — | — |
| EV / EBITDA | — | — | — | 11.24 | 33.93 | 3.73 | 2.98 | — | — | — |
| EV / EBIT | — | — | — | 12.04 | — | 3.48 | 2.88 | — | — | — |
| EV / FCF | — | 62.93 | 63.67 | 17.37 | 10.94 | 8.43 | 6.71 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 51.0% | 51.0% | -7.6% | 53.6% | -253.9% | 42.2% | 48.8% | 46.2% | 45.4% | 44.5% |
| Operating Margin | -51.3% | -51.3% | -21.3% | 24.1% | 0.7% | 33.1% | 41.7% | 34.0% | 25.9% | 30.9% |
| Net Profit Margin | -26.2% | -26.2% | -15.3% | 8.2% | 27.2% | 14.2% | 8.0% | — | — | 30.8% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -39.2% | -39.2% | -9.8% | 3.3% | -1.1% | 15.6% | 14.0% | — | — | 16.2% |
| ROA | -9.2% | -9.2% | -4.3% | 1.6% | -0.5% | 7.0% | 6.3% | — | — | 17.5% |
| ROIC | -35.3% | -35.3% | -8.7% | 6.4% | -0.0% | 25.9% | 47.3% | 33.2% | 12.2% | 11.9% |
| ROCE | -28.7% | -28.7% | -10.6% | 8.7% | -0.0% | 34.3% | 59.8% | 42.9% | 22.3% | 28.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.47 | 1.47 | 0.22 | 0.14 | 0.13 | 0.07 | — | 0.60 | 1.10 | 0.02 |
| Debt / EBITDA | — | — | — | 1.22 | 4.68 | 0.28 | — | 0.90 | 2.16 | 0.11 |
| Net Debt / Equity | — | 0.21 | 0.05 | 0.05 | 0.06 | 0.01 | -0.27 | 0.22 | 0.83 | -0.19 |
| Net Debt / EBITDA | — | — | — | 0.40 | 1.94 | 0.04 | -0.54 | 0.33 | 1.62 | -1.12 |
| Debt / FCF | — | 2.93 | 1.56 | 0.61 | 0.63 | 0.08 | -1.22 | 0.82 | 2.48 | -1.92 |
| Interest Coverage | -49.61 | -49.61 | -19.74 | 21.94 | -8.90 | 461.54 | 46.90 | 15.57 | 7.00 | 94.98 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.49 | 1.49 | 1.01 | 0.98 | 0.88 | 0.74 | 1.79 | 2.11 | 1.96 | 2.28 |
| Quick Ratio | 1.49 | 1.49 | 1.01 | 0.98 | 0.88 | 0.74 | 1.79 | 2.11 | 1.96 | 2.28 |
| Cash Ratio | 0.49 | 0.49 | 0.15 | 0.11 | 0.08 | 0.05 | 0.29 | 0.32 | 0.22 | 0.61 |
| Asset Turnover | — | 0.29 | 0.26 | 0.19 | -0.02 | 0.33 | 0.60 | 0.66 | 0.52 | 0.57 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.3% | 3.1% | 2.0% | 2.9% | 3.3% | 1.3% | 0.2% | — | — | — |
| Payout Ratio | — | — | — | 117.9% | — | 12.3% | 3.3% | — | — | 108.5% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | — | 2.5% | — | 11.6% | 5.8% | — | — | — |
| FCF Yield | 1.1% | 1.7% | 1.6% | 6.0% | 9.7% | 12.0% | 12.6% | — | — | — |
| Buyback Yield | 0.1% | 0.2% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — | — | — |
| Total Shareholder Yield | 3.4% | 3.3% | 2.0% | 2.9% | 3.3% | 1.3% | 0.2% | — | — | — |
| Shares Outstanding | — | $80M | $71M | $67M | $62M | $54M | $33M | $27M | $29M | $29M |
Includes 30+ ratios · 9 years · Updated daily
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Quick answers to the most common questions about buying STEP stock.
StepStone Group Inc.'s current P/E ratio is -6.7x. The historical average is 21.7x.
StepStone Group Inc.'s return on equity (ROE) is -39.2%. The historical average is -0.1%.
Based on historical data, StepStone Group Inc. is trading at a P/E of -6.7x. Compare with industry peers and growth rates for a complete picture.
StepStone Group Inc.'s current dividend yield is 3.26%.
StepStone Group Inc. has 51.0% gross margin and -51.3% operating margin.
Key Metrics
Top Statement Risk
Performance fee volatility and negative equity
Metrics are mathematically derived from official filings.
Premium Priced Despite Negative Book
StepStone trades at 4.52x book despite negative tangible equity, implying the market capitalizes future fee-related earnings rather than current GAAP results, per reported figures.
The P/B multiple of 4.52x is meaningless when tangible book value per share has turned negative (-$3.70 in 2026Q3), suggesting investors are valuing the franchise on forward FRE and carried interest potential, not balance sheet assets. The forward P/E of 23.84x implies a sharp earnings recovery from the current -7.44x trailing loss, which appears aggressive given the persistent GAAP losses. Compared to HLNE at 3.90x P/B and 17.71x P/E, StepStone's premium likely reflects higher growth expectations in secondaries, but the negative equity base makes the multiple fragile to any disappointment.
GAAP Losses Mask Fee Earning Power
ROE deteriorated to -10.9% in 2027Q1 from +1.7% in 2024Q4, driven by non-cash compensation and performance fee timing, as reported in financial statements.
The DuPont decomposition shows ROE is negative because net margins are deeply negative (-51.3% operating margin) despite high asset utilization (fee income at 96.5% of revenue). The negative equity base (-$539.2M) amplifies the ROE distortion, making the metric misleading for assessing underlying profitability. Fee-related earnings, which exclude carried interest and stock comp, likely remain positive, but the GAAP figures suggest the firm is prioritizing growth and talent retention over near-term shareholder returns.
Efficiency Ratio Swings on Accruals
The efficiency ratio swung from 19.1% in 2024Q4 to 154.1% in 2027Q1, reflecting non-cash charges and performance fee timing, per reported quarterly data.
NIM is negligible (0.1% or less) because StepStone is not a traditional lender; its revenue is fee-based, so NIM is not a meaningful profitability driver. The efficiency ratio's volatility is driven by compensation accruals tied to carried interest, which can reverse, making the metric unreliable for trend analysis. Investors should focus on cash-based efficiency, which likely remains below 60% when excluding non-cash stock comp, but the reported figures suggest cost growth is outpacing fee generation in the near term.
Negative Equity Threatens Capital Flexibility
Equity turned negative at -$539.2M in 2027Q1, down from $324.5M in 2024Q4, as cumulative losses outpaced capital raises, based on reported balance sheet data.
The negative equity base means StepStone has no regulatory capital buffer, though as an asset manager it is not subject to bank CET1 requirements. However, the negative book value limits the firm's ability to raise debt or equity on favorable terms and may constrain its acquisition strategy, which relies on stock as currency. The $68.6M dividend paid in 2027Q1, exceeding the net loss, suggests management is prioritizing shareholder returns over balance sheet repair, which appears unsustainable without external capital.
Provision Volatility Masks Credit Exposure
Loan loss provisions swung from $245.3M in 2026Q4 to -$4.3M in 2027Q1, indicating erratic credit quality, as reported in financial statements.
The sharp reversal in provisions suggests either a one-time charge in 2026Q4 or a recovery in 2027Q1, but the cumulative $1.2B in provisions over the past year indicates significant credit stress in the portfolio. The investment securities book declined from $1.7B to $264.4M, which may harbor unrealized losses that could further erode equity if realized. The lack of granular loan data limits the ability to assess reserve adequacy, but the volatility warrants close monitoring of the underlying asset quality.
P/E Misleads on Earnings Quality
The trailing P/E of -7.44x is meaningless given GAAP losses, while the forward P/E of 23.84x assumes a recovery that may not materialize, per reported figures.
For StepStone, P/E is the most misapplied ratio because GAAP earnings are distorted by non-cash stock compensation and unrealized carried interest, which can reverse. The negative P/E provides no signal, and the forward P/E relies on consensus estimates that have already missed (Q1 EPS $0.48 vs $0.58 estimate). Instead, investors should use Fee-Related Earnings (FRE) yield or P/FRE to value the stable fee stream, and separately value net accrued carry as a contingent asset. This approach would better capture the firm's cash-generative capacity without the noise of performance fee volatility.