Sensata Technologies Holding plc Ordinary Shares (ST)
StalwartFairStock Score: 37/100 — MIXED
Key Financials
| Current Price | $48.5 |
| Market Cap | $6.1B |
| P/E Ratio | 146.97 |
| ROE | 1.7% |
| Dividend Yield | 0.96% |
| Sector | Technology |
Strengths
- Generates $449 million in annual free cash flow (7.4% yield on market cap)
- Strong Piotroski F-Score of 7/9 indicating robust financial health across profitability, leverage, and efficiency metrics
- Established organization with 16,700 employees providing operational scale
Concerns
- Trades significantly above Graham Number ($10) with negative 338% margin of safety—limited downside protection
AI Analysis
Sensata Technologies Holding plc Ordinary Shares is a small-cap technology company valued at $6.1 billion. The business generates $3.7 billion in annual revenue with a 1.7% net margin and $449 million in free cash flow. From a quality standpoint, Sensata shows solid Piotroski F-Score of 7/9 and Altman Z-Score of 1.8 in the grey zone. On valuation, the stock is commanding a steep 199.3x multiple, with trades far above its Graham Number ($10) with no margin of safety. Growth dynamics show revenue growing at 1.1% and profit growth of 992.7%. The 1.2% dividend yield adds an income component for patient holders. Our composite FairStock Score of 37/100 reflects below-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.
Bull Case
Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. With $449 million in annual free cash flow (7.4% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.
Bear Case
At 199x earnings, any growth disappointment triggers rapid multiple compression—a 20% earnings miss plus multiple contraction to 20x implies 40%+ downside. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.
Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer