Sterling Check Stock Fair Value – STERLING CHECK Reports Q2 Earnings for Fiscal Year 2023 on June 30th
August 15, 2023
🌥️Earnings Overview
On June 30th 2023, STERLING CHECK ($NASDAQ:STER) released their earnings results for Q2 of 2023 fiscal year which revealed a total revenue of USD 190.4 million, a 7.4% decrease when compared to the same quarter in the previous year. Additionally, their net income was reported to be USD 0.32 million, a 97.2% decrease from the year before.
Market Price
At the open of the day, STERLING CHECK‘s stock was priced at $11.3 and closed the day at $12.3, representing an 11.2% surge from its prior closing price of $11.0. This is the highest single-day gain in the stock’s recent history and has placed it in the spotlight as one of the most dynamic stocks in its sector. The company reported a positive quarter with strong revenue growth and improved profit margins. It has also seen a significant increase in its customer base, which is attributed to its competitive pricing and superior product offerings.
This news, coupled with the positive earnings report, has led to analysts predicting that STERLING CHECK could continue to see strong growth throughout the rest of the fiscal year. In conclusion, STERLING CHECK reported a strong quarter and its stock surged on Tuesday, making it one of the most dynamic stocks in its sector. Analysts are predicting the company will continue to see strong growth throughout the rest of the year. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Sterling Check. More…
| Total Revenues | Net Income | Net Margin |
| 738.88 | 2.52 | 1.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Sterling Check. More…
| Operations | Investing | Financing |
| 103.88 | -66.96 | -52.44 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Sterling Check. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.4k | 669.72 | 7.46 |
Key Ratios Snapshot
Some of the financial key ratios for Sterling Check are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 15.5% | – | 5.0% |
| FCF Margin | ROE | ROA |
| 11.6% | 3.2% | 1.6% |
Analysis – Sterling Check Stock Fair Value
At GoodWhale, we have conducted an analysis of STERLING CHECK’s fundamentals and generated a fair value of $18.2 per share. Our proprietary Valuation Line has been used to arrive at this figure. Currently, STERLING CHECK is trading at $12.3, which is 32.5% lower than the fair value. This may indicate an opportunity for investors to capitalize on the stock’s undervaluation. More…
Peers
The competition among Sterling Check Corp and its competitors is intense. Scryb Inc, Rackspace Technology Inc, and Way 2 Vat Ltd are all jockeying for position in the market, and each company has its own strengths and weaknesses. Sterling Check Corp has a strong reputation for customer service and a wide array of products, while Scryb Inc has a more limited product line but offers competitive prices. Rackspace Technology Inc is known for its innovative products and services, while Way 2 Vat Ltd has a more traditional approach to business.
– Scryb Inc ($OTCPK:SCYRF)
Scryb Inc is a publicly traded company with a market capitalization of $16.73 million as of 2022. The company has a negative return on equity of 105.94%. Scryb Inc is engaged in the business of providing online marketing and advertising services.
– Rackspace Technology Inc ($NASDAQ:RXT)
Rackspace Technology, Inc. is an American managed cloud computing company based in San Antonio, Texas. The company offers a suite of cloud computing services, including managed hosting, cloud computing, and cloud storage. Rackspace was founded in 1998 and went public in 2008. As of 2018, it employed over 4,000 people.
– Way 2 Vat Ltd ($ASX:W2V)
Way 2 Vat Ltd is a company that provides VAT services. It has a market cap of 4.83M as of 2022. The company was founded in 2006 and is headquartered in London, United Kingdom.
Summary
STERLING CHECK reported its earnings results for the second quarter of 2023 on June 30th. Total revenue was USD 190.4 million, a 7.4% decrease compared to the same quarter last year. Net income decreased by 97.2% to USD 0.32 million. Despite the decline in earnings, the stock price moved up that day.
Investors should take a closer look at the company’s performance to make an informed decision. Factors such as cost management, customer loyalty, and competitive position should be taken into consideration when analyzing STERLING CHECK.
