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SThree PLC (GB:STEM)
LSE:STEM
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SThree plc (STEM) Price & Analysis

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STEM Stock Chart & Stats

184.00 p
-5.00 p(-1.76%)
At close: 4:00 PM EST
184.00 p
-5.00 p(-1.76%)

Bulls Say, Bears Say

Bulls Say
Strong Free Cash Flow GenerationSThree generated ~£56m of free cash flow in 2025 (≈94% of net income), showing strong cash conversion despite earnings weakness. This durable cash generation funds dividends, working-capital needs, debt reduction and selective investment, providing a buffer through cyclical downturns.
Specialist STEM Staffing ModelThe company's focus on STEM recruitment (technology, engineering, life sciences) creates a niche, fee-based business with recurring contract income and one-off permanent fees. Structural demand for STEM skills supports long-term placement opportunities and client relationships across geographies.
Serviceable Balance Sheet And Equity BaseLeverage remains at a manageable level (~0.36x debt/equity) and equity of ~£235m provides a capital buffer. This serviceable capital structure preserves financial flexibility to absorb shocks, support dividend policy and fund working-capital or selective strategic actions over the medium term.
Bears Say
Revenue DeteriorationTop-line weakness (2025 revenue down ~5.5%) highlights cyclical exposure in staffing demand. Persistent revenue erosion reduces scale benefits and fee accruals, undermining operating leverage and constraining reinvestment and hiring of specialist teams across markets over the coming months.
Compressed Profitability MarginsNet margin compressed to ~1.4% (from ~3.3% prior years) and gross margin drifted to ~23.4%, indicating spread pressure in the contractor model. Sustained margin erosion reduces ability to cover fixed costs and can materially impair cash flow and returns if pricing or pay-rate dynamics do not improve.
Declining Return On EquityROE fell to ~7.5% in 2025 from historically strong levels (20–27%), reflecting weaker profitability and higher leverage. Lower capital efficiency limits capacity for organic growth, reduces shareholder value creation, and heightens sensitivity to further earnings volatility over a multi-month horizon.

SThree plc News

STEM FAQ

What was SThree PLC’s price range in the past 12 months?
SThree PLC lowest share price was 132.20 p and its highest was 254.50 p in the past 12 months.
    What is SThree PLC’s market cap?
    SThree PLC’s market cap is £198.89M.
      When is SThree PLC’s upcoming earnings report date?
      SThree PLC’s upcoming earnings report date is Jul 21, 2026 which is in 18 days.
        How were SThree PLC’s earnings last quarter?
        SThree PLC released its earnings results on Jan 27, 2026. The company reported 0.081 p earnings per share for the quarter, beating the consensus estimate of N/A by 0.081 p.
          Is SThree PLC overvalued?
          According to Wall Street analysts SThree PLC’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does SThree PLC pay dividends?
            SThree PLC pays a Semiannually dividend of 9.2 p which represents an annual dividend yield of 6.35%. See more information on SThree PLC dividends here
              What is SThree PLC’s EPS estimate?
              SThree PLC’s EPS estimate for its next earnings report is not yet available.
              How many shares outstanding does SThree PLC have?
              SThree PLC has 122,762,310 shares outstanding.
                What happened to SThree PLC’s price movement after its last earnings report?
                SThree PLC reported an EPS of 0.081 p in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went up 4.457%.
                  Which hedge fund is a major shareholder of SThree PLC?
                  Currently, no hedge funds are holding shares in GB:STEM
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    SThree plc Stock Smart Score

                    4
                    Neutral
                    1
                    2
                    3
                    4
                    5
                    6
                    7
                    8
                    9
                    10

                    Technicals

                    SMA
                    Negative
                    20 days / 200 days
                    Momentum
                    -54.70%
                    12-Months-Change

                    Fundamentals

                    Return on Equity
                    7.83%
                    Trailing 12-Months
                    Asset Growth
                    -4.60%
                    Trailing 12-Months

                    Company Description

                    SThree PLC

                    SThree plc is a global recruitment consultancy that delivers specialized permanent and contract staffing services for a wide array of sectors, including technology, engineering, life sciences, and banking and finance. The company's service offerings are extensive, covering permanent placements, contract roles, project-based assignments, retained searches, and executive recruitment, complemented by support and mobility services. It operates under several distinct brands, including Computer Futures, Progressive, Huxley Associates, Real Staffing Group, Global Enterprise Partners, JP Gray, Madison Black, and Newington International. Established in 1986 and headquartered in London, United Kingdom, SThree plc boasts a significant international footprint with operations spanning the UK, Germany, the US, the Netherlands, Japan, Dubai, Belgium, France, Ireland, Luxembourg, Spain, Austria, Switzerland, Hong Kong, Malaysia, Singapore, and other global markets.

                    SThree plc (STEM) Earnings & Revenues

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