| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 46 | 25.7x | 17.8x | Around median | |
Growth | 71 | 8.4% | 7.1% | Top tier | |
Quality | 69 | 9.5% | 4.5% | Top tier | |
Safety | 84 | 1.0x | 2.6x | Top tier | |
Capital Return | 44 | 1.20% | 2.12% | Around median | |
Momentum | 40 | -3.8% | 2.9% | Bottom tier | |
Sentiment | 38 | 6 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
STERIS plc provides products and services that support infection prevention, sterilization, and workflow within healthcare facilities, life sciences companies, and medical device companies. The company generates revenue from capital equipment, recurring consumables, and maintenance and processing services; in fiscal 2026, Healthcare segment revenue exceeded four billion dollars and its operating income reached one billion dollars, while AST revenue exceeded one billion dollars and its operating income reached 500 million dollars, and the Life Sciences segment recorded operating income exceeding 250 million dollars. Within Healthcare, services grew 12%, consumables 7%, and capital equipment 6% during fiscal 2026, illustrating the contribution of recurring revenue alongside equipment sales.
In quarter 1 of fiscal 2027, revenue reached 1.4927 billion dollars, up 7%, gross profit was 684.2 million dollars, and net income was 200.1 million dollars. These figures equate to a gross margin of approximately 45.8% and a net income margin of approximately 13.4%, with demand continuing across the Healthcare and Life Sciences segments. Reported earnings per share also reached 2.59 dollars versus estimates of 2.54 dollars, and the company reaffirmed its fiscal 2027 guidance.
The start of fiscal 2027 follows revenue of 5.9 billion dollars, gross profit of 2.6 billion dollars, and net income of 782.3 million dollars in fiscal 2026, according to EDGAR filings. Based on the adjusted metrics presented by management, fiscal 2026 revenue grew 9%, or 7% organically and at constant currency, and the EBIT margin reached approximately 23.3% despite additional tariff costs of 46 million dollars. The operating mix reflects STERIS's reliance on growth in medical procedures, sterilization services, and consumables, with a less consistent contribution from capital equipment.
The analyst consensus is “Buy,” with an average target of 271.33 dollars and a narrow range between 269 and 275 dollars. The average is slightly above the top of the 52-week range of 269.44 dollars, while the bottom of the range is 195.14 dollars. A price-to-earnings ratio is unavailable in the data, so the valuation is based on analyst targets and the adjusted earnings per share forecast of 11.10–11.30 dollars for fiscal 2027, which must be weighed against the expected decline in free cash flow and pressures from tariffs and capital spending.
Figures in the text are as of 2026-08-28; the live price is shown at the top of the page.
Management expects reported revenue growth between 7% and 8% and organic constant-currency growth between 6% and 7% in fiscal 2027. The outlook is based on growth in healthcare procedures, continued demand for services and consumables, and approximately 200 basis points of pricing. The MEDglas and GI products transactions are also expected to add approximately 45 million dollars in revenue during the year.
Revenue in quarter 1 of fiscal 2027 reached approximately 1.4927 billion dollars, up 7%. The company recorded gross profit of 684.2 million dollars and net income of 200.1 million dollars, equating to a gross margin of approximately 45.8%. Reported earnings per share reached 2.59 dollars versus estimates of 2.54 dollars, with full-year guidance reaffirmed.
In August 2026, STERIS announced a plan to establish a 600 million dollar chemistry, manufacturing, and distribution center in North Carolina. The site will focus on specialty chemicals used by healthcare and pharmaceutical customers while expanding research, production, and supply capabilities. The plan aims to support recurring revenue from high-margin consumables, but the scale of the spending also raised investor concerns about future costs.
Automated analysis for informational purposes only — not investment advice.
AST grew 10% on a reported basis and 7% organically and at constant currency in fiscal 2026, but it slowed in the second half. Management estimated that snowstorms reduced growth in quarter 4 of fiscal 2026 by approximately 150 to 200 basis points, while medical technology customers reduced their inventories. The company therefore expects a slower start in the first half of fiscal 2027, followed by a notable improvement in quarter 3 and easier comparisons in quarter 4.
STERIS incurred additional tariff costs of 46 million dollars in fiscal 2026, reducing margin by approximately 80 basis points. Fiscal 2027 guidance assumes total tariff spending between 60 and 65 million dollars, excluding any refunds. Management also incorporated oil-related pressures on shipping, fuel, and raw materials into its guidance, but noted that persistently elevated oil prices throughout the year could raise costs above the assumptions.
Free cash flow reached 982.9 million dollars in fiscal 2026, and the company expects 850 million dollars in fiscal 2027 with capital expenditures of 375 million dollars. The board approved a new one billion dollar share repurchase authorization, and management plans annual purchases between 200 and 300 million dollars. The company also spent 225 million dollars on repurchases in fiscal 2026 and ended the year with a total debt-to-EBITDA ratio of approximately 1.2 times.
