StemSTEM -3.98%54 Debt-to-Equity is -1.24 as of Mar. 2026. GuruFocus rates STEM with a GF Score™ of 54/100 and a GF Value™ of $11.67 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 391 Utilities - Independent Power Producers companies, Stem ranks worse than 255754.22% on this metric.
A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.
The historical rank and industry rank for Stem's Debt-to-Equity or its related term are showing as below:
STEM'
s Debt-to-Equity Range Over the Past 10 Years
Min: -2.64 Med: 0.02 Max: 1.44
Current: -1.24
During the past 7 years, the highest Debt-to-Equity Ratio of Stem was 1.44. The lowest was -2.64. And the median was 0.02.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.
Stem Debt-to-Equity Related Terms
Stem Debt-to-Equity Historical Data
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The historical data trend for Stem's Debt-to-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
STEM vs NXXT, AGIG, VGAS: Debt-to-Equity Comparison
For the Utilities - Renewable subindustry, Stem's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Stem Debt-to-Equity vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Stem's Debt-to-Equity distribution charts can be found below:
* The bar in red indicates where Stem's Debt-to-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Stem (STEM) has a Debt-to-Equity of -1.24 as of Mar. 2026. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Stem and its competitors. According to the industry distribution chart, Stem ranks #999999 out of 391 companies in the Utilities - Independent Power Producers industry.
Is Stem's Debt-to-Equity too high?
Stem's current Debt-to-Equity is -1.24. Based on the distribution chart, Stem ranks #999999 out of 391 companies in the Utilities - Independent Power Producers industry, which is in the bottom quartile relative to peers. Overall, Stem has a GF Score™ of 54/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Stem's Debt-to-Equity compare to NXXT and AGIG?
According to the Utilities - Independent Power Producers industry distribution chart, Stem ranks #999999 out of 391 companies for Debt-to-Equity. This places Stem in the lower half of its industry. The industry median Debt-to-Equity is 0.85. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for an Utilities - Independent Power Producers company?
The median Debt-to-Equity among Utilities - Independent Power Producers companies is 0.85, based on 391 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Stem and its competitors. For the Utilities - Independent Power Producers industry, the median Debt-to-Equity is 0.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stem's current Debt-to-Equity is -1.24. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Stem stock overvalued right now?
Based on GuruFocus' analysis, Stem (STEM) is currently considered Possible Value Trap. The stock's GF Value™ is $11.67, compared to a current price of $7.48 — trading 35.9% below its estimated fair value. The current Debt-to-Equity is -1.24. Stem's overall GF Score™ is 54/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For Stem (STEM), the current Debt-to-Equity is -1.24 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Stem (STEM) Overvalued in 2026?
Based on GuruFocus' analysis, Stem stock appears to be undervalued.
The current stock price of $7.48 is trading 35.9% below its estimated GF Value™ of $11.67.
GuruFocus considers Stem to be Possible Value Trap.
Key valuation signals for STEM:
Debt-to-Equity: -1.24
GF Value™: $11.67 vs. price of $7.48 (35.9% below fair value)
No single metric tells the full story. See the STEM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Stem Inc is a provider of energy storage systems. The company bundles third-party hardware with its proprietary Athena software to provide customers a turnkey solution. Stem sells its solutions to commercial and industrial customers as well as independent power producers and renewable developers. Its solutions help customers maximize renewable energy generation and help build a cleaner and more resilient grid. The Company operates as one operating segment that is focused exclusively on technology services that transform the way energy is distributed and consumed.
54GF Score
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