StemSTEM +4.41%62 Forward PE Ratio is 32.19 as of Jun. 30, 2026. GuruFocus rates STEM with a GF Score™ of 62/100 and a GF Value™ of $11.63 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 204 Utilities - Independent Power Producers companies, Stem ranks worse than 83.33% on this metric.
The Forward PE Ratio of a company is often used to compare current earnings to estimated future earnings, as well as gaining a clearer picture of what earnings will look like without charges and other accounting adjustments. If earnings are expected to grow in the future, the Forward PE Ratio will be lower than the current PE Ratio. This measure is also used to compare one company to another with a forward-looking focus.
Trailing PE Ratio relies on what is already done. It uses the current share price and divides by the total EPS (Basic) over the past 12 months. PE Ratio can be affected by Non Operating Income such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio .
Stem Forward PE Ratio Related Terms
Stem Forward PE Ratio Historical Data
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The historical data trend for Stem's Forward PE Ratio 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 Forward PE Ratio Chart
Stem Annual Data
Trend
Forward PE Ratio
Stem Quarterly Data
Forward PE Ratio
STEM vs NXXT, AGIG, VGAS: Forward PE Ratio Comparison
For the Utilities - Renewable subindustry, Stem's Forward PE Ratio, along with its competitors' market caps and Forward PE Ratio 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 Forward PE Ratio vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Stem's Forward PE Ratio distribution charts can be found below:
* The bar in red indicates where Stem's Forward PE Ratio falls into.
It's a measure of the price-to-earnings ratio (PE Ratio) using forecasted earnings for the calculation. While the earnings used are just an estimate and are not as reliable as current earnings data, there is still benefit in estimated P/E analysis. The forecasted earnings used in the formula can either be for the next 12 months or for the next full-year fiscal period.
Stem (STEM) has a Forward PE Ratio of 32.19 as of Jun. 30, 2026. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on Stem and its competitors. According to the industry distribution chart, Stem ranks #170 out of 204 companies in the Utilities - Independent Power Producers industry, placing it in the top 83.3%.
Is Stem's Forward PE Ratio too high?
Stem's current Forward PE Ratio is 32.19. The Utilities - Independent Power Producers industry median Forward PE Ratio is 15.62. Stem's value of 32.19 is 106.1% above this industry median. Based on the distribution chart, Stem ranks #170 out of 204 companies in the Utilities - Independent Power Producers industry, which is in the bottom quartile relative to peers. Overall, Stem has a GF Score™ of 62/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Stem's Forward PE Ratio compare to NXXT and AGIG?
According to the Utilities - Independent Power Producers industry distribution chart, Stem ranks #170 out of 204 companies for Forward PE Ratio. This places Stem in the lower half of its industry. The industry median Forward PE Ratio is 15.62. Stem's value of 32.19 is 106.1% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward PE Ratio for an Utilities - Independent Power Producers company?
The median Forward PE Ratio among Utilities - Independent Power Producers companies is 15.62, based on 204 companies in the industry. Companies in the top quartile (top 25%) have a Forward PE Ratio significantly above this median, while those in the bottom quartile fall well below. However, Forward PE Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Stem's current Forward PE Ratio of 32.19 is 106.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward PE Ratio mean?
A high Forward PE Ratio can signal that a stock is expensive relative to its fundamentals. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on Stem and its competitors. For the Utilities - Independent Power Producers industry, the median Forward PE Ratio is 15.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stem's current Forward PE Ratio is 32.19. 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 $11.63, compared to a current price of $7.81 — trading 32.8% below its estimated fair value. The current Forward PE Ratio is 32.19 and 106.1% above the Utilities - Independent Power Producers industry median of 15.62. Stem's overall GF Score™ is 62/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward PE Ratio calculated?
Forward PE Ratio is calculated from a company's financial statements. For Stem (STEM), the current Forward PE Ratio is 32.19 as of Jun. 30, 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 $7.81 is trading 32.8% below its estimated GF Value™ of $11.63.
GuruFocus considers Stem to be Possible Value Trap.
Key valuation signals for STEM:
Forward PE Ratio: 32.19
GF Value™: $11.63 vs. price of $7.81 (32.8% below fair value)
Industry Position: 106.1% above the Utilities - Independent Power Producers median (#170 of 204)
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.
62GF Score
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