Stem Inc Class A
STEM: XNYS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$7.97 | Jmzf | Fvgf |
Stem Earnings: Profitability in Sight, but Moderating Our Long-Term Outlook
We have lowered our fair value estimate to $3.50 from $5 for no-moat Stem following third-quarter results. The decrease is primarily driven by moderating our pace of long-term operating margin expansion as we await further scaling of software revenue. We view shares as fairly valued.