StepStone Group Inc. (STEP) AI Stock Analysis

StepStone Group Inc. is an investment firm specializing in direct and indirect investments across private equity, venture debt, mezzanine financing, buyouts, real estate, and infrastructure. Founded in 2007 and headquartered in New York, the firm manages investments typically between $15 million and $200 million, targeting companies with enterprise values up to $25 billion. It operates globally across North America, Europe, Asia, Australia, and South America, allocating 5% to 40% of its investment capital to emerging markets. StepStone also participates in co-investments and follow-on investments to support portfolio companies across multiple sectors, including technology, healthcare, and natural resources.

Revenue has shown notable volatility, moving from $1.37B in FY2022 to -$67.6M in FY2023, before rebounding to $711.6M in FY2024, $1.17B in FY2025, and $1.99B in FY2026, representing a 5-year revenue CAGR of 20.4%. Operating margins shifted from 33.1% in FY2022 to -51.3% in FY2026. Net income was -$521.4M in FY2026 compared to $193.9M in FY2022, though EPS stood at $2.16 in FY2026. For the trailing twelve months ended June 30, 2026, revenue was $2.01B with a net profit margin of -30.5%. In the quarter ended June 30, 2026, quarterly revenue grew 4.0% year-over-year while quarterly earnings fell 38.5%.

As of June 30, 2026, StepStone held $201.2M in cash and short-term investments against total debt of $1.57B, resulting in net debt of $1.37B. Total assets stood at $7.77B, while shareholders' equity was -$539.2M and the current ratio was 24.59. Free cash flow totaled $63.9M in FY2026 on operating cash flow of $66.5M. In FY2026, capital expenditures were $2.6M, while capital return included $8.7M in share buybacks and $117.8M in dividends paid.

STEP carries a market cap of $5.38B and an enterprise value of $4.57B. It trades at a forward P/E of 18.5x, higher than the 10.8x median of its US-listed Financial Services peers. Its price-to-sales ratio is 2.7x, below the peer group median of 3.2x, while EV-to-EBITDA is 16.5x compared to the peer median of 11.7x. Over the past year, the stock returned -30.2%, trailing the S&P 500 (SPY) return of 16.8%. Over 5 years, STEP returned 12.2% versus 83.0% for the S&P 500.

StepStone pays an annual forward dividend of $1.72 per share, yielding 4.13% based on its last close of $41.64. The payout ratio is 76.8%, and payments occur quarterly. The company has paid dividends for 6 consecutive years, with the last ex-dividend date on August 31, 2026.

Wall Street coverage includes 6 Strong Buy, 3 Buy, and 1 Hold ratings, with no Sell ratings. The mean price target is $66.10, representing an upside of 58.7% from the last close of $41.64. For the fiscal year ending March 31, 2027, consensus estimates project EPS of $2.46 on revenue of $1.61B. For the following fiscal year, 10 analysts estimate EPS of $3.40 and revenue of $1.90B. STEP has beaten EPS estimates in 3 of the last 4 quarters, with the next earnings release scheduled for November 5, 2026.

This page is an AI-written research summary of StepStone Group Inc. (STEP). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: STEP income statement, STEP balance sheet, STEP key metrics, STEP analyst forecast, STEP chart. See the STEP stock overview for the latest quote and news.