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Sabesp (SBS) Stock Analysis

This is a peer-relative look at Sabesp (SBS): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Utilities peers, so every number reads in context rather than in isolation.

Company Profile

Sabesp (SBS) trades as an ADR rather than ordinary local shares — read it with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile fields for Sabesp (SBS)
Profile ItemSBS
NameCompanhia de Saneamento Básico do Estado de São Paulo - SABESP ADR
Country/RegionBrazil
GICS SectorUtilities
GICS Industry GroupUtilities
GICS IndustryWater Utilities
GICS Sub-IndustryWater Utilities
Market Capitalization16.96 billion USD
CurrencyUSD
ExchangeNYSE
Listing DateMay 10, 2002
Security TypeADR

Price Performance

Cumulative Growth

SBS
GSPC
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Sabesp (SBS) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Sabesp (SBS) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Sabesp (SBS) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
Total Return (1Y)-3.72%5.85%
Total Return (3Y, Annualized)28.33%15.48%
Total Return (5Y, Annualized)32.85%8.14%

Risk Profile

Drawdown History

SBS
GSPC
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Sabesp (SBS) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Sabesp (SBS) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
Volatility (1Y, Annualized)46.80%22.23%
Beta (5Y)0.760.53
Max Drawdown (5Y)-37.59%-36.85%

Risk-Adjusted Performance

Risk-Return Positioning

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Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. SBS is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
Sharpe Ratio (1Y)-0.170.08
Sortino Ratio (1Y)-0.220.12

Profitability

ROE (TTM)

Sabesp (SBS) posts ROE of 16.27%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

SBS

Utilities industry group

16.27%

Group distribution
Max
17.99%
SBS
16.27%
Q3
12.01%
Median
9.44%
Q1
7.56%
Min
2.17%
Largest peers
SBS
16.27%
CEG
15.06%
NEE
14.06%
SO
11.90%
AEP
10.60%
NGG
10.31%
DUK
10.10%
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Where Sabesp (SBS) stands on ROE within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Sabesp (SBS) keeps 17.52% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.

SBS

Utilities industry group

17.52%

Group distribution
Max
28.78%
SBS
17.52%
Q3
17.30%
Median
12.73%
Q1
9.18%
Min
-0.20%
Largest peers
NEE
40.37%
NGG
21.15%
SBS
17.52%
DUK
16.16%
SO
16.00%
AEP
14.21%
CEG
11.08%
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Where Sabesp (SBS) stands on net margin within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

Sabesp (SBS) turns 29.28% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.

SBS

Utilities industry group

29.28%

Group distribution
Max
53.83%
Q3
31.12%
SBS
29.28%
Median
23.62%
Q1
15.45%
Min
-4.90%
Largest peers
SO
36.92%
NEE
33.00%
DUK
30.03%
SBS
29.28%
NGG
28.64%
AEP
26.89%
CEG
8.66%
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Where Sabesp (SBS) stands on operating margin within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
ROE (TTM)16.27%9.44%
ROA (TTM)8.08%3.08%
Net Margin (TTM)17.52%12.73%
Operating Margin (TTM)29.28%23.62%
Gross Margin (TTM)36.96%44.03%

Growth

Revenue Growth

Sabesp (SBS) grew revenue 5.39%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.

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Sabesp (SBS): Revenue Growth across different time periods, set against Utilities industry-group medians.

EPS Growth

Sabesp (SBS) grew earnings per share -11.79%, in the lower peer quartile. Per-share profits are advancing more slowly than at most peers, so margins, costs, or share count deserve a closer look.

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Sabesp (SBS): EPS Growth across different time periods, set against Utilities industry-group medians.

Growth Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
Revenue Growth (YoY)5.39%8.45%
Revenue Growth (3Y CAGR)19.98%3.87%
EPS Growth (YoY)-11.79%3.93%
EPS Growth (3Y CAGR)40.65%5.25%

Financial Strength

Current Ratio (MRQ)

Sabesp (SBS) has current ratio of 1.22, above the industry’s typical middle range. Liquidity looks ample versus peers, though an unusually high cushion can also mean idle current assets or inefficient working capital.

SBS

Utilities industry group

1.22

Group distribution
Max
1.90
SBS
1.22
Q3
1.17
Median
0.88
Q1
0.66
Min
0.29
Largest peers
CEG
1.46
SBS
1.22
SO
0.84
DUK
0.68
NGG
0.62
NEE
0.53
AEP
0.51
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Where Sabesp (SBS) stands on current ratio within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Debt / Equity (MRQ)

Sabesp (SBS) has debt-to-equity ratio of 0.99, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.

SBS

Utilities industry group

0.99

Group distribution
Max
2.63
Q3
1.77
Median
1.35
SBS
0.99
Q1
0.84
Min
0.00
Largest peers
SO
1.68
DUK
1.63
AEP
1.62
NEE
1.53
NGG
1.32
SBS
0.99
CEG
0.76
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Where Sabesp (SBS) stands on debt-to-equity ratio within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
Current Ratio (MRQ)1.220.88
Debt / Equity (MRQ)0.991.35
Net Debt / EBITDA2.305.31

Dividends

Dividend Yield (TTM)

Sabesp (SBS) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.

SBS

Utilities industry group

0.00%

Group distribution
Max
6.66%
Q3
3.58%
Median
2.85%
Q1
0.66%
SBS
0.00%
Min
0.00%
Largest peers
DUK
3.29%
SO
3.21%
AEP
3.00%
NEE
2.76%
CEG
0.68%
NGG
0.57%
SBS
0.00%
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Where Sabesp (SBS) stands on dividend yield within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Sabesp (SBS) has payout ratio of 35.95%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

SBS

Utilities industry group

35.95%

Group distribution
Max
113.04%
Q3
68.72%
Median
56.38%
SBS
35.95%
Q1
32.38%
Min
0.00%
Largest peers
NGG
71.97%
SO
68.49%
DUK
62.76%
AEP
62.09%
NEE
43.89%
SBS
35.95%
CEG
15.92%
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Where Sabesp (SBS) stands on payout ratio within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
Dividend Yield (TTM)0.00%2.85%
Dividend Payout Ratio (TTM)35.95%56.38%

Valuation

P/E Ratio (TTM)

Sabesp (SBS) trades at P/E ratio of 11.73, in the cheaper earnings-multiple quartile for its industry. Investors are paying less for each dollar of TTM earnings than they usually pay for comparable businesses.

SBS

Utilities industry group

11.73

Group distribution
Max
31.22
Q3
23.30
Median
19.64
Q1
15.17
SBS
11.73
Min
3.34
Largest peers
CEG
24.43
SO
21.08
AEP
20.67
DUK
18.74
NEE
15.67
NGG
15.54
SBS
11.73
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Where Sabesp (SBS) stands on P/E ratio within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Sabesp (SBS) trades at 0.41 on P/S ratio, in the lower sales-valuation quartile for its industry. That points to a cheaper revenue stream than most peers, with margin quality still doing the heavy lifting.

SBS

Utilities industry group

0.41

Group distribution
Max
6.35
Q3
3.63
Median
2.63
Q1
1.52
SBS
0.41
Min
0.00
Largest peers
NEE
6.33
NGG
4.46
SO
3.45
DUK
2.99
AEP
2.92
CEG
2.83
SBS
0.41
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Where Sabesp (SBS) stands on P/S ratio within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Sabesp (SBS) trades at 1.84 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.

SBS

Utilities industry group

1.84

Group distribution
Max
3.12
Q3
2.21
SBS
1.84
Median
1.83
Q1
1.46
Min
0.34
Largest peers
NGG
9.36
NEE
2.97
CEG
2.78
SO
2.56
AEP
2.10
SBS
1.84
DUK
1.83
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Where Sabesp (SBS) stands on P/B ratio within its Utilities peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Sabesp (SBS) metric values compared with Utilities industry-group medians
MetricCurrent stock: SBSIndustry group median
P/E Ratio (TTM)11.7319.64
P/S Ratio (TTM)0.412.63
P/B Ratio (MRQ)1.841.83
Free Cash Flow Yield (TTM)-62.11%-7.11%