S&P Global (SPGI)
Financials · $137B market cap · SEC CIK 0000064040
ahead of 68% of the S&P 500 · #25 of 76 in Financials
Next reports on Feb 8, 2027, after the close, with analysts expecting $4.08 in earnings per share.
52-week range $361.03 to $522.47. 9% below its 52-week high and 31% above its low.
The case for SPGI
- 31% of revenue drops through to net profit.
- Has compounded revenue at 15.6% a year over five years.
- Return on equity of 18%.
- Gross margin of 65% absorbs cost shocks.
The case against
- Priced at 8.6× sales with revenue growing only 6.0%.
- Growth is slowing: revenue up 6.0% this year against 15.6% a year over five.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Financials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings and cash, against the growth you get | 43 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 63 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 82 |
| Momentumhow the price has behaved lately | 65 |
| Stabilityhow violently it moves, what it owes and what it pays you | 43 |
- Its debt and cash flow are not scored, as for every company in the Financials sector: for banks, insurers and brokers, borrowing is the business.
- Each factor except momentum is half fixed thresholds, half rank among the 76 Financials companies.
The financials
Revenue growth
Is the business growing? Slowly
| Last 12 months | +6.0% |
|---|---|
| Over 5 years | +15.6% a year |
| FY2025 revenue | $15.3B (+8%) |
Free cash flow
Is it generating real cash? Not meaningful for a financial company
Profit margins
Is profitability improving? Yes, improving
| Gross margin | 65% |
|---|---|
| Operating margin | 47% |
| Net margin, FY24 → FY25 → now | 27.1% → 29.2% → 31.3% |
Debt vs. cash
Is the balance sheet healthy? Not judged for a financial company
| Cash | $1.7B |
|---|---|
| Long-term debt | $12.4B |
| Net debt | $10.6B |
Valuation
Is the stock price reasonable? Yes, about fair
| P/E | 27.5× |
|---|---|
| Fair P/E for its growth | 24× |
| Forward P/E | 23.6× |
| EV / EBITDA | 17.6× |
At 27.5× earnings it trades close to the 24× that 10%+ a year of growth plus a 0.9% dividend would justify. It is judged on earnings alone: its book value is not what it earns on, as it would be for a bank or insurer.
The financials, five years deep
Pulled from S&P Global's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue growth | |||||
| Revenue | $15.3B | $14.2B | $12.5B | $11.2B | $8.3B |
| Change on the year | +8% | +14% | +12% | +35% | — |
| Free cash flow | |||||
| Free cash flow | $5.5B | $5.6B | $3.6B | $2.5B | $3.6B |
| Of revenue | 36% | 39% | 29% | 22% | 43% |
| Profit margins | |||||
| Operating margin | 42.2% | 39.3% | 32.2% | 44.2% | 50.9% |
| Net margin | 29.2% | 27.1% | 21.0% | 29.0% | 36.4% |
| Debt vs. cash | |||||
| Cash | $1.7B | $1.7B | $1.3B | $1.3B | $6.5B |
| Long-term debt | $12.4B | $11.4B | $11.4B | $10.7B | $4.1B |
| Net cash (debt) | −$10.6B | −$9.7B | −$10.1B | −$9.4B | $2.4B |
What S&P Global says it does
Overview S&P Global Inc. (together with its consolidated subsidiaries, “S&P Global,” the “Company,” the “Registrant,” “we,” “us” or “our”) is a global, diversified, and highly differentiated provider of benchmarks, data, analytics and workflow solutions in the global capital, energy and commodity, and automotive markets. The capital markets include asset managers, investment banks, commercial banks, insurance companies, exchanges, trading firms and issuers; the energy and commodity markets include producers, consumers, traders and intermediaries within energy, chemicals, shipping, metals, carbon and agriculture; and the automotive markets include manufacturers, suppliers, dealerships, service shops and customers. We serve our global customers through a broad range of products and services available through both third-party and proprietary distribution channels. We were incorporated in December of 1925 under the laws of the state of New…