(SBS) Companhia de Saneamento - Overview
Exchange: NYSE •
Country: Brazil •
Currency: USD •
Type: Common Stock •
ISIN: US20441A1025
Water, Sewage, Treatment, Supply, Connections
Total Rating 72
Risk 33
Buy Signal -0.29
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 5.32% |
| Yield on Cost 5y | 16.83% |
| Yield CAGR 5y | 99.91% |
| Payout Consistency | 77.3% |
| Payout Ratio | 73.2% |
| Risk 5d forecast | |
|---|---|
| Volatility | 31.4% |
| Relative Tail Risk | -0.91% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.85 |
| Alpha | 67.61 |
| Character TTM | |
|---|---|
| Beta | 0.407 |
| Beta Downside | 0.097 |
| Drawdowns 3y | |
|---|---|
| Max DD | 23.79% |
| CAGR/Max DD | 1.69 |
Description: SBS Companhia de Saneamento January 02, 2026
Companhia de Saneamento Básico do Estado de São Paulo (SABESP) is a Brazilian water-utility that delivers treated water and sewage services on a wholesale basis across São Paulo State. Founded in 1954 and headquartered in São Paulo, the firm operates under a regulated concession model that ties tariff adjustments to inflation and cost-of-service studies approved by state regulators.
As of 31 December 2024, SABESP serviced roughly 9.5 million water connections and 8.2 million sewage connections in 375 municipalities. The company’s 2023 revenue was about US$9.3 billion, with an EBITDA margin of ~58 % and a net debt-to-EBITDA ratio near 2.1×, reflecting a balance between capital-intensive infrastructure needs and strong cash-flow generation.
Key drivers for SABESP include Brazil’s ongoing urbanization (the São Paulo metro area adds ~1 % population annually), regulatory-approved tariff hikes that have averaged 5-6 % YoY over the past three years, and the broader water-utility sector’s shift toward digital metering and leakage-reduction programs, which can improve operational efficiency and support margin expansion. For a deeper dive into SABESP’s valuation metrics, see the analysis on ValueRay.
Piotroski VR‑10 (Strict, 0-10) 6.5
| Net Income: 8.03b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA -22.60 > 1.0 |
| NWC/Revenue: -4.80% < 20% (prev 0.51%; Δ -5.31% < -1%) |
| CFO/TA 0.11 > 3% & CFO 10.12b > Net Income 8.03b |
| Net Debt (29.96b) to EBITDA (14.69b): 2.04 < 3 |
| Current Ratio: 0.86 > 1.5 & < 3 |
| Outstanding Shares: last quarter (683.1m) vs 12m ago -0.08% < -2% |
| Gross Margin: 35.31% > 18% (prev 0.55%; Δ 3476 % > 0.5%) |
| Asset Turnover: 74.75% > 50% (prev 249.0%; Δ -174.2% > 0%) |
| Interest Coverage Ratio: 13.49 > 6 (EBITDA TTM 14.69b / Interest Expense TTM 958.4m) |
Altman Z'' 2.90
| A: -0.02 (Total Current Assets 12.56b - Total Current Liabilities 14.53b) / Total Assets 95.99b |
| B: 0.19 (Retained Earnings 18.25b / Total Assets 95.99b) |
| C: 0.23 (EBIT TTM 12.93b / Avg Total Assets 55.14b) |
| D: 0.80 (Book Value of Equity 42.71b / Total Liabilities 53.28b) |
| Altman-Z'' Score: 2.90 = A |
Beneish M 0.95
| DSRI: 5.14 (Receivables 4.48b/753.3m, Revenue 41.21b/35.57b) |
| GMI: 1.55 (GM 35.31% / 54.67%) |
| AQI: 0.97 (AQ_t 0.86 / AQ_t-1 0.89) |
| SGI: 1.16 (Revenue 41.21b / 35.57b) |
| TATA: -0.02 (NI 8.03b - CFO 10.12b) / TA 95.99b) |
| Beneish M-Score: 0.95 (Cap -4..+1) = D |
What is the price of SBS shares?
As of January 29, 2026, the stock is trading at USD 27.26 with a total of 856,653 shares traded.
Over the past week, the price has changed by +10.81%, over one month by +15.61%, over three months by +12.81% and over the past year by +78.00%.
Over the past week, the price has changed by +10.81%, over one month by +15.61%, over three months by +12.81% and over the past year by +78.00%.
Is SBS a buy, sell or hold?
Companhia de Saneamento has received a consensus analysts rating of 4.50.
Therefore, it is recommended to buy SBS.
- StrongBuy: 3
- Buy: 3
- Hold: 0
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the SBS price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 27 | -1.1% |
| Analysts Target Price | 27 | -1.1% |
| ValueRay Target Price | 41.9 | 53.8% |
SBS Fundamental Data Overview January 26, 2026
Market Cap BRL = 96.95b (18.66b USD * 5.1944 USD.BRL)
P/E Trailing = 13.6546
P/E Forward = 14.3472
P/S = 0.5386
P/B = 2.296
P/EG = 2.55
Revenue TTM = 41.21b BRL
EBIT TTM = 12.93b BRL
EBITDA TTM = 14.69b BRL
Long Term Debt = 28.92b BRL (from longTermDebt, last quarter)
Short Term Debt = 5.78b BRL (from shortTermDebt, last quarter)
Debt = 34.93b BRL (from shortLongTermDebtTotal, last quarter)
Net Debt = 29.96b BRL (from netDebt column, last quarter)
Enterprise Value = 127.18b BRL (96.95b + Debt 34.93b - CCE 4.69b)
Interest Coverage Ratio = 13.49 (Ebit TTM 12.93b / Interest Expense TTM 958.4m)
EV/FCF = 12.62x (Enterprise Value 127.18b / FCF TTM 10.08b)
FCF Yield = 7.93% (FCF TTM 10.08b / Enterprise Value 127.18b)
FCF Margin = 24.46% (FCF TTM 10.08b / Revenue TTM 41.21b)
Net Margin = 19.50% (Net Income TTM 8.03b / Revenue TTM 41.21b)
Gross Margin = 35.31% ((Revenue TTM 41.21b - Cost of Revenue TTM 26.66b) / Revenue TTM)
Gross Margin QoQ = 31.77% (prev 41.82%)
Tobins Q-Ratio = 1.32 (Enterprise Value 127.18b / Total Assets 95.99b)
Interest Expense / Debt = 0.46% (Interest Expense 161.9m / Debt 34.93b)
Taxrate = 33.40% (1.08b / 3.24b)
NOPAT = 8.61b (EBIT 12.93b * (1 - 33.40%))
Current Ratio = 0.86 (Total Current Assets 12.56b / Total Current Liabilities 14.53b)
Debt / Equity = 0.82 (Debt 34.93b / totalStockholderEquity, last quarter 42.71b)
Debt / EBITDA = 2.04 (Net Debt 29.96b / EBITDA 14.69b)
Debt / FCF = 2.97 (Net Debt 29.96b / FCF TTM 10.08b)
Total Stockholder Equity = 39.62b (last 4 quarters mean from totalStockholderEquity)
RoA = 14.57% (Net Income 8.03b / Total Assets 95.99b)
RoE = 20.28% (Net Income TTM 8.03b / Total Stockholder Equity 39.62b)
RoCE = 18.86% (EBIT 12.93b / Capital Employed (Equity 39.62b + L.T.Debt 28.92b))
RoIC = 12.29% (NOPAT 8.61b / Invested Capital 70.07b)
WACC = 5.53% (E(96.95b)/V(131.87b) * Re(7.41%) + D(34.93b)/V(131.87b) * Rd(0.46%) * (1-Tc(0.33)))
Discount Rate = 7.41% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.95%
Shares Correlation 3-Years: -81.65 | Cagr: -0.03%
[DCF Debug] Terminal Value 88.43% ; FCFF base≈7.94b ; Y1≈9.80b ; Y5≈16.68b
Fair Price DCF = 651.0 (EV 485.78b - Net Debt 29.96b = Equity 455.83b / Shares 700.2m; r=5.90% [WACC]; 5y FCF grow 25.0% → 2.90% )
EPS Correlation: -46.93 | EPS CAGR: -20.12% | SUE: 0.15 | # QB: 0
Revenue Correlation: 79.64 | Revenue CAGR: 18.02% | SUE: 0.87 | # QB: 1
EPS next Quarter (2026-03-31): EPS=0.41 | Chg30d=-0.045 | Revisions Net=-1 | Analysts=1
EPS next Year (2026-12-31): EPS=1.80 | Chg30d=-0.263 | Revisions Net=-2 | Growth EPS=+5.8% | Growth Revenue=+12.3%
P/E Trailing = 13.6546
P/E Forward = 14.3472
P/S = 0.5386
P/B = 2.296
P/EG = 2.55
Revenue TTM = 41.21b BRL
EBIT TTM = 12.93b BRL
EBITDA TTM = 14.69b BRL
Long Term Debt = 28.92b BRL (from longTermDebt, last quarter)
Short Term Debt = 5.78b BRL (from shortTermDebt, last quarter)
Debt = 34.93b BRL (from shortLongTermDebtTotal, last quarter)
Net Debt = 29.96b BRL (from netDebt column, last quarter)
Enterprise Value = 127.18b BRL (96.95b + Debt 34.93b - CCE 4.69b)
Interest Coverage Ratio = 13.49 (Ebit TTM 12.93b / Interest Expense TTM 958.4m)
EV/FCF = 12.62x (Enterprise Value 127.18b / FCF TTM 10.08b)
FCF Yield = 7.93% (FCF TTM 10.08b / Enterprise Value 127.18b)
FCF Margin = 24.46% (FCF TTM 10.08b / Revenue TTM 41.21b)
Net Margin = 19.50% (Net Income TTM 8.03b / Revenue TTM 41.21b)
Gross Margin = 35.31% ((Revenue TTM 41.21b - Cost of Revenue TTM 26.66b) / Revenue TTM)
Gross Margin QoQ = 31.77% (prev 41.82%)
Tobins Q-Ratio = 1.32 (Enterprise Value 127.18b / Total Assets 95.99b)
Interest Expense / Debt = 0.46% (Interest Expense 161.9m / Debt 34.93b)
Taxrate = 33.40% (1.08b / 3.24b)
NOPAT = 8.61b (EBIT 12.93b * (1 - 33.40%))
Current Ratio = 0.86 (Total Current Assets 12.56b / Total Current Liabilities 14.53b)
Debt / Equity = 0.82 (Debt 34.93b / totalStockholderEquity, last quarter 42.71b)
Debt / EBITDA = 2.04 (Net Debt 29.96b / EBITDA 14.69b)
Debt / FCF = 2.97 (Net Debt 29.96b / FCF TTM 10.08b)
Total Stockholder Equity = 39.62b (last 4 quarters mean from totalStockholderEquity)
RoA = 14.57% (Net Income 8.03b / Total Assets 95.99b)
RoE = 20.28% (Net Income TTM 8.03b / Total Stockholder Equity 39.62b)
RoCE = 18.86% (EBIT 12.93b / Capital Employed (Equity 39.62b + L.T.Debt 28.92b))
RoIC = 12.29% (NOPAT 8.61b / Invested Capital 70.07b)
WACC = 5.53% (E(96.95b)/V(131.87b) * Re(7.41%) + D(34.93b)/V(131.87b) * Rd(0.46%) * (1-Tc(0.33)))
Discount Rate = 7.41% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.95%
Shares Correlation 3-Years: -81.65 | Cagr: -0.03%
[DCF Debug] Terminal Value 88.43% ; FCFF base≈7.94b ; Y1≈9.80b ; Y5≈16.68b
Fair Price DCF = 651.0 (EV 485.78b - Net Debt 29.96b = Equity 455.83b / Shares 700.2m; r=5.90% [WACC]; 5y FCF grow 25.0% → 2.90% )
EPS Correlation: -46.93 | EPS CAGR: -20.12% | SUE: 0.15 | # QB: 0
Revenue Correlation: 79.64 | Revenue CAGR: 18.02% | SUE: 0.87 | # QB: 1
EPS next Quarter (2026-03-31): EPS=0.41 | Chg30d=-0.045 | Revisions Net=-1 | Analysts=1
EPS next Year (2026-12-31): EPS=1.80 | Chg30d=-0.263 | Revisions Net=-2 | Growth EPS=+5.8% | Growth Revenue=+12.3%