System1, Inc. (SST) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-877.0%

-$13.60

vs $1.75 price

Levered DCF

-$31.63

After debt service

Piotroski score

3 / 9

Weak

Altman Z-score

-4.45

Distress zone

Rating

B-

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	-0.47×	-8.39×	-9.1×	-12.31×	6.18×	-234.57×	371.11×	-385.38×
P/B	1.01×	7.78×	15.01×	10.97×	-295.1×	16×	-130.58×	0×
P/S	0.12×	1.82×	5.05×	6.47×	12.17×	0×	21.95×	30.83×
EV / EBITDA	12.42×	-98.42×	117.09×	-92.19×	131.4×	549.59×	147.29×	0×
Gross margin	-8.3%	-12.0%	-7.9%	-8.3%	12.6%	0.0%	32.3%	35.6%
Operating margin	-23.3%	-25.8%	-21.4%	-18.3%	7.4%	0.0%	12.8%	8.5%
Net margin	-24.6%	-21.7%	-55.5%	-55.3%	4.8%	0.0%	2.2%	-7.9%
Current ratio	1.02×	1.28×	2.34×	0.6×	0.53×	1.72×	0.9×	0×
Debt / equity	10.33×	3.43×	2.63×	1.08×	-6×	0.41×	-3.72×	0×
Interest coverage	-2.25×	-2.81×	-1.76×	-3.72×	3.01×	0×	2×	1.19×
Dividend yield	0.1%	0.0%	0.0%	0.0%	0.2%	0.7%	0.1%	0.1%
Payout ratio	-0.0%	-0.0%	-0.0%	-0.4%	44.2%	-155.6%	98.4%	-28.7%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	-214.5%	-93.0%	-164.8%	-93.7%	-116.2%	-6.9%	-12.8%	0.0%
Return on invested capital	-17.8%	-23.7%	-13.5%	-10.0%	32.7%	-0.2%	24.8%	0.0%
Return on assets	-16.1%	-16.3%	-36.8%	-31.7%	12.8%	-5.8%	2.8%	0.0%
Free cash flow yield	-13.6%	-0.8%	-1.6%	-0.4%	0.6%	0.6%	0.3%	0.1%
Earnings yield	-212.2%	-12.0%	-11.0%	-8.5%	0.4%	-0.4%	0.1%	-0.3%
Enterprise value	$258.6M	$836M	$2.3B	$4.7B	$8.5B	$7.2B	$9.2B	$0
Net debt / EBITDA	10.94×	-24.88×	11.45×	-8.09×	1.89×	13.75×	3.58×	0×
Cash conversion cycle (days)	51	57	43	41	4	0	19	0