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SBSCompanhia de saneamento Basico Hold6.5·$5.32-0.56%
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Companhia de saneamento Basico (SBS) Stock Analysis

HoldVALUE-TRAP 1/5Moderate Confidence

Utilities · Utilities - Regulated Water

Hold if already holding. Not a fresh buy at $5.32, but acceptable to hold if already in. Reason: Leverage penalty (D/E 1.2): -0.5.

Companhia de Saneamento Básico do Estado de São Paulo - SABESP provides basic and environmental sanitation services in the São Paulo State, Brazil. The company supplies treated water and sewage services on a wholesale basis. As of December 31, 2024, it provided water services... Read more

$5.32+11.8% A.UpsideScore 6.5/10#1 of 6 Utilities - Regulated Water
QualityF-score7 / 9FCF yield-54.12%
IncomeYield0.62%(5y avg 1.79%)Payout58.04%sustainable
Stop $5.09Target $5.95(analyst − 13%)A.R:R 2.0:1
Analyst target$6.84+28.6%5 analysts
$5.95our TP
$5.32price
$6.84mean
$8

Hold if already holding. Not a fresh buy at $5.32, but acceptable to hold if already in. Reason: Leverage penalty (D/E 1.2): -0.5. Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. Score 6.5/10, moderate confidence.

Passes 7/8 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 59d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum. Suitability: moderate.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-06-09
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Thu, Aug 6, 202659d to earnings· next earnings call

Thesis

Rewards
Sector modifier (Utilities): +1.0
Attractive valuation
Outperforming peers
Risks
Leverage penalty (D/E 1.2): -0.5

Key Metrics

P/E (TTM)10.7
P/E (Fwd)9.7
Mkt Cap$18.8B
EV/EBITDA3.4
Profit Mgn22.0%
ROE21.2%
Rev Growth18.3%
Beta0.10
Dividend0.62%
Rating analysts21

Quality Signals

Piotroski F7/9MoatNarrow

Options Flow

P/C0.17bullish
IV110%elevated

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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Methodology · Editorial policy & full disclaimer

Rating Breakdown

1 ceiling hit

GatesMomentum 4.1<4.5A.R:R 2.0 ≥ 1.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 59d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARSuitability: Moderate
RSI
30 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $5.25Resistance $6.36

Price Targets

$5
$6
A.Upside+11.8%
A.R:R2.0:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeRisk-Off

Risk Alerts

! momentum at 4.1 (below the engine's 4.5 threshold)

Earnings

B
M
M
M
1/4 beats
Next Earnings2026-08-06 (59d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is SBS stock a buy right now?

Hold if already holding. Not a fresh buy at $5.32, but acceptable to hold if already in. Reason: Leverage penalty (D/E 1.2): -0.5. Chart setup: No clear chart pattern; technical signals are mixed. Maintain position. Not compelling to add more. Target $5.95 (+11.8%), stop $5.09 (−4.5%), A.R:R 2.0:1. Score 6.5/10, moderate confidence.

What is the SBS stock price target?

Take-profit target: $5.95 (+11.8% upside). Target $5.95 (+11.8%), stop $5.09 (−4.5%), A.R:R 2.0:1. Stop-loss: $5.09.

What are the risks of investing in SBS?

Leverage penalty (D/E 1.2): -0.5.

Is SBS overvalued or undervalued?

Companhia de saneamento Basico trades at a P/E of 10.7 (forward 9.7). TrendMatrix value score: 8.7/10. Verdict: Hold.

What do analysts say about SBS?

21 analysts cover SBS with a consensus score of 4.2/5. Average price target: $7.

What does Companhia de saneamento Basico do?Companhia de Saneamento Básico do Estado de São Paulo - SABESP provides basic and environmental sanitation services in...

Companhia de Saneamento Básico do Estado de São Paulo - SABESP provides basic and environmental sanitation services in the São Paulo State, Brazil. The company supplies treated water and sewage services on a wholesale basis. As of December 31, 2024, it provided water services through 9.5 million water connections; and sewage services through 8.2 million sewage connections in the 375 municipalities of the São Paulo State. Companhia de Saneamento Básico do Estado de São Paulo - SABESP was founded in 1954 and is headquartered in São Paulo, Brazil.

Related stocks: AWR (American States Water Company) · WTRG (Essential Utilities, Inc.) · HTO (H2O America) · AWK (American Water Works Company, I) · CWT (California Water Service Group)
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