SGUStar Group, L.P.
Is the business good?
The checks split: nothing decisive, though margins widening.
Operating profit is mostly backed by cash. Conversion is worsening vs a year ago.
Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is SGU?
Star Group, L.P. earns 20% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 11 points above what the capital costs: growth creates value
- Operating margin
- 7.1%
Operating margin · Oil & Gas Refining & Marketing median 5.8% · 12 months to Q3 2026
- Cash conversion
- 0.75×
Cash conversion · 1.23× a year ago · most of the operating profit arrived as cash, working capital took the rest
- Share count, year on year
- −4.4%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 6.3% |
| FY2021 | 8.7% |
| FY2022 | 3.0% |
| FY2023 | 3.2% |
| FY2024 | 3.5% |
| FY2025 | 6.4% |
Details›
- Operating margin12 months to Q3 2026
- 7.1%
- Net margin12 months to Q3 2026
- 4.6%
- Free cash flow margin
- 3.0%
- Revenue, trailing twelve months
- $1.91B
- Free cash flow, trailing twelve months
- $57M
- Net income, trailing twelve months
- $87M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 20%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Oil & Gas Refining & Marketing
Ranks #7 of 9 by RyuScore