SOLVENTUM CORP (SOLV) Stock Fundamental Analysis
USA - NYSE:SOLV - US83444M1018 - Common Stock
66.745 USD
-0.94 (-1.4%)
SOLV gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 189 industry peers in the Health Care Equipment & Supplies industry. SOLV has a medium profitability rating, but doesn't score so well on its financial health evaluation. SOLV has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
SOLV had positive earnings in the past year.
In the past year SOLV had a positive cash flow from operations.
1.2 Ratios
SOLV has a Return On Assets of 2.52%. This is in the better half of the industry: SOLV outperforms 75.13% of its industry peers.
With an excellent Return On Equity value of 10.43%, SOLV belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
SOLV has a Return On Invested Capital of 5.20%. This is in the better half of the industry: SOLV outperforms 77.25% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SOLV is in line with the industry average of 9.12%.
The last Return On Invested Capital (5.20%) for SOLV is well below the 3 year average (9.85%), which needs to be investigated, but indicates that SOLV had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.52% | ||
| ROE | 10.43% | ||
| ROIC | 5.2% |
ROA(3y)7.62%
ROA(5y)N/A
ROE(3y)13.05%
ROE(5y)N/A
ROIC(3y)9.85%
ROIC(5y)N/A
1.3 Margins
SOLV has a Profit Margin of 4.53%. This is in the better half of the industry: SOLV outperforms 75.13% of its industry peers.
SOLV's Profit Margin has declined in the last couple of years.
SOLV has a Operating Margin of 9.66%. This is in the better half of the industry: SOLV outperforms 77.25% of its industry peers.
In the last couple of years the Operating Margin of SOLV has declined.
SOLV has a Gross Margin (54.65%) which is in line with its industry peers.
SOLV's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.66% | ||
| PM (TTM) | 4.53% | ||
| GM | 54.65% |
OM growth 3Y-16.68%
OM growth 5YN/A
PM growth 3Y-31.26%
PM growth 5YN/A
GM growth 3Y-2.48%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SOLV is creating some value.
Compared to 1 year ago, SOLV has about the same amount of shares outstanding.
The debt/assets ratio for SOLV is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.44, we must say that SOLV is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SOLV (1.44) is comparable to the rest of the industry.
SOLV has a debt to FCF ratio of 53.90. This is a negative value and a sign of low solvency as SOLV would need 53.90 years to pay back of all of its debts.
SOLV has a better Debt to FCF ratio (53.90) than 67.20% of its industry peers.
SOLV has a Debt/Equity ratio of 2.14. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.14, SOLV is doing worse than 84.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 53.9 | ||
| Altman-Z | 1.44 |
ROIC/WACC0.65
WACC7.97%
2.3 Liquidity
SOLV has a Current Ratio of 1.22. This is a normal value and indicates that SOLV is financially healthy and should not expect problems in meeting its short term obligations.
SOLV has a worse Current ratio (1.22) than 81.48% of its industry peers.
A Quick Ratio of 0.86 indicates that SOLV may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.86, SOLV is doing worse than 83.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
SOLV shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -64.49%.
SOLV shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -31.19% yearly.
Looking at the last year, SOLV shows a small growth in Revenue. The Revenue has grown by 2.21% in the last year.
SOLV shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.34% yearly.
EPS 1Y (TTM)-64.49%
EPS 3Y-31.19%
EPS 5YN/A
EPS Q2Q%8.33%
Revenue 1Y (TTM)2.21%
Revenue growth 3Y0.34%
Revenue growth 5YN/A
Sales Q2Q%3.84%
3.2 Future
Based on estimates for the next years, SOLV will show a small growth in Earnings Per Share. The EPS will grow by 2.15% on average per year.
Based on estimates for the next years, SOLV will show a small growth in Revenue. The Revenue will grow by 0.21% on average per year.
EPS Next Y-9.32%
EPS Next 2Y-2.31%
EPS Next 3Y2.15%
EPS Next 5YN/A
Revenue Next Year0.2%
Revenue Next 2Y-1.51%
Revenue Next 3Y0.21%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.98 indicates a reasonable valuation of SOLV.
Based on the Price/Earnings ratio, SOLV is valued cheaper than 89.95% of the companies in the same industry.
SOLV is valuated cheaply when we compare the Price/Earnings ratio to 26.13, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 10.45 indicates a reasonable valuation of SOLV.
SOLV's Price/Forward Earnings ratio is rather cheap when compared to the industry. SOLV is cheaper than 92.06% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.35. SOLV is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 10.45 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOLV is valued cheaply inside the industry as 81.48% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, SOLV is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 79.81 | ||
| EV/EBITDA | 14.18 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.31%
EPS Next 3Y2.15%
5. Dividend
5.1 Amount
SOLV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:SOLV (11/6/2025, 1:49:30 PM)
66.745
-0.94 (-1.4%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners66.69%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner Change-33.64%
Market Cap11.57B
Revenue(TTM)8.39B
Net Income(TTM)380.00M
Analysts73
Price Target87.02 (30.38%)
Short Float %3%
Short Ratio4.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.33%
Min EPS beat(2)7.57%
Max EPS beat(2)15.09%
EPS beat(4)4
Avg EPS beat(4)10.65%
Min EPS beat(4)4.59%
Max EPS beat(4)15.36%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.32%
Min Revenue beat(2)-0.05%
Max Revenue beat(2)0.68%
Revenue beat(4)1
Avg Revenue beat(4)-0.22%
Min Revenue beat(4)-0.81%
Max Revenue beat(4)0.68%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.2%
PT rev (3m)0.32%
EPS NQ rev (1m)0.4%
EPS NQ rev (3m)3.62%
EPS NY rev (1m)0.49%
EPS NY rev (3m)6.65%
Revenue NQ rev (1m)-1.14%
Revenue NQ rev (3m)-3.34%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 10.45 | ||
| P/S | 1.38 | ||
| P/FCF | 79.81 | ||
| P/OCF | 19.82 | ||
| P/B | 3.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.18 |
EPS(TTM)6.08
EY9.11%
EPS(NY)6.38
Fwd EY9.57%
FCF(TTM)0.84
FCFY1.25%
OCF(TTM)3.37
OCFY5.05%
SpS48.38
BVpS21.02
TBVpS-22.67
PEG (NY)N/A
PEG (5Y)N/A
Graham Number53.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.52% | ||
| ROE | 10.43% | ||
| ROCE | 6.5% | ||
| ROIC | 5.2% | ||
| ROICexc | 5.41% | ||
| ROICexgc | 14.75% | ||
| OM | 9.66% | ||
| PM (TTM) | 4.53% | ||
| GM | 54.65% | ||
| FCFM | 1.73% |
ROA(3y)7.62%
ROA(5y)N/A
ROE(3y)13.05%
ROE(5y)N/A
ROIC(3y)9.85%
ROIC(5y)N/A
ROICexc(3y)10.1%
ROICexc(5y)N/A
ROICexgc(3y)49.33%
ROICexgc(5y)N/A
ROCE(3y)12.33%
ROCE(5y)N/A
ROICexgc growth 3Y-14.04%
ROICexgc growth 5YN/A
ROICexc growth 3Y-12.55%
ROICexc growth 5YN/A
OM growth 3Y-16.68%
OM growth 5YN/A
PM growth 3Y-31.26%
PM growth 5YN/A
GM growth 3Y-2.48%
GM growth 5YN/A
F-Score4
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.14 | ||
| Debt/FCF | 53.9 | ||
| Debt/EBITDA | 5.81 | ||
| Cap/Depr | 82.21% | ||
| Cap/Sales | 5.23% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 43.45% | ||
| Profit Quality | 38.16% | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 1.44 |
F-Score4
WACC7.97%
ROIC/WACC0.65
Cap/Depr(3y)54.53%
Cap/Depr(5y)N/A
Cap/Sales(3y)3.74%
Cap/Sales(5y)N/A
Profit Quality(3y)131.71%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-64.49%
EPS 3Y-31.19%
EPS 5YN/A
EPS Q2Q%8.33%
EPS Next Y-9.32%
EPS Next 2Y-2.31%
EPS Next 3Y2.15%
EPS Next 5YN/A
Revenue 1Y (TTM)2.21%
Revenue growth 3Y0.34%
Revenue growth 5YN/A
Sales Q2Q%3.84%
Revenue Next Year0.2%
Revenue Next 2Y-1.51%
Revenue Next 3Y0.21%
Revenue Next 5YN/A
EBIT growth 1Y-47.23%
EBIT growth 3Y-16.4%
EBIT growth 5YN/A
EBIT Next Year15.04%
EBIT Next 3Y6.93%
EBIT Next 5YN/A
FCF growth 1Y-50.46%
FCF growth 3Y-25.22%
FCF growth 5YN/A
OCF growth 1Y-38.12%
OCF growth 3Y-18.66%
OCF growth 5YN/A
SOLVENTUM CORP / SOLV FAQ
Can you provide the ChartMill fundamental rating for SOLVENTUM CORP?
ChartMill assigns a fundamental rating of 3 / 10 to SOLV.
What is the valuation status for SOLV stock?
ChartMill assigns a valuation rating of 6 / 10 to SOLVENTUM CORP (SOLV). This can be considered as Fairly Valued.
Can you provide the profitability details for SOLVENTUM CORP?
SOLVENTUM CORP (SOLV) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for SOLV stock?
The Earnings per Share (EPS) of SOLVENTUM CORP (SOLV) is expected to decline by -9.32% in the next year.