SOLVENTUM CORP (SOLV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SOLV - US83444M1018 - Common Stock
80.26 USD
-0.11 (-0.14%)
80.26 USD
0 (0%)
Taking everything into account, SOLV scores 4 out of 10 in our fundamental rating. SOLV was compared to 186 industry peers in the Health Care Equipment & Supplies industry. There are concerns on the financial health of SOLV while its profitability can be described as average. SOLV has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year SOLV was profitable.
- SOLV had a positive operating cash flow in the past year.
1.2 Ratios
- Looking at the Return On Assets, with a value of 10.91%, SOLV belongs to the top of the industry, outperforming 95.16% of the companies in the same industry.
- With an excellent Return On Equity value of 30.57%, SOLV belongs to the best of the industry, outperforming 98.92% of the companies in the same industry.
- With a decent Return On Invested Capital value of 5.13%, SOLV is doing good in the industry, outperforming 76.88% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for SOLV is in line with the industry average of 8.84%.
- The last Return On Invested Capital (5.13%) 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 | 10.91% | ||
| ROE | 30.57% | ||
| ROIC | 5.13% |
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's Profit Margin of 18.14% is amongst the best of the industry. SOLV outperforms 93.55% of its industry peers.
- In the last couple of years the Profit Margin of SOLV has declined.
- Looking at the Operating Margin, with a value of 8.44%, SOLV is in the better half of the industry, outperforming 76.34% of the companies in the same industry.
- SOLV's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 54.18%, SOLV is in line with its industry, outperforming 50.54% of the companies in the same industry.
- In the last couple of years the Gross Margin of SOLV has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.44% | ||
| PM (TTM) | 18.14% | ||
| GM | 54.18% |
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) below the Cost of Capital (WACC), SOLV is destroying value.
- SOLV has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 1 year ago, SOLV has a worse debt to assets ratio.
2.2 Solvency
- SOLV has an Altman-Z score of 2.00. This is not the best score and indicates that SOLV is in the grey zone with still only limited risk for bankruptcy at the moment.
- SOLV has a Altman-Z score of 2.00. This is comparable to the rest of the industry: SOLV outperforms 59.68% of its industry peers.
- The Debt to FCF ratio of SOLV is 102.74, which is on the high side as it means it would take SOLV, 102.74 years of fcf income to pay off all of its debts.
- SOLV's Debt to FCF ratio of 102.74 is fine compared to the rest of the industry. SOLV outperforms 66.67% of its industry peers.
- SOLV has a Debt/Equity ratio of 1.03. This is a high value indicating a heavy dependency on external financing.
- SOLV's Debt to Equity ratio of 1.03 is on the low side compared to the rest of the industry. SOLV is outperformed by 75.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 102.74 | ||
| Altman-Z | 2 |
ROIC/WACC0.51
WACC10.08%
2.3 Liquidity
- SOLV has a Current Ratio of 1.50. This is a normal value and indicates that SOLV is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of SOLV (1.50) is worse than 74.19% of its industry peers.
- SOLV has a Quick Ratio of 1.14. 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 Quick ratio of 1.14. This is in the lower half of the industry: SOLV underperforms 69.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.5 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 108.76% over the past year.
- The earnings per share for SOLV have been decreasing by -31.19% on average. This is quite bad
- Looking at the last year, SOLV shows a small growth in Revenue. The Revenue has grown by 2.28% in the last year.
- The Revenue has been growing slightly by 0.34% on average over the past years.
EPS 1Y (TTM)108.76%
EPS 3Y-31.19%
EPS 5YN/A
EPS Q2Q%-8.54%
Revenue 1Y (TTM)2.28%
Revenue growth 3Y0.34%
Revenue growth 5YN/A
Sales Q2Q%0.67%
3.2 Future
- The Earnings Per Share is expected to grow by 4.39% on average over the next years.
- The Revenue is expected to grow by 0.73% on average over the next years.
EPS Next Y-8.17%
EPS Next 2Y-1.47%
EPS Next 3Y1.69%
EPS Next 5Y4.39%
Revenue Next Year0.5%
Revenue Next 2Y-1.51%
Revenue Next 3Y0.09%
Revenue Next 5Y0.73%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- SOLV is valuated correctly with a Price/Earnings ratio of 13.51.
- Based on the Price/Earnings ratio, SOLV is valued cheaper than 90.86% of the companies in the same industry.
- SOLV's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.32.
- Based on the Price/Forward Earnings ratio of 12.36, the valuation of SOLV can be described as correct.
- 93.01% of the companies in the same industry are more expensive than SOLV, based on the Price/Forward Earnings ratio.
- SOLV's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.51 | ||
| Fwd PE | 12.36 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SOLV indicates a rather cheap valuation: SOLV is cheaper than 83.87% of the companies listed in the same industry.
- SOLV's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. SOLV is cheaper than 67.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 278.42 | ||
| EV/EBITDA | 14.16 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.47%
EPS Next 3Y1.69%
5. Dividend
5.1 Amount
- SOLV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
80.26
-0.11 (-0.14%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)02-23 2026-02-23/bmo
Inst Owners72.36%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner Change-33.83%
Market Cap13.92B
Revenue(TTM)8.40B
Net Income(TTM)1.52B
Analysts74.29
Price Target90.42 (12.66%)
Short Float %2.74%
Short Ratio3.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)8.87%
Min EPS beat(2)2.66%
Max EPS beat(2)15.09%
EPS beat(4)4
Avg EPS beat(4)7.48%
Min EPS beat(4)2.66%
Max EPS beat(4)15.09%
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)0.07%
Min Revenue beat(2)-0.05%
Max Revenue beat(2)0.19%
Revenue beat(4)2
Avg Revenue beat(4)0%
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)3.28%
PT rev (3m)2.66%
EPS NQ rev (1m)0.12%
EPS NQ rev (3m)0.71%
EPS NY rev (1m)0%
EPS NY rev (3m)1.77%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.51 | ||
| Fwd PE | 12.36 | ||
| P/S | 1.66 | ||
| P/FCF | 278.42 | ||
| P/OCF | 28.24 | ||
| P/B | 2.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.16 |
EPS(TTM)5.94
EY7.4%
EPS(NY)6.49
Fwd EY8.09%
FCF(TTM)0.29
FCFY0.36%
OCF(TTM)2.84
OCFY3.54%
SpS48.44
BVpS28.75
TBVpS-14.4
PEG (NY)N/A
PEG (5Y)N/A
Graham Number61.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.91% | ||
| ROE | 30.57% | ||
| ROCE | 6.43% | ||
| ROIC | 5.13% | ||
| ROICexc | 6.03% | ||
| ROICexgc | 29.65% | ||
| OM | 8.44% | ||
| PM (TTM) | 18.14% | ||
| GM | 54.18% | ||
| FCFM | 0.6% |
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-Score6
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.03 | ||
| Debt/FCF | 102.74 | ||
| Debt/EBITDA | 4.17 | ||
| Cap/Depr | 84.87% | ||
| Cap/Sales | 5.27% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 40.05% | ||
| Profit Quality | 3.28% | ||
| Current Ratio | 1.5 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 2 |
F-Score6
WACC10.08%
ROIC/WACC0.51
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)108.76%
EPS 3Y-31.19%
EPS 5YN/A
EPS Q2Q%-8.54%
EPS Next Y-8.17%
EPS Next 2Y-1.47%
EPS Next 3Y1.69%
EPS Next 5Y4.39%
Revenue 1Y (TTM)2.28%
Revenue growth 3Y0.34%
Revenue growth 5YN/A
Sales Q2Q%0.67%
Revenue Next Year0.5%
Revenue Next 2Y-1.51%
Revenue Next 3Y0.09%
Revenue Next 5Y0.73%
EBIT growth 1Y-45.71%
EBIT growth 3Y-16.4%
EBIT growth 5YN/A
EBIT Next Year16.51%
EBIT Next 3Y6.48%
EBIT Next 5Y3.32%
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 4 / 10 to SOLV.
What is the valuation status of SOLVENTUM CORP (SOLV) stock?
ChartMill assigns a valuation rating of 5 / 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 5 / 10.
How financially healthy is SOLVENTUM CORP?
The financial health rating of SOLVENTUM CORP (SOLV) is 3 / 10.