Solventum Corporation (SOLV) Valuation — DCF, Graham & Comparables

Solventum Corporation (SOLV) — Price $88.03 — Healthcare — Medical - Instruments & Supplies — NYSE

Latest reported results:

Valuation dashboard for Solventum Corporation (SOLV) with P/E 10.73, P/B 3.18, EV/EBITDA 7.74 and dividend yield 0.00%. DCF, Graham Number, EPS growth, peer multiples and dividend discount models plus sector comparison against other Healthcare companies.

Solventum Corporation, established in 2023 and headquartered in Saint Paul, Minnesota, operates as a healthcare entity dedicated to pioneering, producing, and commercializing diverse solutions that address critical needs for both customers and patients. The company's business activities are organized into four principal segments.

Analysis Summary

Solventum Corporation reported revenue of $8.32B in the most recent fiscal year, growing at a 5-year CAGR of 2.7%. Net income reached $1.56B, with a 6.5% 5-year CAGR.

Trailing-twelve-month margins: gross margin 54.7%, operating margin 25.0%, net margin 17.3%.

At the current price of $88.03, SOLV trades at a P/E of 10.73 and an ROE of 28.96%. Market capitalisation stands at $15.2B, placing it among large-cap names.

Balance sheet quality for SOLV: current ratio of 1.2. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.

Valuation Ratios

P/E Ratio10.73
Price / Book3.18
EV / EBITDA7.74
Dividend Yield0.00%

Valuation Models

DCF Fair Value$129.70
vs Current Price+47.3%

Peer Comparison

SymbolCompanyMarket CapP/EP/BROE
SOLVSolventum Corporation$15.2B10.733.1829.0%
ALGNAlign Technology, Inc.$10.3B24.952.8010.1%
ENSGThe Ensign Group, Inc.$10.0B26.924.0816.5%
ICLRICON Public Limited Company$12.4B37.771.332.5%
ELANElanco Animal Health Incorporated$11.2B1.68-3.0%
RDYDr. Reddy's Laboratories Limited$10.2B30.372.6212.2%
EHCEncompass Health Corporation$11.9B19.264.5625.0%
QGENQiagen N.V.$9.2B22.952.7511.6%

Price

Price$88.03
Market Cap$15.2B
ExchangeNYSE
CountryUS

Profitability

Return on Equity28.96%
Return on Invested Capital15.85%
Return on Assets10.07%
Gross Margin54.69%
Operating Margin24.99%
Net Margin17.26%

Related companies: ALGN · DOCS · EHC · ELAN · ENSG · ICLR · QGEN

Explore sector: Healthcare · Medical - Instruments & Supplies

More sections of SOLV: Overview · Financials · Statistics · Estimates · Technical · Ownership · News · Events

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