NASDAQ
SHC
Last Price
US $17.77
KEY FIGURES
MKT CAP
$5.1B
EPS
TTM
$0.41
PEG
TTM
0.12x
P/E
TTM
42.97x
P/S
TTM
4.26x
YIELD
0.00%
GROWTH
Revenue Y/Y
7.30%
(FY vs FY)
EBITDA Y/Y
Cash Flow (DCF)
Fair Value
Market $17.77
-85.71%
Default assumptions
EBITDA Multiple
Fair Value
Market $17.77
-96.12%
Default assumptions
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Sotera Health Company cash flow to debt ratio of 12.63% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial stability - Healthy cash flow growth.
Sotera Health Company's free cash flow has increased 230.81% from $45.09M last year to $149.18M, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
Sotera Health Company's debt to equity ratio is 3.65, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
Sotera Health Company's debt has decreased relative to shareholder equity from 5.81 last year to 3.65 today, signaling strengthened financials
Financial risk - Net debt/EBITDA.
Sotera Health Company has a net debt to EBITDA ratio of 4.36x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial stability - ICR.
Sotera Health Company's interest coverage ratio of 2.82 indicates that earnings with margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Sotera Health Company's profit margin has increased (145.53%) in the last year from 4.03% to 9.91%, signaling increasing performance
Financial stability - Short term assets vs short term liabilities.
Sotera Health Company's short-term assets of $613.41M exceed its short-term liabilities of $249.58M
Decreasing performance - ROA.
Sotera Health Company's return on assets of 3.64% is lower than the 5.00% threshold, indicating inefficient asset utilization
Increasing performance - Absolute return on equity.
Sotera Health Company's return on equity of 20.57%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Sotera Health Company's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Sotera Health Company had positive net income in 4.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Sotera Health Company has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Sotera Health Company has a free cash flow yield of 2.94%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Sotera Health Company's yearly earnings has increased 75.57% since last year from $44.40M to $77.95M, signaling increasing performance
Increasing performance - Healthy revenue growth.
Sotera Health Company's yearly revenue has increased 5.74% since last year from $1.10G to $1.16G, signaling increasing performance
Increasing performance - ROIC.
ROIC 7.96% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Increasing performance - 3-year revenue CAGR.
Sotera Health Company's 3-year revenue CAGR of 5.05% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Sotera Health Company had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Sotera Health Company had positive ROE in 4.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Sotera Health Company is overvalued relative to its fair value price of 2.54 based on Discounted Cash Flow model
Overvalued - Earnings yield.
Sotera Health Company has an earnings yield of 2.33%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
Sotera Health Company is overvalued relative to its fair value price of 0.69 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Sotera Health Company has an EV/EBITDA ratio of 15.82x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Undervalued - PEG ratio value.
Sotera Health Company has a PEG-ratio under 1 which is considered undervalued
Overvalued - P/B ratio.
Sotera Health Company has a price-to-book ratio of 8.13x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
Sotera Health Company has a price-to-sales ratio of 4.26x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
20.57%
Return on equity
ROIC: 7.96%
Valuation History
44.8X
Price to Earnings
EV/EBITDA: 14.7X
Cash flow
Profit margin
6.69%
(FY vs FY)
Cash flow Y/Y
17.33%
(FY vs FY)
Base valuations use default assumptions. Customize in the Valuator.