Solventum (SOLV) versus Its Rivals Financial Analysis

Solventum (NYSE:SOLV) is one of 238 publicly-traded companies in the “Surgical & medical instruments” industry, but how does it contrast to its competitors? We will compare Solventum to similar businesses based on the strength of its analyst recommendations, profitability, earnings, risk, dividends, valuation and institutional ownership.

Institutional and Insider Ownership

47.5% of shares of all “Surgical & medical instruments” companies are held by institutional investors. 15.2% of shares of all “Surgical & medical instruments” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Solventum and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solventum	N/A	N/A	N/A
Solventum Competitors	-546.70%	-173.81%	-26.43%

Analyst Recommendations

This is a breakdown of recent ratings for Solventum and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solventum	1	9	1	0	2.00
Solventum Competitors	2094	5228	9480	291	2.47

Solventum presently has a consensus target price of $79.86, suggesting a potential upside of 5.69%. As a group, “Surgical & medical instruments” companies have a potential upside of 32.33%. Given Solventum’s competitors stronger consensus rating and higher possible upside, analysts plainly believe Solventum has less favorable growth aspects than its competitors.

Earnings and Valuation

This table compares Solventum and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Solventum	$8.25 billion	N/A	27.48
Solventum Competitors	$987.74 million	$56.11 million	2.70

Solventum has higher revenue, but lower earnings than its competitors. Solventum is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Summary

Solventum competitors beat Solventum on 6 of the 11 factors compared.

Solventum Company Profile

Solventum Corporation, a healthcare company, engages in the developing, manufacturing, and commercializing a portfolio of solutions to address critical customer and patient needs. It operates through four segments: Medsurg, Dental Solutions, Health Information Systems, and Purification and Filtration. The Medsurg segment is a provider of solutions including advanced wound care, I.V. site management, sterilization assurance, temperature management, surgical supplies, stethoscopes, and medical electrodes. The Dental Solutions segment provides a comprehensive suite of dental and orthodontic products including brackets, aligners, restorative cements, and bonding agents. The Health Information Systems provides software solutions including computer-assisted, physician documentation, direct-to-bill and coding automation, classification methodologies, speech, recognition, and data visualization platforms. The Purification and Filtration segment provides purification and filtration technologies including filters, purifiers, cartridges, and membranes. The company was incorporated in 2023 and is based in Saint Paul, Minnesota.