Critical Survey: Solventum (SOLV) and Its Rivals

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

Valuation & Earnings

This table compares Solventum and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Solventum	$8.26 billion	N/A	28.93
Solventum Competitors	$986.38 million	$56.11 million	4.19

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

Profitability

This table compares Solventum and its peers’ 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 summary of current ratings and price targets for Solventum and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solventum	1	9	1	0	2.00
Solventum Competitors	2057	5151	9412	283	2.47

Solventum presently has a consensus price target of $74.71, indicating a potential downside of 6.09%. As a group, “Surgical & medical instruments” companies have a potential upside of 26.73%. Given Solventum’s peers stronger consensus rating and higher probable upside, analysts plainly believe Solventum has less favorable growth aspects than its peers.

Insider and Institutional Ownership

47.5% of shares of all “Surgical & medical instruments” companies are held by institutional investors. 15.3% of shares of all “Surgical & medical instruments” companies are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Solventum peers 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.