SOLVSolventum shows a mixed profile with strong fundamental and thematic potential, tempered by current technical indicators suggesting some caution. It represents a solid long-term growth opportunity within the healthcare sector.
Solventum is well-positioned to benefit from several key secular trends in healthcare, including advancements in medical devices, data management, and patient care solutions.
Solventum exhibits solid financial health with a manageable debt level and robust revenue generation, though recent quarterly profitability and valuation metrics warrant close monitoring.
Solventum's stock exhibits mixed short-term technical signals. While it has shown positive performance over the last year, recent trends and indicators suggest a period of consolidation or potential pullback.
| Factor | Score |
|---|---|
| Healthcare Innovation & Technology | 90 |
| Aging Population & Increased Healthcare Spending | 92 |
| Digital Health & Health Information Systems | 88 |
| Regulatory Environment (Healthcare) | 70 |
| Supply Chain Resilience & Manufacturing | 75 |
| Factor | Score |
|---|---|
| Valuation | 50 |
| Profitability | 60 |
| Growth | 85 |
| Balance Sheet Health | 55 |
| Cash Flow | 75 |
| Factor | Score |
|---|---|
| Trend Analysis | 80 |
| Momentum | 40 |
| Volume Confirmation | 60 |
| Support & Resistance | 50 |
| Moving Averages | 50 |
Positive Earnings Surprises
Solventum Corporation has consistently beaten earnings per share (EPS) estimates, with recent quarters showing surprises of 9.72%, 6.68%, and 17.67%. This suggests strong operational execution and better-than-expected profitability.
Growth Prospects Justify Valuation
The company's P/E ratio is 34.07 (TTM). While seemingly high, the historical revenue growth and positive EPS surprises indicate potential for continued growth that could support this valuation.
High Quarterly P/E Ratios
Recent quarterly P/E ratios (e.g., Q1 2025 at 96.0, Q4 2024 at 368.7) are exceptionally high. This suggests that current earnings are not keeping pace with the stock price, potentially indicating overvaluation if future growth expectations are not met.
Declining Net Margins
Net profit margins have significantly decreased from 17.9% in 2021 to 5.8% in 2024 (annual). This trend, along with a sharp drop in Q4 2024 net margin to 1.5%, indicates potential margin compression and challenges in converting revenue to profit.
August 2025
8
Next Earnings Date
H: $1.49
A: $1.45
L: $1.36
H: 2.13B
A: 2.12B
L: 2.11B
Solventum Corporation, a healthcare company, develops, manufactures, and commercializes a portfolio of solutions to address critical customer and patient needs in the United States and internationally. It operates in four segments: Medsurg, Dental Solutions, Health Information Systems, and Purification and Filtration. The Medsurg segment offers solutions for negative pressure wound therapy, advanced wound dressings, advanced skin care, I.V. site management, sterilization assurance, temperature management, surgical supplies, medical tapes and wrap, stethoscopes, medical electrodes, and medical technologies for original equipment manufacturers. Its Dental Solutions segment provides a suite of dental and orthodontic products, including brackets, aligners, restorative cements, and bonding agents. The Health Information Systems provides software solutions and services for health care systems, such as computer-assisted, physician documentation, direct-to-bill and coding automation, classification methodologies, speech recognition, and data visualization platforms. Its Purification and Filtration segment provides purification and filtration technologies comprising filters, purifiers, cartridges, and membranes. The company sells its products and services through direct-to-consumer, distribution, key account management, inside sales, and e-commerce. Solventum Corporation was incorporated in 2023 and is based in Maplewood, Minnesota.
85.04 USD
The 39 analysts offering 1 year price forecasts for SOLV have a max estimate of 103.00 and a min estimate of 71.00.