Sotera Health Company (SHC) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-112.1%

-$2.15

vs $17.74 price

Levered DCF

-$5.56

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

1.88

Grey zone

Rating

B-

Overall 2 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	65.33×	85.5×	93.61×	-10.04×	57.44×	-196×	-349.58×	-1,054.62×
P/B	8.27×	9.55×	10.67×	6.66×	11.22×	17.18×	-11.11×	139.28×
P/S	4.3×	3.52×	4.51×	2.32×	7.06×	9.5×	9.17×	8.28×
EV / EBITDA	15.68×	13.44×	16.63×	-227.99×	20.7×	29.94×	32.7×	26.47×
Gross margin	55.5%	54.7%	55.0%	55.5%	55.7%	54.2%	50.8%	47.9%
Operating margin	33.8%	27.0%	26.4%	24.7%	27.6%	25.2%	23.6%	10.8%
Net margin	6.7%	4.0%	4.9%	-23.3%	12.5%	-4.7%	-2.7%	-0.8%
Current ratio	2.46×	2.75×	2.42×	0.81×	2.15×	2.24×	2.04×	2.18×
Debt / equity	3.75×	5.81×	5.24×	5.8×	3.12×	4.22×	-4.43×	50.45×
Interest coverage	2.52×	1.81×	1.94×	3.1×	3.46×	0.96×	1.16×	0.56×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	9.7%	2.8%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	-3315.0%	-2995.7%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	12.9%	11.0%	11.6%	-66.7%	19.9%	-8.5%	3.2%	-13.2%
Return on invested capital	6.8%	4.0%	4.6%	9.4%	6.5%	7.6%	7.4%	-0.8%
Return on assets	2.4%	1.4%	1.6%	-7.5%	4.2%	-1.4%	-0.8%	-0.2%
Free cash flow yield	3.0%	1.2%	-7.7%	4.1%	2.7%	0.9%	1.3%	0.8%
Earnings yield	1.6%	1.1%	1.1%	-10.0%	1.8%	-0.5%	-0.3%	-0.1%
Enterprise value	$6.9B	$5.9B	$6.8B	$4B	$8.3B	$9.6B	$9.9B	$8.3B
Net debt / EBITDA	4.36×	4.69×	4.99×	-94×	4.29×	5.65×	9.18×	6.81×
Cash conversion cycle (days)	42	51	43	26	36	41	48	61