Somnigroup International (NYSE:SGI) Raised to "Hold" at Wall Street Zen

Key Points

• Wall Street Zen upgraded Somnigroup International to “Hold” from “Sell,” while the broader analyst consensus remains “Moderate Buy” with a $96.12 target price.
• Somnigroup reported quarterly EPS of $0.58, in line with expectations, on $1.82 billion in revenue—down 3% year over year. Management guided fiscal 2026 EPS to $2.85–$3.15.
• CEO Scott Thompson purchased 30,000 shares for approximately $1.9 million, while institutional investors own nearly 100% of the company’s stock.

Somnigroup International (NYSE:SGI - Get Free Report) was upgraded by research analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a report released on Saturday, Wall Street Zen reports.

Several other research firms have also recently issued reports on SGI. Weiss Ratings reissued a "hold (c+)" rating on shares of Somnigroup International in a research note on Friday, August 21st. Truist Financial dropped their price target on Somnigroup International from $115.00 to $100.00 and set a "buy" rating for the company in a research note on Friday, August 7th. Morgan Stanley assumed coverage on shares of Somnigroup International in a report on Monday, July 27th. They issued an "overweight" rating and a $95.00 price target on the stock. Zacks Research downgraded shares of Somnigroup International from a "hold" rating to a "strong sell" rating in a research report on Monday, August 10th. Finally, Piper Sandler restated an "overweight" rating and issued a $100.00 price objective (up from $95.00) on shares of Somnigroup International in a report on Thursday. Seven equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Somnigroup International presently has a consensus rating of "Moderate Buy" and a consensus target price of $96.12.

Somnigroup International Stock Up 0.3%

Shares of NYSE:SGI opened at $69.76 on Friday. Somnigroup International has a 1 year low of $60.39 and a 1 year high of $98.56. The company has a market cap of $14.68 billion, a PE ratio of 27.90, a P/E/G ratio of 1.56 and a beta of 1.19. The company has a debt-to-equity ratio of 1.33, a current ratio of 0.75 and a quick ratio of 0.37. The stock's 50-day moving average is $69.37 and its 200 day moving average is $73.62.

Somnigroup International (NYSE:SGI - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The company reported $0.58 EPS for the quarter, meeting analysts' consensus estimates of $0.58. Somnigroup International had a return on equity of 19.32% and a net margin of 7.00%.The business had revenue of $1.82 billion during the quarter. During the same period in the previous year, the company earned $0.53 EPS. The company's revenue for the quarter was down 3.0% on a year-over-year basis. Somnigroup International has set its FY 2026 guidance at 2.850-3.150 EPS. Sell-side analysts anticipate that Somnigroup International will post 3.02 EPS for the current year.

Insider Activity

In other news, CEO Scott Thompson bought 30,000 shares of the stock in a transaction dated Thursday, August 27th. The stock was bought at an average price of $62.84 per share, for a total transaction of $1,885,200.00. Following the purchase, the chief executive officer directly owned 4,123,634 shares in the company, valued at $259,129,160.56. This trade represents a 0.73% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 3.99% of the company's stock.

Hedge Funds Weigh In On Somnigroup International

A number of institutional investors have recently added to or reduced their stakes in SGI. BlackRock Inc. purchased a new position in Somnigroup International during the second quarter valued at $1,507,604,000. California State Teachers Retirement System increased its stake in shares of Somnigroup International by 7,702.3% in the 2nd quarter. California State Teachers Retirement System now owns 18,088,526 shares of the company's stock worth $1,418,140,000 after acquiring an additional 17,856,689 shares in the last quarter. Linonia Partnership LP purchased a new position in Somnigroup International during the 2nd quarter valued at about $519,372,000. Artisan Partners Limited Partnership bought a new stake in Somnigroup International during the fourth quarter worth about $274,323,000. Finally, Norges Bank bought a new stake in Somnigroup International during the fourth quarter worth about $270,814,000. Institutional investors own 99.86% of the company's stock.

Somnigroup International Company Profile

Somnigroup International Inc, together with its subsidiaries, designs, manufactures, distributes, and retails bedding products in the United States and internationally. It provides mattresses, foundations and adjustable foundations, and adjustable bases, as well as other products comprising pillows, mattress covers, sheets, cushions, and various other accessories and comfort products under the Tempur-Pedic, Sealy, Stearns & Foster, Sealy, and Cocoon by Sealy brand names. The company sells its products through approximately company-owned stores, online, and call centers; and third party retailers, including third party distribution, hospitality, and healthcare.

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