Somnigroup International Inc. $SGI Shares Newly Purchased by William Blair Investment Management LLC

Key Points

• William Blair Investment Management initiated a sizable position in Somnigroup, purchasing 1.13 million shares worth about $70 million, or roughly 0.54% of the company.
• Somnigroup’s latest quarterly revenue rose 10.8% year over year to $2.35 billion, but EPS of $1.04 narrowly missed estimates. The company forecast FY2026 EPS of $2.85–$2.95.
• Analysts give the stock a consensus “Moderate Buy” rating and an average price target of $93.33; shares recently traded at $60.85. The company also declared a quarterly dividend of $0.17 per share.

William Blair Investment Management LLC bought a new stake in Somnigroup International Inc. (NYSE:SGI - Free Report) in the third quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor bought 1,127,624 shares of the company's stock, valued at approximately $70,037,000. William Blair Investment Management LLC owned approximately 0.54% of Somnigroup International as of its most recent SEC filing.

Several other large investors have also recently bought and sold shares of the stock. Allworth Financial LP lifted its stake in shares of Somnigroup International by 44.0% in the 3rd quarter. Allworth Financial LP now owns 566 shares of the company's stock worth $35,000 after acquiring an additional 173 shares during the period. Russell Investments Group Ltd. increased its stake in shares of Somnigroup International by 3.8% during the third quarter. Russell Investments Group Ltd. now owns 114,314 shares of the company's stock valued at $7,100,000 after acquiring an additional 4,216 shares during the period. CENTRAL TRUST Co increased its stake in shares of Somnigroup International by 187.8% during the third quarter. CENTRAL TRUST Co now owns 3,111 shares of the company's stock valued at $193,000 after acquiring an additional 2,030 shares during the period. Fifth Third Bancorp increased its stake in shares of Somnigroup International by 1.7% during the third quarter. Fifth Third Bancorp now owns 47,645 shares of the company's stock valued at $2,959,000 after acquiring an additional 792 shares during the period. Finally, New Mexico Educational Retirement Board raised its holdings in Somnigroup International by 14.1% during the third quarter. New Mexico Educational Retirement Board now owns 48,424 shares of the company's stock worth $3,008,000 after purchasing an additional 6,000 shares in the last quarter. Institutional investors and hedge funds own 99.86% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on SGI. Piper Sandler restated an "overweight" rating and issued a $100.00 target price (up from $95.00) on shares of Somnigroup International in a research report on Thursday, September 3rd. Stephens upgraded Somnigroup International from an "equal weight" rating to an "overweight" rating and lifted their price target for the company from $66.00 to $80.00 in a research report on Monday, September 14th. Weiss Ratings reissued a "hold (c+)" rating on shares of Somnigroup International in a research note on Friday, August 21st. Morgan Stanley dropped their price objective on Somnigroup International from $95.00 to $90.00 and set an "overweight" rating on the stock in a research note on Tuesday, November 10th. Finally, Truist Financial cut their price objective on Somnigroup International from $115.00 to $100.00 and set a "buy" rating for the company in a report on Friday, August 7th. Nine equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $93.33.

Somnigroup International Price Performance

Shares of NYSE:SGI traded up $0.23 during trading hours on Friday, hitting $60.85. 2,984,766 shares of the company's stock traded hands, compared to its average volume of 3,383,958. The company's fifty day simple moving average is $64.10 and its two-hundred day simple moving average is $72.45. The company has a market cap of $14.01 billion, a price-to-earnings ratio of 25.25, a price-to-earnings-growth ratio of 1.06 and a beta of 1.30. The company has a debt-to-equity ratio of 1.14, a quick ratio of 0.37 and a current ratio of 1.23. Somnigroup International Inc. has a 52 week low of $60.08 and a 52 week high of $98.56.

Somnigroup International (NYSE:SGI - Get Free Report) last released its earnings results on Monday, November 9th. The company reported $1.04 EPS for the quarter, missing analysts' consensus estimates of $1.06 by ($0.02). Somnigroup International had a return on equity of 17.84% and a net margin of 6.62%. The business had revenue of $2.35 billion during the quarter. During the same quarter in the prior year, the firm earned $0.95 EPS. Somnigroup International's quarterly revenue was up 10.8% on a year-over-year basis. Somnigroup International has set its FY 2026 guidance at 2.850-2.950 EPS. As a group, equities analysts anticipate that Somnigroup International Inc. will post 2.90 EPS for the current fiscal year.

Somnigroup International Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, December 7th. Shareholders of record on Monday, November 23rd will be given a $0.17 dividend. The ex-dividend date is Monday, November 23rd. This represents a $0.68 annualized dividend and a yield of 1.1%. Somnigroup International's payout ratio is 28.22%.

Insider Transactions at Somnigroup International

In related news, CEO Scott Thompson purchased 30,000 shares of the company's stock in a transaction on Thursday, August 27th. The shares were bought at an average price of $62.84 per share, with a total value of $1,885,200.00. Following the completion of the acquisition, the chief executive officer owned 4,123,634 shares of the company's stock, valued at approximately $259,129,160.56. This represents a 0.73% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Company insiders own 3.99% of the company's stock.

Somnigroup International Profile

Somnigroup International, Inc. is a bedding company that designs, manufactures, distributes and sells mattresses and related sleep products. Its offerings include adjustable bases, pillows and other bedding accessories, marketed under brands such as Tempur-Pedic, Sealy and Stearns & Foster. The company also operates Mattress Firm, a mattress retailer with stores across the United States. Through its brands, retail business and other sales channels, Somnigroup serves customers in the U.S. and international markets.

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