Somnigroup International Inc. (NYSE:SGI) Receives Consensus Rating of "Moderate Buy" from Analysts

Key Points

• Analyst consensus is “Moderate Buy”: Six of nine analysts rate Somnigroup International a buy, while three recommend holding the stock. The average 12-month price target is $98.14, well above the recent $65.44 share price.
• Institutional ownership is substantial: Hedge funds and other institutional investors own 99.86% of SGI shares, with major investors including Geode Capital, JPMorgan, Third Point, Artisan Partners, and Allspring increasing or establishing positions.
• Recent operating results were positive: Quarterly EPS of $0.59 exceeded the $0.57 consensus estimate, while revenue rose 12.3% year over year to $1.80 billion. The company issued fiscal 2026 EPS guidance of $3.00–$3.40 and pays a $0.17 quarterly dividend.

Somnigroup International Inc. (NYSE:SGI - Get Free Report) has earned an average rating of "Moderate Buy" from the nine brokerages that are currently covering the firm, MarketBeat Ratings reports. Three analysts have rated the stock with a hold recommendation and six have issued a buy recommendation on the company. The average 1 year price objective among brokers that have updated their coverage on the stock in the last year is $98.1429.

A number of equities research analysts have recently weighed in on SGI shares. Stephens restated an "equal weight" rating and set a $89.00 price target on shares of Somnigroup International in a research note on Tuesday, April 14th. Weiss Ratings lowered shares of Somnigroup International from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Tuesday, May 26th. UBS Group lowered their target price on shares of Somnigroup International from $110.00 to $105.00 and set a "buy" rating for the company in a research note on Friday, May 8th. Zelman & Associates began coverage on shares of Somnigroup International in a research report on Tuesday, June 23rd. They set an "outperform" rating and a $99.00 target price on the stock. Finally, Bank of America dropped their target price on shares of Somnigroup International from $106.00 to $96.00 and set a "buy" rating on the stock in a research report on Tuesday, April 14th.

Institutional Investors Weigh In On Somnigroup International

Large investors have recently made changes to their positions in the stock. Geode Capital Management LLC raised its stake in Somnigroup International by 9.3% in the 4th quarter. Geode Capital Management LLC now owns 4,375,264 shares of the company's stock worth $390,699,000 after acquiring an additional 371,234 shares during the last quarter. JPMorgan Chase & Co. grew its stake in Somnigroup International by 7.3% during the 4th quarter. JPMorgan Chase & Co. now owns 3,429,208 shares of the company's stock valued at $306,160,000 after purchasing an additional 232,953 shares during the last quarter. Third Point LLC grew its stake in Somnigroup International by 13.3% during the 4th quarter. Third Point LLC now owns 3,400,000 shares of the company's stock valued at $303,552,000 after purchasing an additional 400,000 shares during the last quarter. Artisan Partners Limited Partnership acquired a new position in shares of Somnigroup International in the fourth quarter valued at about $274,323,000. Finally, Allspring Global Investments Holdings LLC increased its holdings in shares of Somnigroup International by 62.5% in the first quarter. Allspring Global Investments Holdings LLC now owns 3,046,320 shares of the company's stock valued at $224,240,000 after purchasing an additional 1,171,485 shares during the period. 99.86% of the stock is owned by hedge funds and other institutional investors.

Somnigroup International Stock Down 2.1%

Shares of SGI stock opened at $65.44 on Friday. Somnigroup International has a 1-year low of $60.39 and a 1-year high of $98.56. The stock's fifty day moving average price is $72.51 and its 200 day moving average price is $78.47. The company has a debt-to-equity ratio of 1.41, a current ratio of 0.78 and a quick ratio of 0.38. The company has a market cap of $13.77 billion, a price-to-earnings ratio of 26.71, a price-to-earnings-growth ratio of 1.22 and a beta of 1.19.

Somnigroup International (NYSE:SGI - Get Free Report) last announced its earnings results on Thursday, May 7th. The company reported $0.59 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.57 by $0.02. Somnigroup International had a return on equity of 19.62% and a net margin of 6.80%.The company had revenue of $1.80 billion for the quarter. During the same period in the prior year, the company earned $0.49 earnings per share. The company's quarterly revenue was up 12.3% on a year-over-year basis. Somnigroup International has set its FY 2026 guidance at 3.000-3.400 EPS. On average, research analysts expect that Somnigroup International will post 3.15 earnings per share for the current fiscal year.

Somnigroup International Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, June 4th. Stockholders of record on Thursday, May 21st were paid a dividend of $0.17 per share. This represents a $0.68 annualized dividend and a dividend yield of 1.0%. The ex-dividend date was Thursday, May 21st. Somnigroup International's payout ratio is presently 27.76%.

About Somnigroup International

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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