Sotera Health Company (NASDAQ:SHC) Receives Consensus Recommendation of "Moderate Buy" from Analysts

Key Points

• Sotera Health Company (NASDAQ:SHC) has received a consensus recommendation of "Moderate Buy" from five research firms, with one hold and four buy ratings.
• The company reported $0.20 earnings per share for the last quarter, exceeding estimates and showing a 6.4% increase in revenue compared to the previous year.
• Insider transactions saw significant shares sold recently, with notable sales totaling over $123 million, indicating changes in ownership stakes among executives.

Sotera Health Company (NASDAQ:SHC - Get Free Report) has been given an average recommendation of "Moderate Buy" by the five ratings firms that are covering the company, Marketbeat reports. One research analyst has rated the stock with a hold rating and four have issued a buy rating on the company. The average 12 month target price among analysts that have updated their coverage on the stock in the last year is $16.00.

Several equities research analysts recently issued reports on SHC shares. Barclays reissued an "overweight" rating on shares of Sotera Health in a research note on Friday, August 8th. Wall Street Zen raised Sotera Health from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 16th.

Sotera Health Trading Down 1.4%

Shares of NASDAQ SHC traded down $0.22 during mid-day trading on Monday, hitting $15.75. 293,713 shares of the company traded hands, compared to its average volume of 1,375,579. Sotera Health has a 1 year low of $9.53 and a 1 year high of $16.99. The stock has a market capitalization of $4.47 billion, a price-to-earnings ratio of 196.84 and a beta of 1.84. The company has a quick ratio of 2.23, a current ratio of 2.47 and a debt-to-equity ratio of 4.49. The business has a 50 day moving average of $14.15 and a two-hundred day moving average of $12.53.

Sotera Health (NASDAQ:SHC - Get Free Report) last announced its earnings results on Friday, August 8th. The company reported $0.20 EPS for the quarter, beating the consensus estimate of $0.17 by $0.03. The business had revenue of $294.34 million during the quarter, compared to the consensus estimate of $275.81 million. Sotera Health had a return on equity of 39.42% and a net margin of 2.14%.Sotera Health's revenue was up 6.4% compared to the same quarter last year. During the same period in the prior year, the business posted $0.19 earnings per share. Sotera Health has set its FY 2025 guidance at 0.750-0.820 EPS. On average, sell-side analysts anticipate that Sotera Health will post 0.61 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Sotera Health news, Director Pincus & Co. Warburg sold 12,000,000 shares of the company's stock in a transaction dated Friday, September 5th. The stock was sold at an average price of $15.11, for a total value of $181,320,000.00. Following the transaction, the director directly owned 61,822,952 shares of the company's stock, valued at $934,144,804.72. This represents a 16.26% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Michael P. Rutz sold 126,611 shares of the company's stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $16.38, for a total value of $2,073,888.18. Following the completion of the transaction, the insider directly owned 450,204 shares in the company, valued at approximately $7,374,341.52. The trade was a 21.95% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 20,126,611 shares of company stock valued at $304,273,888. Corporate insiders own 47.55% of the company's stock.

Institutional Investors Weigh In On Sotera Health

Large investors have recently bought and sold shares of the business. Ananym Capital Management LP bought a new position in shares of Sotera Health in the 4th quarter valued at approximately $13,680,000. BNP Paribas Financial Markets bought a new position in shares of Sotera Health in the 4th quarter valued at approximately $208,000. Nomura Holdings Inc. bought a new position in shares of Sotera Health in the 4th quarter valued at approximately $278,000. Quantinno Capital Management LP raised its stake in shares of Sotera Health by 69.0% in the 4th quarter. Quantinno Capital Management LP now owns 49,366 shares of the company's stock valued at $675,000 after acquiring an additional 20,149 shares in the last quarter. Finally, Vident Advisory LLC acquired a new stake in Sotera Health in the 4th quarter valued at approximately $209,000. 91.03% of the stock is currently owned by institutional investors.

About Sotera Health

Sotera Health Company engages in the provision of sterilization, lab testing, and advisory services in the United States and internationally. The company operates through three segments: Sterigenics, Nordion, and Nelson Labs. It provides mission-critical end-to-end sterilization services, including gamma and electron beam irradiation, and ethylene oxide processing, as well as designs, installs, and maintains gamma irradiation systems.