Somnigroup International (NYSE:SGI) Downgraded to “Strong Sell” Rating by Zacks Research

Zacks Research downgraded shares of Somnigroup International (NYSE:SGI) from a hold rating to a strong sell rating in a research note released on Monday morning,Zacks.com reports.

Other equities research analysts also recently issued research reports about the company. Zelman & Associates started coverage on Somnigroup International in a report on Tuesday, June 23rd. They set an “outperform” rating and a $99.00 price target for the company. Bank of America dropped their price objective 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. Truist Financial cut their target price on shares of Somnigroup International from $115.00 to $100.00 and set a “buy” rating for the company in a research note on Friday, August 7th. Weiss Ratings cut shares of Somnigroup International from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, May 26th. Finally, Piper Sandler reaffirmed an “overweight” rating and set a $95.00 target price (down from $102.00) on shares of Somnigroup International in a report on Friday, August 7th. Seven research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, Somnigroup International has a consensus rating of “Moderate Buy” and a consensus price target of $94.50.

Somnigroup International Price Performance

NYSE:SGI opened at $65.11 on Monday. Somnigroup International has a 12-month low of $60.39 and a 12-month high of $98.56. The firm has a market capitalization of $13.70 billion, a price-to-earnings ratio of 26.04, a P/E/G ratio of 1.46 and a beta of 1.20. The stock’s 50 day moving average price is $72.12 and its two-hundred day moving average price is $77.05. The company has a quick ratio of 0.37, a current ratio of 0.75 and a debt-to-equity ratio of 1.33.

Somnigroup International (NYSE:SGI) last issued its earnings results on Thursday, August 6th. The company reported $0.58 EPS for the quarter, hitting the consensus estimate of $0.58. The company had revenue of $1.82 billion during the quarter. Somnigroup International had a return on equity of 19.32% and a net margin of 7.00%.The business’s revenue was down 3.0% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.53 earnings per share. Somnigroup International has set its FY 2026 guidance at 2.850-3.150 EPS. On average, analysts anticipate that Somnigroup International will post 3.02 earnings per share for the current year.

Somnigroup International Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Thursday, August 20th will be given a dividend of $0.17 per share. The ex-dividend date is Thursday, August 20th. This represents a $0.68 annualized dividend and a yield of 1.0%. Somnigroup International’s dividend payout ratio (DPR) is presently 27.20%.

Institutional Investors Weigh In On Somnigroup International

A number of hedge funds and other institutional investors have recently modified their holdings of SGI. BlackRock Inc. acquired a new position in shares of Somnigroup International in the second quarter valued at about $1,507,604,000. Geode Capital Management LLC boosted its holdings 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 valued at $390,699,000 after purchasing an additional 371,234 shares during the period. JPMorgan Chase & Co. grew its position in shares of Somnigroup International by 7.3% during the 4th quarter. JPMorgan Chase & Co. now owns 3,429,208 shares of the company’s stock worth $306,160,000 after purchasing an additional 232,953 shares in the last quarter. Third Point LLC increased its holdings in shares of Somnigroup International by 13.3% during the fourth quarter. Third Point LLC now owns 3,400,000 shares of the company’s stock worth $303,552,000 after purchasing an additional 400,000 shares during the period. Finally, Artisan Partners Limited Partnership acquired a new stake in shares of Somnigroup International in the fourth quarter valued at approximately $274,323,000. Institutional investors and hedge funds 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.