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SOON

Sonova HoldingSWX:SOON Stock Report

Market Cap

CHF24.0b

7D

4.9%

1Y

66.8%

Updated

26 Oct, 2021

Data

Company Financials +
SOON fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance4/6
Financial Health4/6
Dividends3/6

SOON Overview

Sonova Holding AG designs, develops, manufactures, and distributes hearing systems for adults and children with hearing impairment.

Sonova Holding Competitors

Logitech International

SWX:LOGN

CHF13.8b

Amplifon

BIT:AMP

€10.0b

Demant

CPSE:DEMANT

kr.73.9b

GN Store Nord

CPSE:GN

kr.54.4b

Price History & Performance

Summary of all time highs, changes and price drops for Sonova Holding
Historical stock prices
Current Share PriceCHF381.90
52 Week HighCHF214.00
52 Week LowCHF389.70
Beta0.76
1 Month Change2.30%
3 Month Change8.07%
1 Year Change66.77%
3 Year Change135.89%
5 Year Change192.42%
Change since IPO7,078.59%

Recent News & Updates

Oct 15
Here's Why We Think Sonova Holding (VTX:SOON) Is Well Worth Watching

Here's Why We Think Sonova Holding (VTX:SOON) Is Well Worth Watching

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Sep 12
Capital Allocation Trends At Sonova Holding (VTX:SOON) Aren't Ideal

Capital Allocation Trends At Sonova Holding (VTX:SOON) Aren't Ideal

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Aug 12
Sonova Holding (VTX:SOON) Seems To Use Debt Quite Sensibly

Sonova Holding (VTX:SOON) Seems To Use Debt Quite Sensibly

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' It's only natural to consider a company's...

Jul 13
Does Sonova Holding (VTX:SOON) Deserve A Spot On Your Watchlist?

Does Sonova Holding (VTX:SOON) Deserve A Spot On Your Watchlist?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Shareholder Returns

SOONCH Medical EquipmentCH Market
7D4.9%4.3%0.4%
1Y66.8%59.2%22.4%

Return vs Industry: SOON exceeded the Swiss Medical Equipment industry which returned 59.2% over the past year.

Return vs Market: SOON exceeded the Swiss Market which returned 22.4% over the past year.

Price Volatility

Is SOON's price volatile compared to industry and market?
SOON volatility
SOON Beta0.76
Industry Beta0.73
Market Beta1

Stable Share Price: SOON is not significantly more volatile than the rest of Swiss stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: SOON's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
194714,508Arnd Kaldowskihttps://www.sonova.com

Sonova Holding AG designs, develops, manufactures, and distributes hearing systems for adults and children with hearing impairment. It operates through two segments, Hearing Instruments and Cochlear Implants segments. The company offers wireless communication products, rechargeable hearing aids, and professional audiological care services.

Sonova Holding Fundamentals Summary

How do Sonova Holding's earnings and revenue compare to its market cap?
SOON fundamental statistics
Market CapCHF23.99b
Earnings (TTM)CHF581.00m
Revenue (TTM)CHF2.60b

41.5x

P/E Ratio

9.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SOON income statement (TTM)
RevenueCHF2.60b
Cost of RevenueCHF726.60m
Gross ProfitCHF1.88b
ExpensesCHF1.29b
EarningsCHF581.00m

Last Reported Earnings

Mar 31, 2021

Next Earnings Date

Nov 15, 2021

Earnings per share (EPS)9.20
Gross Margin72.07%
Net Profit Margin22.33%
Debt/Equity Ratio56.4%

How did SOON perform over the long term?

See historical performance and comparison

Dividends

0.8%

Current Dividend Yield

35%

Payout Ratio

Valuation

Is Sonova Holding undervalued compared to its fair value and its price relative to the market?

12.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SOON (CHF381.9) is trading below our estimate of fair value (CHF433.79)

Significantly Below Fair Value: SOON is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: SOON is good value based on its PE Ratio (41.5x) compared to the Swiss Medical Equipment industry average (54x).

PE vs Market: SOON is poor value based on its PE Ratio (41.5x) compared to the Swiss market (21x).


Price to Earnings Growth Ratio

PEG Ratio: SOON is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: SOON is overvalued based on its PB Ratio (8.8x) compared to the CH Medical Equipment industry average (6.4x).


Future Growth

How is Sonova Holding forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

10.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOON's forecast earnings growth (10.5% per year) is above the savings rate (-0.3%).

Earnings vs Market: SOON's earnings (10.5% per year) are forecast to grow faster than the Swiss market (9.3% per year).

High Growth Earnings: SOON's earnings are forecast to grow, but not significantly.

Revenue vs Market: SOON's revenue (9.9% per year) is forecast to grow faster than the Swiss market (5.1% per year).

High Growth Revenue: SOON's revenue (9.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SOON's Return on Equity is forecast to be high in 3 years time (27.7%)


Past Performance

How has Sonova Holding performed over the past 5 years?

9.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SOON has a large one-off gain of CHF107.4M impacting its March 31 2021 financial results.

Growing Profit Margin: SOON's current net profit margins (22.3%) are higher than last year (16.6%).


Past Earnings Growth Analysis

Earnings Trend: SOON's earnings have grown by 9% per year over the past 5 years.

Accelerating Growth: SOON's earnings growth over the past year (20.2%) exceeds its 5-year average (9% per year).

Earnings vs Industry: SOON earnings growth over the past year (20.2%) underperformed the Medical Equipment industry 41.1%.


Return on Equity

High ROE: SOON's Return on Equity (21.1%) is considered high.


Financial Health

How is Sonova Holding's financial position?


Financial Position Analysis

Short Term Liabilities: SOON's short term assets (CHF2.6B) exceed its short term liabilities (CHF1.3B).

Long Term Liabilities: SOON's short term assets (CHF2.6B) exceed its long term liabilities (CHF1.9B).


Debt to Equity History and Analysis

Debt Level: SOON's debt to equity ratio (56.4%) is considered high.

Reducing Debt: SOON's debt to equity ratio has increased from 0.01% to 56.4% over the past 5 years.

Debt Coverage: SOON's debt is well covered by operating cash flow (48.9%).

Interest Coverage: SOON's interest payments on its debt are well covered by EBIT (33.5x coverage).


Balance Sheet


Dividend

What is Sonova Holding current dividend yield, its reliability and sustainability?

0.84%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SOON's dividend (0.84%) isn’t notable compared to the bottom 25% of dividend payers in the Swiss market (1.38%).

High Dividend: SOON's dividend (0.84%) is low compared to the top 25% of dividend payers in the Swiss market (3.61%).


Stability and Growth of Payments

Stable Dividend: SOON's dividend payments have been volatile in the past 10 years.

Growing Dividend: SOON's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (34.7%), SOON's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SOON's dividends in 3 years are forecast to be well covered by earnings (38% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.0yrs

Average management tenure


CEO

Arnd Kaldowski (54 yo)

3.5yrs

Tenure

CHF3,315,361

Compensation

Mr. Arnd Kaldowski has been the Chief Executive Officer at Sonova Holding AG since April 1, 2018 and its Chief Operating Officer since October 1, 2017 and its Member of Management Board since October 1, 20...


CEO Compensation Analysis

Compensation vs Market: Arnd's total compensation ($USD3.60M) is below average for companies of similar size in the Swiss market ($USD5.45M).

Compensation vs Earnings: Arnd's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: SOON's management team is considered experienced (4 years average tenure).


Board Members

Experienced Board: SOON's board of directors are considered experienced (3.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Sonova Holding AG's employee growth, exchange listings and data sources


Key Information

  • Name: Sonova Holding AG
  • Ticker: SOON
  • Exchange: SWX
  • Founded: 1947
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: CHF23.986b
  • Shares outstanding: 63.17m
  • Website: https://www.sonova.com

Number of Employees


Location

  • Sonova Holding AG
  • Laubisrutistrasse 28
  • Stäfa
  • Zurich
  • 8712
  • Switzerland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/26 17:04
End of Day Share Price2021/10/26 00:00
Earnings2021/03/31
Annual Earnings2021/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.