Sotera Health Co
NASDAQ:SHC

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Sotera Health Co
NASDAQ:SHC
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Price: 15.81 USD 1.48%
Market Cap: $4.5B

EV/FCFF

42.7
Current
12%
Cheaper
vs 3-y average of 48.7

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
42.7
=
Enterprise Value
$6.1B
/
Free Cash Flow to Firm
$149.2m

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
42.7
=
Enterprise Value
$6.1B
/
Free Cash Flow to Firm
$149.2m

Valuation Scenarios

Sotera Health Co is trading below its 3-year average

If EV/FCFF returns to its 3-Year Average (48.7), the stock would be worth $18.02 (14% upside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-46%
Maximum Upside
+20%
Average Downside
7%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 42.7 $15.81
0%
3-Year Average 48.7 $18.02
+14%
5-Year Average 51.3 $18.98
+20%
Industry Average 36.3 $13.43
-15%
Country Average 23.2 $8.6
-46%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close
Market Cap EV/FCFF P/E
US
Sotera Health Co
NASDAQ:SHC
4.5B USD 42.7 57.7
US
PerkinElmer Inc
LSE:0KHE
958.5B USD 1 884.9 3 973.8
US
Thermo Fisher Scientific Inc
NYSE:TMO
173.9B USD 31.3 25.4
US
Danaher Corp
NYSE:DHR
127.8B USD 26.1 34.2
KR
Samsung Biologics Co Ltd
KRX:207940
82.3T KRW 105.4 46.1
CN
WuXi AppTec Co Ltd
SSE:603259
299.9B CNY 22.8 15.7
CH
Lonza Group AG
SIX:LONN
33.5B CHF -166 -120.2
US
Agilent Technologies Inc
NYSE:A
32.7B USD 34.3 25.2
US
Waters Corp
NYSE:WAT
29.4B USD 55.2 45.8
US
IQVIA Holdings Inc
NYSE:IQV
27.8B USD 19 20
US
Mettler-Toledo International Inc
NYSE:MTD
26B USD 32.7 29.6

Market Distribution

Higher than 77% of companies in the United States of America
Percentile
77th
Based on 8 393 companies
77th percentile
42.7
Low
0 — 15.4
Typical Range
15.4 — 35.1
High
35.1 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 15.4
Median 23.2
70th Percentile 35.1
Max 3 178 983.5

Sotera Health Co
Glance View

Nestled in the heart of the life sciences industry, Sotera Health Co. emerges as a pivotal player, ensuring safety where health meets innovation. The company's journey is one of dedication to safeguarding global health, primarily through its trio of core businesses: Sterigenics, Nordion, and Nelson Labs. With a focus on sterilization, gamma technology, and laboratory testing, these subsidiaries collectively empower Sotera Health to command a critical niche in the health sector. Sterigenics steps into the spotlight by providing sterilization solutions that employ cutting-edge methodologies, such as ethylene oxide and gamma irradiation, essential for decontaminating medical equipment and consumables. Nordion complements this by leading the charge in gamma technologies, offering isotopes that are vital not just for sterilization but also in cancer treatment. Meanwhile, Nelson Labs rounds off the triad by delivering extensive microbiological and analytical testing services, catering to the rigorous standards of medical device manufacturers and pharmaceutical companies globally. The company doesn't operate in isolation; instead, it forms an integral part of the healthcare supply chain. By ensuring that surgical instruments are free of pathogens and that various health products meet stringent safety standards, Sotera Health becomes indispensable to hospitals, clinics, and research facilities around the world. Financially, the revenue streams flow predominantly from multi-year contracts and long-term client relationships, which are testament to the critical value the company provides. As the medical landscape evolves, with increasing complexity and regulatory demands, Sotera Health's blend of technology, reliability, and compliance positions it not just as a vendor, but as a protector of public health. This role orchestrates a business model that not only thrives on the present-day needs but is poised for growth as global health and safety requirements expand.

SHC Intrinsic Value
17.92 USD
Undervaluation 12%
Intrinsic Value
Price $15.81
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