NYSE: SOLV · Health Care Technology
Solventum
Solventum, based in Eagan, Minnesota, is the former health care business of 3M, spun off in 2024. It sells surgical and wound care products, dental products and health information software. 2025 revenue was $8,325M. It sold Purification and Filtration to Thermo Fisher in 2025 for a $1.5B net gain, which lifted net income to $1,556M, cut debt to about $5B, and bought Acera Surgical. In August 2026 it announced plans to separate Health Information Systems.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: November 4, 2026 15:27 (SEC EDGAR) · Source 10-K filed: February 27, 2026
Built on10-K FY2025 · filed 2026-02-2710-Q (quarter ended 2026-09-30) · filed 2026-11-05Proxy statement (2026)
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
01
At a glanceFrom SEC data
Eight headline measures, each placed among the companies covered on this site.
- Revenue growthCAGRSmooths out year-to-year swings into "grew X% a year on average." Makes growth pace comparable across companies of very different sizes.
- 0.8%
- Operating marginOperating marginHow many cents of operating profit are left per dollar of revenue. Reflects pricing power and cost structure.
- 26.2%
- ROIC minus WACCROIC − WACC spreadThe difference between ROIC and WACC. Consistently positive implies value creation; consistently negative implies value destruction.
- +9.9 pts
- Net debt ÷ EBITDAEBITDAOperating income with D&A added back. A rough proxy for cash-generating power that’s less distorted by capital intensity, depreciation method, or financing/tax differences than net income.
- 1.6x
- Cash conversionOperating CF ÷ net income (cash conversion)How much of reported profit shows up as actual cash. 1x or higher means profit is backed by cash.
- 0.24x
- Dividend raisesDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year).
- —
- P/E todayP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing.
- 98.9x
- Betaβ (beta)How much a stock moves, on average, for a 1% move in the overall market. Above 1 means more volatile than the market, which raises the return shareholders require. This site computes it from about 2.5 years (roughly 130 weeks) of weekly returns, built from Yahoo Finance daily prices, regressed against an S&P 500 ETF (SPY) as the market proxy, then applies the well-known long-run mean-reversion adjustment (0.67 × β + 0.33) as the WACC default.
- 0.73
Higher than 7% of 372 non-financial companies
Average yearly growth over the years shown
Higher than 75% of 311 non-financial companies
Latest fiscal year (FY2025)
Higher than 72% of 311 non-financial companies
Return on capital above (or below) its estimated cost
Higher than 46% of 304 non-financial companies
Below 0 means more cash than debt
Higher than 1% of 349 non-financial companies
Operating cash flow ÷ net income
Years the dividend per share rose, of the last 5
Latest close 2026-11-04; trailing 12 months to 2026-09-30
Above 1 = moves more than the market
Each marker shows where this company sits among the non-financial companies covered on this site, not all listed companies (left = lowest, right = highest). A high position is not automatically good — for net debt ÷ EBITDA, higher means more debt. Details and formulas are in the sections below and in How to read this.
02
Valuation todayFrom SEC data
Price-based measures at the latest close, next to the same measures at the last fiscal year-end.
Share price$88.93close on 2026-11-04
Market cap$15.43B
- P/EP/EShare price ÷ EPS — how many years of current earnings the stock price represents. This site uses the period-end figure as reported in the filing. today
- 98.9x
- P/BP/BShare price ÷ book value per share. Below 1x means the market values the company below its accounting net worth. This site uses the closing price nearest the fiscal year-end and highlights sub-1x readings. today
- 3.1x
- EV/EBITDAEV/EBITDAEnterprise value (≈ market cap + interest-bearing debt − cash) as a multiple of EBITDA — roughly, "how many years of EBITDA to buy the whole company." Lower is generally viewed as cheaper, and it’s more comparable than P/E across companies with different debt loads or depreciation policies. This site excludes noncontrolling interests from the EV calculation. today
- 7.3x
- FCF yieldFree cash flow (FCF)Operating CF minus capital expenditures — cash generated by the business after funding its own investment, available for dividends, buybacks, acquisitions, or debt paydown. Acquisitions and securities purchases (also in investing CF) are not subtracted, so FCF can be positive in a year when total investing CF exceeds operating CF. today
- -0.1%
- Dividend yieldDividend per shareTotal annual dividend paid per share (sum of all declared payments for the year). today
- —
At FY2025 year-end: 8.9x
Earnings: trailing 12 months to 2026-09-30
At FY2025 year-end: 2.7x
Book value at FY2025 year-end
At FY2025 year-end: 6.7x
EBITDA for FY2025
At FY2025 year-end: -0.1%
Free cash flow for FY2025
Dividends per share for FY2025
“Today” uses the latest closing price (2026-11-04, Yahoo Finance daily closing prices) and shares outstanding at the last fiscal year-end. The rest of this page — including the financial table and ROIC vs. WACC — uses fiscal year-end prices. These are reference figures, not a judgment of whether the stock is cheap or expensive.
03
What changed since last earningsFrom SEC data
The latest reported quarter against the same quarter a year earlier, the balance sheet against the previous quarter-end, and what management said in its latest earnings release.
Quarter ended Sep 30, 2026.
- Revenue$2.1B → $1.95B (vs. a year earlier)↓ −7.0%$2.1B → $1.95B (vs. a year earlier)
- Operating margin80.6% → 3.5% (vs. a year earlier)↓ −77.1 pts80.6% → 3.5% (vs. a year earlier)
- Net income$1.27B → −$12M (vs. a year earlier)↓ −$12M$1.27B → −$12M (vs. a year earlier)
- Diluted EPS$7.22 → $-0.07 (vs. a year earlier)↓ $-0.07$7.22 → $-0.07 (vs. a year earlier)
- Cash$403M → $451M (vs. previous quarter-end)↑ +11.9%$403M → $451M (vs. previous quarter-end)
- Long-term debt$4.57B → $4.56B (vs. previous quarter-end)→ −0.3%$4.57B → $4.56B (vs. previous quarter-end)
Source: Form 10-Q ↗ (SEC XBRL). Long-term debt is the tagged long-term debt figure and leaves out short-term borrowings.
From the earnings release of Aug 5, 2026.
Management outlook ↑ Raised
Raised 2026 organic sales growth, adjusted EPS and free cash flow guidance. Source sentence
Increases full-year 2026 guidance for organic sales growth, adjusted EPS and free cash flow
Key changes
Q2 sales $2.2B, up 2.2%; organic up 9.5%. Source sentence
S ales of $2.2 billion, increased 2.2% on a reported basis; an increase of 9.5% on an organic basis
Operating cash flow $227M. Source sentence
Operating cash flow for the quarter was $227 million and free cash flow was $144 million , ahead of expectations driven by timing of tax payments and insurance proceeds.
Written by AI. A line appears only if its figures and direction match the quoted sentence, which an automatic check confirms. Companies' outlooks are their own and may not be met. Read the release ↗
04
Company profileFrom SEC dataShow
- Legal name
- Solventum Corp
- Headquarters
- EAGAN, MN
- Incorporated in
- Delaware
- Fiscal year end
- 12/31
- Exchange & ticker
- NYSE: SOLV
- Industry
- Health Care Technology
- CIK
- 1964738
- Website
- https://www.solventum.com/ ↗
Workforce (as of FY2025 year-end)
Employees
20,000
Source: Form 10-K (FY2025) cover page and business description
05
Earnings calendarFrom SEC dataShow
When the company reports each quarter: the quarter-end date, the day results were released, and when the 10-Q or 10-K was filed.
Next report
Q4 FY2026
Quarter end: December 2026. In past years, Q4 results were released 57–58 days after quarter end (Feb 26, 2026; Feb 27, 2025). No date has been announced in the sources this site uses.
Reporting pattern
- Fiscal year ends around December 31.
- Reports four times a year: three quarterly reports (10-Q) and an annual report (10-K) for Q4.
- Earnings releases came 35–58 days after quarter end over the last 11 quarters.
| Quarter | Quarter ended | Earnings release (8-K) | Report filed (10-Q / 10-K) |
|---|---|---|---|
| Q3 FY2026 | Sep 30, 2026 | Nov 5, 2026 (+36 days) | Nov 5, 2026 10-Q (+36 days) |
| Q2 FY2026 | Jun 30, 2026 | Aug 5, 2026 (+36 days) | Aug 5, 2026 10-Q (+36 days) |
| Q1 FY2026 | Mar 31, 2026 | May 5, 2026 (+35 days) | May 5, 2026 10-Q (+35 days) |
| Q4 FY2025 | Dec 31, 2025 | Feb 26, 2026 (+57 days) | Feb 27, 2026 10-K (+58 days) |
| Q3 FY2025 | Sep 30, 2025 | Nov 6, 2025 (+37 days) | Nov 6, 2025 10-Q (+37 days) |
| Q2 FY2025 | Jun 30, 2025 | Aug 7, 2025 (+38 days) | Aug 8, 2025 10-Q (+39 days) |
| Q1 FY2025 | Mar 31, 2025 | May 8, 2025 (+38 days) | May 9, 2025 10-Q (+39 days) |
| Q4 FY2024 | Dec 31, 2024 | Feb 27, 2025 (+58 days) | Feb 28, 2025 10-K (+59 days) |
| Q3 FY2024 | Sep 30, 2024 | Nov 7, 2024 (+38 days) | Nov 8, 2024 10-Q (+39 days) |
| Q2 FY2024 | Jun 30, 2024 | Aug 8, 2024 (+39 days) | Aug 9, 2024 10-Q (+40 days) |
| Q1 FY2024 | Mar 31, 2024 | May 9, 2024 (+39 days) | May 10, 2024 10-Q (+40 days) |
Source: SEC EDGAR filing history. Release dates are the dates the earnings release was furnished to the SEC on Form 8-K (Item 2.02), which is normally the day results are announced. For a quarter whose 10-Q or 10-K isn’t filed yet, the date is the latest Item 2.02 8-K since the previous report, which may be a preliminary or other results-related update. Fiscal years are labeled by the calendar year in which they end.
06
Flagship products & servicesSite analysis
MedSurg
Advanced wound care
Wound care products.
MedSurg
Infection prevention and surgical solutions
Products for infection prevention and surgery.
Dental Solutions
Dental and orthodontic products
Dental and orthodontic solutions.
Health Information Systems
Health software
Revenue cycle and clinician productivity software.
From the Form 10-K, FY2025.
U.S. and worldwide share of flagship products/services
No market share figure is stated in the 10-K.
Reviewed: Form 10-K (FY2025) · Form 10-Q (quarter ended 2026-06-30)
07
Recent strategic focusSite analysis
Recent developments.
Q2 2026 results
Sales $2,209M (vs $2,161M); net income $92M (vs $90M).
Source: Form 10-Q (quarter ended 2026-06-30)
HIS separation
Announced August 5, 2026; a range of pathways is being evaluated.
Source: Form 8-K (2026-08-05) — Item 8.01 Health Information Systems separation
Litigation accrual
Raised in Q2 2026 on Bair Hugger developments; accrued litigation $235M.
Source: Form 10-Q (quarter ended 2026-06-30)
Acera Surgical
Acquired December 23, 2025 for $776M total consideration.
Source: Form 10-K (FY2025)
Capex ÷ D&A (FY2025)
0.78x
Below depreciation — investment is being pared back
formulacapital expenditures ÷ depreciation & amortization
e.g.$379M ÷ $489M = 0.78x
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
R&D-to-revenue ratio (FY2025)
8.9%
formularesearch & development expense ÷ revenue × 100
e.g.$739M ÷ $8,325M × 100 = 8.9%
M&A spend (4-year total)
$696M
Latest year: $696M
Cash-flow-statement spending on acquisitions, net of cash acquired
Where the money goes, over time
Unit: $M. Capex went from $251M in FY2022 to $379M in FY2025
- Capex
- R&D
- M&A spend
formulacapital expenditures ÷ depreciation & amortization
termsCapital expenditures (capex) · Depreciation & amortization (D&A)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-27
08
Key figures at a glanceFrom SEC data
FY2022–FY2025, 4 years.
Revenue (FY2025)
$8.33B
As reported in the 10-K
Revenue CAGR (3 years)
+0.8%
formula(last-period revenue ÷ first-period revenue) ^ (1 ÷ years) − 1
e.g.($8,325M ÷ $8,130M) ^ (1÷3) − 1 = 0.8%
termsCAGR · ^ (exponent) · Revenue (net sales)
Operating margin (FY2025)
26.2%▲favorable
+5.4pt vs. 3 years ago
formulaoperating income ÷ revenue × 100
e.g.$2,181M ÷ $8,325M × 100 = 26.2%
ROE (FY2025)
38.9%▲favorable
4-year average: 17.1%
As reported in the 10-K
P/B (FY2025 end)
2.72x
formulafiscal year-end closing price ÷ book value per share
e.g.$79.24 ÷ $29.10 = 2.72x
Period-end (fiscal year-end) value, not today's P/B
EV/EBITDA (FY2025 end)
6.7x
formula(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization)
e.g.($13,747M + $5,035M − $878M) ÷ ($2,181M + $489M) = 6.7x
termsEV/EBITDA · Market capitalization · Interest-bearing debt · EBITDA · Depreciation & amortization (D&A)
Period-end (fiscal year-end) value, not today's multiple
- ―
Revenue grew +0.8% a year over 3 years (modest growth)
From $8.13B in FY2022 to $8.33B in FY2025. The annualized rate (CAGR) makes it possible to compare growth pace across companies of different sizes.
- ▲
Operating margin improved: 20.8% → 26.2%
How much operating profit is left per $100 of revenue. It moved +5.4 points over 3 years — pricing power, cost control, and product mix all show up here.
- ―
Equity ratio is 35.3% (a middling level)
The share of total assets funded by equity rather than debt. 50%+ is often read as low bankruptcy risk, though the right level varies by industry (real estate and leasing run lower, for instance).
- ―
Free cash flow was positive in 3 of 4 years
Operating cash flow minus capital expenditures: the cash left over after funding the business’s own investment, available for dividends, buybacks, acquisitions, or debt paydown. A negative year can mean heavy investment, or weak core earnings — worth distinguishing.
- ▲
ROE averaged 17.1% over 4 years (latest: 38.9%)
How much profit was generated on shareholders’ equity. Roughly 10%+ is often cited as solid for a U.S. company, though this varies a lot by industry and capital intensity.
09
Business modelSite analysis
Business Model Canvas
The whole company in nine blocks. Left side: how it delivers (partners, activities, resources, costs). Right side: who it serves and how it earns. Every entry comes from the company’s filings shown on this page.
08 · who helps
Key partners
- 3M
- Thermo Fisher Scientific
- Acera Surgical
07 · what it does
Key activities
- Advanced wound care and infection prevention products
- Dental and orthodontic solutions
- Physician documentation, coding automation and revenue cycle software
06 · what it draws on
Key resources
- About 20,000 employees, about 2,000 in R&D
- Material science, data science and digital capabilities
- Transition agreements with 3M for distribution and contract manufacturing
02 · why customers buy
Value propositions
- Solutions built on deep material science, data science and digital capabilities for critical customer and patient needs.
04 · how it keeps them
Customer relationships
- Regional supply, dual-source manufacturing and vertical integration provide customers a reliable supply.
03 · how it reaches them
Channels
- Sales to health care providers, dental customers and health systems, with distribution partly under a 3M transition agreement.
01 · who it serves
Customer segments
- Hospitals and other care providers
- Dental and orthodontic customers
- Health systems buying software
09 · where money goes
Cost structure
FY2025, share of revenue ($8.33B)
- Research & development8.9%
- Selling, general & administrative37.0%
- Other operating costs (incl. cost of goods sold)27.9%
Operating profit left: 26.2% of revenue. Depreciation & amortization (inside the costs above): $489M. Capital spending: $379M.
Source: Form 10-K income statement and cash-flow statement (SEC XBRL).
05 · how money comes in
Revenue streams
- Revenue $8,325M (2025)
- MedSurg $4,817M; HIS $1,360M; Dental $1,349M
- No customer above 10% of revenue
Value propositions, channels and customer relationships: Form 10-K (FY2025)
Develops and makes medical and dental products and sells health information software to health care and dental customers.
01 what it draws on
Inputs & resources
- About 20,000 employees, about 2,000 in R&D
- Material science, data science and digital capabilities
- Transition agreements with 3M for distribution and contract manufacturing
02 what it does
Activities
- Advanced wound care and infection prevention products
- Dental and orthodontic solutions
- Physician documentation, coding automation and revenue cycle software
03 who it serves
Customers
- Hospitals and other care providers
- Dental and orthodontic customers
- Health systems buying software
04 how money comes in
How it earns
- Revenue $8,325M (2025)
- MedSurg $4,817M; HIS $1,360M; Dental $1,349M
- No customer above 10% of revenue
How the business makes money
- Purification and Filtration sold in Q3 2025 ($497M of 2025 sales).
- U.S. sales were $4,668M of the total.
- Debt about $5B at end of 2025.
Government & regulation around the business
Non-market factors from the company’s filings: what governments and regulators fund, buy, set, approve or restrict, and which part of the flow above each one touches.
Products need regulatory approval and sales depend on reimbursement and trade rules.
Approvals & licenses
FDA oversight
Inspections can lead to warning letters and product actions.
Constrains the businessTouches: ActivitiesSource: Form 10-K (FY2025)
Trade & export rules
Tariffs
New U.S. tariffs and foreign responses; the Supreme Court ruled on IEEPA tariffs on February 20, 2026.
Constrains the businessTouches: Inputs & resourcesSource: Form 10-K (FY2025)
Revenue by segment (FY2025)
Unit: $M — bar length = revenue, (%) = share of total company revenue
MedSurg
4,817 (58%)Health Information Systems
1,360 (16%)Dental Solutions
1,349 (16%)Purification and Filtration (sold)
497 (6%)All other
302 (4%)
Source: Form 10-K (FY2025) Purification and Filtration only until its 2025 sale.
10
Where it earnsSite analysis
Many U.S.-listed companies earn most of their revenue outside the U.S. — this breaks down revenue by country/region so it's clear where the business actually makes its money.
Largest market (FY2025)
United States — 56% of revenue
Revenue by country / region (FY2025)
Unit: $M — bar length = revenue, (%) = share of total company revenue
United States
4,668 (56%)International
3,657 (44%)
Source: Form 10-K (FY2025)
11
Contract structureSite analysisShow
Short-term or spot sales carry different earnings quality than long-term or auto-renewing contracts — this shows how the company actually contracts with its customers.
12
Alliances & capital tiesSite analysisShow
Equity stakes, joint ventures, and strategic partnerships disclosed across the 10-K, 8-Ks, and proxy statement.
Supply / distribution agreement
3M
Transition and distribution and contract manufacturing agreements after the spin-off.
Source: Form 10-K (FY2025)
Pending or recent acquisition
Thermo Fisher Scientific
Bought the Purification and Filtration business in 2025.
Source: Form 10-K (FY2025)
Pending or recent acquisition
Acera Surgical
Acquired December 23, 2025.
Source: Form 10-K (FY2025)
13
Customers & suppliersSite analysis
Who the company sells to and buys from. Companies rarely name either, so named counterparties come only from the company's own filings and press releases; otherwise this lists the concentration figures the 10-K discloses.
Customers
Care providers, dental customers and health systems.
Named by the company
What the filings disclose
Suppliers
3M provides services under Transition Distribution and Contract Manufacturing Agreements.
Named by the company
14
Competitors & peersSite analysis
Competitors the 10-K names, and the peer group the company itself chose in its proxy statement. Nothing here is this site's own pick.
The 10-K names competitors in oral care and health software.
Competitors named in the 10-K
Oral care
- Dentsply Sironasite ↗
- Align Technologysite ↗
Peer group the company chose
Peer group, from the proxy statement. Peers are companies the board considers comparable — for example when setting executive pay — not necessarily direct competitors.
Compensation peer group from the 2026 proxy statement.
- Agilent Technologiessite ↗
- Align Technologysite ↗
- Avantorsite ↗
- Baxter Internationalsite ↗
- Boston Scientificsite ↗
- Danahersite ↗
- Edwards Lifesciencessite ↗
- Fortivesite ↗
- GE HealthCaresite ↗
- Hologicsite ↗
- Intuitive Surgicalsite ↗
- IQVIAsite ↗
- Medtronicsite ↗
- ResMedsite ↗
- STERISsite ↗
- Strykersite ↗
- Zimmer Biometsite ↗
Company names link to this site’s analysis where one exists; “site ↗” opens the company’s own website.
15
Six years of financialsFrom SEC data
Each chart's axis holds a single unit (never mixing dollars, %, and $/share). The table's per-period header links to the filing the numbers came from.
Revenue over time
Unit: $M
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-27
Profit over time (operating → net)
Unit: $M
- Operating income
- Pretax income
- Net income
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-27
Margins over time
Unit: %
- Operating margin
- Net margin
formulaoperating income ÷ revenue × 100
formulanet income attributable to the company ÷ revenue × 100
Cash flow over time
Unit: $M (below zero = cash went out)
- Operating CF
- Investing CF
- Free CF
formulacash flow from operations − capital expenditures
termsFree cash flow (FCF) · Cash flow from operations (operating CF) · Capital expenditures (capex)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-27
Financial stability & capital efficiency
Unit: %
- Equity ratio
- ROE
formulatotal equity ÷ total assets × 100 (as reported in the 10-K)
termsStockholders’ equity · Total assets
formulanet income ÷ average equity (beginning + ending, ÷2) × 100 (as reported in the 10-K)
termsNet income (attributable to the company) · Stockholders’ equity
Earnings per share (EPS) and dividend per share
Unit: $
- EPS
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-27
| Line item | FY2022In next year’s 10-K | FY2023In next year’s 10-K | FY202410-K on EDGAR ↗ | FY202510-K on EDGAR ↗ |
|---|---|---|---|---|
| Income statement ($M) | ||||
| Revenue | 8,130 | 8,197 | 8,254 | 8,325 |
| Operating income | 1,693 | 1,692 | 1,036 | 2,181 |
| Pretax income | 1,692 | 1,667 | 605 | 1,713 |
| Net income (attributable) | 1,343 | 1,346 | 479 | 1,556 |
| Revenue growthcalc(this year’s revenue − last year’s revenue) ÷ last year’s revenue × 100 | — | 0.8% | 0.7% | 0.9% |
| Operating margincalcoperating income ÷ revenue × 100 | 20.8% | 20.6% | 12.6% | 26.2% |
| Net margincalcnet income attributable to the company ÷ revenue × 100 | 16.5% | 16.4% | 5.8% | 18.7% |
| Balance sheet ($M) | ||||
| Total assets | — | 13,943 | 14,457 | 14,294 |
| Total equity | 11,742 | 11,666 | 2,959 | 5,049 |
| Interest-bearing debtSum of short- and long-term borrowings, notes/bonds payable | — | 0 | 8,010 | 5,035 |
| Equity ratio | — | 83.7% | 20.5% | 35.3% |
| ROE | 11.4% | 11.5% | 6.6% | 38.9% |
| Cash flow ($M) | ||||
| Operating CF | 1,679 | 1,915 | 1,185 | 369 |
| Investing CF | -253 | -230 | -380 | 2,797 |
| Financing CF | -1,460 | -1,552 | -240 | -3,057 |
| Free cash flowcalccash flow from operations − capital expenditures | 1,428 | 1,625 | 805 | -10 |
| Cash and equivalents | 61 | 194 | 762 | 878 |
| Per share & other | ||||
| EPS ($) | 7.78 | 7.79 | 2.76 | 8.88 |
| BVPS ($) | — | — | 17.13 | 29.10 |
| P/E (x) | — | — | 23.9 | 8.9 |
| EV/EBITDA (x)calc(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization) | — | — | 11.7 | 6.7 |
| P/B (x)calcfiscal year-end closing price ÷ book value per share | — | — | 3.86 | 2.72 |
P/B and EV/EBITDA use each period’s period-end (fiscal year-end) figures, not the current share price. Figures without a "calc" tag are as reported in the Form 10-K (the consolidated financial statements and, for older years, earlier 10-Ks), pulled automatically from SEC EDGAR. Where a later filing restated a prior period, the restated figure is used.
Last 8 quarters
Three-month figures from 10-Q filings. Change is versus the same quarter a year earlier. Newest quarter on top.
| Quarter ended | Revenue | Operating income | Net income | Diluted EPS |
|---|---|---|---|---|
| 2026-09-30 | $1.95B-7.0% | $68M-96.0% | −$12M-100.9% | $-0.07 |
| 2026-06-30 | $2.21B+2.2% | $181M-15.4% | $92M+2.2% | $0.53 |
| 2026-03-31 | $2.01B-3.0% | $81M-46.7% | $13M-90.5% | $0.07 |
| 2025-12-31 † | $2B-3.7% | $125M-8.1% | $63M+103.2% | — |
| 2025-09-30 | $2.1B | $1.69B | $1.27B | $7.22 |
| 2025-06-30 | $2.16B | $214M | $90M | $0.51 |
| 2025-03-31 | $2.07B | $152M | $137M | $0.78 |
| 2024-12-31 † | $2.08B | $136M | $31M | — |
† Fourth quarter = the 10-K’s annual figure minus the first three quarters; quarterly EPS isn’t derived this way because share counts change during the year.
Data left out of this analysis
- FY2023 shares issued: Pre-spin carve-out year: the tagged zero is not a share count.
16
Is ROIC above WACC?From SEC data
ROIC (the return on money invested in the business) above WACC (the cost of raising that money) means the company is creating value. WACC is an estimate, so its assumptions can be adjusted below.
ROIC (FY2025)
17.6%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
e.g.$2,181M × (1 − 15%) ÷ $10,527M × 100 = 17.6%
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
WACC (this site’s estimate)
7.69%
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
e.g.Equity weight: $13.75B ÷ ($13.75B + $5.04B) = 73.2%
e.g.Debt weight: $5.04B ÷ ($13.75B + $5.04B) = 26.8%
e.g.WACC: 9.0% × 73.2% + 5.0% × (1 − 15%) × 26.8% = 7.69%
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
How firm is this? With the equity risk premium ±1 point and beta ±0.2, WACC runs 6.5%–9.2% and ROIC − WACC runs +8.4 to +11.1 points. The sign holds across this range. This describes the latest year and does not predict future value creation.
WACC 7.69% is this site’s estimate under the assumptions below (not a figure the company has published)
- Risk-free rate
- 4.95% (10-year Treasury, 2026-11-03)
- β
- 0.73 (price-derived adjusted beta, but correlation with the market is low (R² 0.08), so reliability is limited)
- Equity risk premium
- 5.5%
- Cost of equity
- 8.96%
- Cost of debt
- 4.95% (no debt on record, using the risk-free rate)
- Tax rate
- 15% (effective rate, FY2023–FY2025)
- Capital structure (equity : debt)
- 73% : 27%
ROIC over time, vs. WACC
Unit: % — bars = each period's ROIC, horizontal line = latest WACC. Bars above the line are green, below are red
- ROIC (above WACC)
- ROIC (below WACC)
- WACC 7.69%
formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)
termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity
formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight
termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization
Try different WACC assumptions
β and the equity risk premium are estimates with a real range of plausible values — move the sliders to check whether ROIC > WACC still holds. The risk-free rate starts at the 10-year Treasury yield on 2026-11-03 (U.S. Treasury).
Initial β: 0.73 (price-derived adjusted beta. Raw β 0.60, R² 0.08, 130 weeks)
formula0.67 × β + 0.33 (β = the slope of weekly stock returns regressed on weekly market returns)
e.g.0.67 × 0.598 + 0.33 = 0.731
termsβ (beta)
Period 2024-05-10–2026-11-04, using S&P 500 ETF (SPY) as the market proxy. Source: Yahoo Finance price history.
formularisk-free rate + β × equity risk premium
e.g.5.0% + 0.73 × 5.5% = 9.0%
termsCAPM · Risk-free rate · β (beta) · Equity risk premium (market risk premium)
formulafiscal year-end closing price × shares outstanding (= market cap)
formulainterest expense ÷ interest-bearing debt × 100 (clamped to 0–10%; falls back to the risk-free rate if there’s no debt)
17
What the price implies (DCF)From SEC data
A company's value can be written as its free cash flow divided by (cost of capital − perpetual growth). Working that backwards from the market's valuation shows how much growth the share price assumed — compared here with the company's actual past growth.
Not enough data for this calculation (FY2025): it needs positive free cash flow, a fiscal year-end P/E, and a positive enterprise value.
18
Earnings qualityFrom SEC dataShow
The same reported profit can mean different things depending on whether it's backed by cash, driven by the core business, or the result of a one-off item. Four checks below.
- ✓
Operating CF ÷ net income: averages 1.35x
Profit is backed by cash coming in.
- !
Accrual ratio (latest): 8.3%
A larger share of profit is non-cash accruals, which research associates with profit that tends to fade in later periods.
- ✓
Core-earnings share (operating income ÷ pretax income): 127%
Most profit comes from core operations.
Operating CF vs. net income
Unit: $M — operating CF above net income means profit is backed by cash
- Operating CF
- Net income
formulacash flow from operations ÷ net income attributable to the company
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formula(net income − operating CF) ÷ average total assets × 100
termsNet income (attributable to the company) · Cash flow from operations (operating CF) · Total assets
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-27
Profit bridge (FY2025)
Unit: $M — what moved profit from operating income to net income
- Profit (each stage)
- Pushed profit up
- Pushed profit down
formulaoperating income ÷ income before income taxes × 100
termsOperating income · Income before income taxes (pretax income)
Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2026-02-27
Receivables & inventory days
Unit: days — days grow when receivables or inventory build up faster than sales
- Days sales outstanding
formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365
formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365
termsInventory · Cost of revenue (COGS)
Worked examples (latest period)
formulacash flow from operations ÷ net income attributable to the company
e.g.$369M ÷ $1,556M = 0.24x
termsCash flow from operations (operating CF) · Net income (attributable to the company)
formulaoperating income ÷ income before income taxes × 100
e.g.$2,181M ÷ $1,713M × 100 = 127%
termsOperating income · Income before income taxes (pretax income)
formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365
e.g.($1,044M + $1,034M) ÷ 2 ÷ $8,325M × 365 = 46 days
formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365
termsInventory · Cost of revenue (COGS)
19
Who holds the sharesFrom SEC dataShow
How much of the stock large institutional investors report owning on SEC Form 13F, how much the directors and executive officers hold (and how much of the vote they control), and roughly how much is left for individual investors. Shown next to beta so the holder mix can be read alongside how much the stock swings.
Institutions, insiders and everyone else, 13F holdings as of 2026-06-30
“Everyone else” is what remains after shares reported on Form 13F and shares held by directors and executive officers: mostly individual investors, plus non-insider families or foundations and smaller or foreign institutions. The figures have different dates and 13F reports count some shares twice — read it as an approximate split.
- Held by 13F filers
- 75.0%
- Directors & officers (shares)
- <1%
- Everyone else (est.)
- 25.0%
- Directors & officers (voting power)
- <1%
- Institutional-ownership rank
- 354 of 416
- Beta (adjusted)
- 0.73
individuals and other non-13F holders
no separate voting figure; shown as shares
1 = most institutional; 85% of covered companies have more
above 1 = swings more than the market
- 127.6M shares reported by 880 13F filers ÷ 170.2M shares outstanding on 2026-07-31. Option positions are excluded.
- Directors and executive officers as a group, from the proxy statement’s beneficial-ownership table; includes shares they can acquire within 60 days.
- A large “everyone else” share can still reflect a family, trust or foundation stake held outside the board; check the proxy statement’s 5% holders.
Sources: SEC Form 13F data set (holdings as of 2026-06-30) · Form DEF 14A filed 2026-03-27 (beneficial ownership table) · Form 10-Q cover page (shares outstanding as of 2026-07-31)
20
Strengths & weaknessesSite analysis
Strengths
1. Sales growth by segment
MedSurg sales rose 3.9% and Dental 4.2% in 2025.
Evidence: Form 10-K (FY2025)
2. Debt reduction
Sale proceeds of $3,890M helped cut debt from $8,010M to $5,035M.
Evidence: Form 10-K (FY2025)
3. Supply resilience
Regional sources, dual-source manufacturing and vertical integration.
Evidence: Form 10-K (FY2025)
Weaknesses
1. Lower cash flow
Operating cash flow fell to $369M in 2025 from $1,185M.
Evidence: Form 10-K (FY2025)
2. Falling segment profit
MedSurg operating income fell to $810M from $1,107M in 2023.
Evidence: Form 10-K (FY2025)
3. Bair Hugger exposure
Accrued litigation rose to $235M at June 30, 2026.
Evidence: Form 10-Q (quarter ended 2026-06-30)
21
What draws investors to itSite analysis
Why the stock can look attractive to investors — each point paired with what has to hold for it to stay true, and the opposing view. This is this site's analysis, not a recommendation to buy or sell.
P/E (FY2025)
8.9x
Price at fiscal year-end ÷ diluted EPS
Dividend yield (FY2025)
—
Dividends per share ÷ fiscal year-end price
Payout ratio (FY2025)
—
Dividends per share ÷ diluted EPS
FCF yield (FY2025)
-0.1%
(Operating CF − capex) ÷ market cap
1. Portfolio focus
Sold P&F, bought Acera, plans HIS separation.
- What has to hold
- Separation creates value.
- The other side
- Costs and execution risk.
Evidence: Form 8-K (2026-08-05) — Item 8.01 Health Information Systems separation
2. Buyback
$1B repurchase program approved November 2025.
- What has to hold
- Cash flow recovers.
- The other side
- Litigation claims.
Evidence: Form 10-K (FY2025)
Pays no dividend.
22
ResilienceSite analysisShow
How well the company could absorb a bad year: its financial buffer, how its revenue and profit held up in the worst year on record, and what the 10-K says about the business's exposure to shocks. Figures and filing statements only — no overall rating.
1. Financial buffer (FY2025)
Cash & short-term investments ÷ debt due within a year
No debt due
$878M vs. $0
Interest coverage (operating income ÷ interest expense)
Not disclosed
Interest expense isn’t reported as a separate line.
Free cash flow ÷ dividends paid
—
2. Worst year in the record, and the recovery
| Figure | Worst year-over-year change | Back to the prior level? |
|---|---|---|
| Revenue | No decline in the record | — |
| Operating income | -38.8% in FY2024 ($1.69B → $1.04B) | Yes, by FY2025 |
Covers only the 4 fiscal years on record (FY2022–FY2025), which may not include a full recession — the worst year here isn’t necessarily how the company would fare in a severe downturn.
3. Business resilience (from the 10-K)
Spin-off
Net income fell to $479M in 2024, the spin-off year, from $1,346M in 2023.
Source: Form 10-K (FY2025)
23
Legal & regulatory mattersSite analysisShow
Lawsuits, government investigations, enforcement actions and settlements the company discloses — where each stands, what is at stake, and what comes next. From the 10-K's Legal Proceedings and contingencies note, the latest 10-Q, and 8-Ks.
Bair Hugger product liability is the main matter.
1 open matter (1 flagged as major) · 1 settled or closed
Bair Hugger product liability
PendingProduct liabilityMajorPlaintiffs; 3M; Solventum
3M is a named defendant in about 8,400 U.S. lawsuits over the warming system. Solventum raised its accrual in Q2 2026 and could not estimate further loss.
- Amounts
- Accrued litigation $235M
Gilbert stockholder action
SettledClass actionEric Gilbert; Solventum
Filed May 10, 2024 in Delaware Chancery Court over advance notice and nomination by-laws. Solventum amended the by-laws in September 2024, the plaintiff moved to dismiss the case as moot, and Solventum agreed to pay $120,000 in fees and expenses, denying wrongdoing.
- Amounts
- $120,000 in fees
Source: Form 8-K (2026-06-05) — Item 8.01 stockholder action
Company statement: Other proceedings are described as ordinary-course and not expected to be material.
Based on Form 10-Q (quarter ended 2026-06-30) — Legal Proceedings, reviewed 2026-11-05. Routine ordinary-course claims are not listed. “Major” is this site’s judgment of which matters could materially affect results.
24
Risks (including geopolitical)Site analysis
Starting from the 10-K's Risk Factors section, organized by category — geopolitical, currency, raw materials, regulatory, disaster, and more — with impact and likelihood assessed by this site.
Risk map
Vertical = impact on results, horizontal = likelihood. Upper right = most severe. Numbers match the list below (placement is this site’s own assessment).
Likelihood →
"Company disclosure" vs. "this site’s assessment"
The description and mitigation for each risk are this site’s summary of the 10-K’s "Risk Factors" section. Impact and likelihood are this site’s own assessment, not the company’s — where the company discloses its own likelihood assessment, that is noted in the summary.
Impact is judged from how large the affected business is relative to total revenue/profit, and from the risk’s track record of moving results in the past. Likelihood is judged from the filing’s wording and the current business environment (already occurring, or recurring). See the rating criteria.
- 1Law & regulation
Bair Hugger litigation
- Company disclosure (summarized from the 10-K)
- About 8,400 U.S. lawsuits name 3M, and charges may substantially exceed accruals.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact High / Likelihood High
- 2M&A & integration
Separation execution
- Company disclosure (summarized from the 10-K)
- Still relies on transition agreements with 3M and plans a further separation.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact Med / Likelihood High
- 3Funding & liquidity
Debt load
- Company disclosure (summarized from the 10-K)
- About $5B of debt.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact Med / Likelihood Med
- 4Law & regulation
FDA compliance
- Company disclosure (summarized from the 10-K)
- Findings may lead to enforcement action if not remediated.
- Company’s stated mitigation
- Not stated in the filings.
- This site’s assessment
- Impact Med / Likelihood Med
- 5Geopolitics & supply chain
Tariffs
- Company disclosure (summarized from the 10-K)
- New U.S. tariffs and foreign responses affect imported goods.
- Company’s stated mitigation
- Our supply chain resiliency program consisting of regional sources of supply, dual-source manufacturing capabilities and vertically integrated operations presents a competitive advantage by providing a reliable supply of products to our customers.
- This site’s assessment
- Impact Med / Likelihood High
25
What changed in the risk factorsFrom SEC data
Paragraphs in the latest 10-K's Risk Factors that have little overlap with the year before, and paragraphs that were dropped.
New or substantially reworded (7)
The deployment and use of artificial intelligence ( " AI " ), machine learning, or other emerging technologies in Solventum’s products and services, including as part of its research and development efforts, or its failure to adapt its products or services to industry trends and developments related to such technologies in a timely manner, or at all, could adversely affect Solventum’s business, financial condition, results of operations and cash flows.
Solventum has begun to deploy AI in its products and services, including as part of its research and development efforts, and Solventum expects to continue to explore additional uses as AI continues to develop. Read more
In addition, Solventum intends to devote significant resources to develop and deploy cloud, edge and software solutions in its healthcare solutions. For example, Solventum has incorporated AI into certain products in the Health Information Systems business segment and certain of its digital offerings and expects to continue to build AI into additional products. Any disruption or failure in the AI, machine learning, or other emerging technologies Solventum deploys or uses in its products and services, including as part of its research and development efforts, could adversely impact Solventum’s business, including as a result of flawed AI algorithms, insufficient or biased…
Solventum may not be able to effectively integrate acquired businesses into its operations or achieve expected cost savings or profitability from its acquisitions.
• unforeseen difficulties in integrating personnel and sales forces, operations, manufacturing, logistics, research and development, information technology, compliance, vendor management, communications, purchasing, accounting, marketing, administration and other systems and processes;
As a result, if Solventum fails to evaluate and execute acquisitions properly, Solventum might not achieve the anticipated benefits of such acquisitions, and Solventum may incur costs in excess of what it anticipates. Read more
These risks would likely be greater in the case of larger acquisitions.
Solventum’s restructuring program may not be successful or Solventum may not fully realize the expected cost savings and/or operating efficiencies from its restructuring initiatives.
Solventum has initiated a multiyear restructuring program, 'Transform for the Future', which is designed to further enable its long-term growth strategy and ensure it's best positioned to compete-to-win in a rapidly changing healthcare environment. Designed to transform the cost structure, enhance operational efficiency, and reposition for profitable growth, the primary activities of the restructuring program include operating structure optimization and workforce reorganization, procurement and cost management, supply chain, manufacturing and global footprint optimization, and streamlining systems and increased automation to improve operational efficiency. Additionally, as a result of the restructuring initiative, Solventum may experience a loss of continuity, loss of accumulated knowledge and/or inefficiencies during transitional periods. The restructuring initiative presents risks…
Matched automatically, quoted as filed, and may include rewording of an existing risk. Compares Item 1A of the 10-K filed Feb 27, 2026 ↗ with the 10-K filed Feb 28, 2025 ↗.
26
What to watch going forwardSite analysis
- Path chosen for the Health Information Systems separation.
- Bair Hugger accrual.
- Cash flow after spin-off costs.
27
Source documentsShow
This page's financial figures come from the Form 10-Ks listed below. Check the original filings for full detail.
Last updated
Analysis last edited: November 6, 2026 · Financial data fetched: November 4, 2026 15:27 (SEC EDGAR) · Source 10-K filed: February 27, 2026
Built on10-K FY2025 · filed 2026-02-27Proxy statement (2026)
Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.
This page is this site’s own analysis based on public information, and does not represent Solventum’s views. It is not a recommendation to buy or sell any security, and this site does not guarantee the accuracy of any figure or statement here. Always verify against the original source documents before making an investment decision.