Sotera Health (SHC) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Sotera Health

NasdaqGS•Healthcare•Diagnostics & Research

$19.16-0.17(-0.01%)Market open

Market Cap

$5.35B

P/E

32.7x

P/S

4.4x

P/B

8.0x

Sotera Health Company provides sterilization solutions, lab testing, and advisory services for the healthcare industry in the United States, Canada, Europe, and internationally. The company operates through three segments: Sterigenics, Nordion, and Nelson Labs. The Sterigenics segment offers outsourced terminal sterilization and irradiation services using gamma irradiation, ethylene oxide processing, and electron beam irradiation technologies for medical devices, pharmaceutical, and food safety and advanced applications markets. The Nordion segment provides Cobalt-60 used in the sterilization and irradiation processes for the medical device, pharmaceutical, food safety, and high-performance materials industries, as well as in the treatment of cancer. It also offers gamma irradiation systems. The Nelson Labs segment provides outsourced microbiological and analytical chemistry testing and advisory services for the medical device and pharmaceutical industries. The company was formerly known as Sotera Health Topco, Inc. and changed its name to Sotera Health Company in October 2020. Sotera Health Company was incorporated in 2015 and is headquartered in Broadview Heights, Ohio.

How this company scores

GoodMetricSide Score: 72/100

Strongest: Profitability (25/25); weakest: Balance Sheet & Red Flags (10/25).

Profitability25/25

Growth20/25

Balance Sheet & Red Flags10/25

Cash & Earnings Quality17/25

Strengths

Strong marginsHigh ROERising earningsProfit converts from growth

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 32.7x5y range 16.3x – 133.2x

Currently below its 15-quarter median.

P/S · 4.4x5y range 2.0x – 7.0x

Currently near its 19-quarter median.

P/B · 8.0x5y range 3.3x – 14.0x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.

Price & Volume

Market Cap $5.35B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $1.22B
Q. Revenue: $321.38M
TTM EBITDA: $382.90M
TTM Op. Income: $257.80M
Q. Op. Income: $75.20M
TTM Net Income: $163.48M
Q. Net Income: $53.64M
EPS: $0.19
Shares Out.: $285.77M

$1.22B in TTM revenue grew 8.1% YoY, reaching $321.38M last quarter. TTM EBITDA of $382.90M and TTM operating income of $257.80M show growth is flowing through to the bottom line. TTM net income of $163.48M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 6 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 55.4%
EBITDA Margin: 33.8%
Op. Margin: 23.4%
Net Margin: 16.7%

Op. margin of 23.4% is up 19.0% YoY — cost efficiency is improving. Net margin at 16.7% and gross margin of 55.4% show how much of each revenue dollar survives to profit. Over the past year, operating margin is up 427% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 32.7x
P/S Ratio: 4.4x
P/B Ratio: 8.0x

At 32.7x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 4.4x and P/B of 8.0x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is down 75% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $3.31B
Cash: $356.72M
Long-Term Debt: $2.13B
Book Value: $665.65M
D/E Ratio: 3.2
Debt/EBITDA: 19.6

With $3.31B in assets and $2.13B in long-term debt, D/E is 3.2and book value is $665.65M — elevated leverage, meaning significant financial risk in a downturn. Across the last 8 quarters, debt/equity has fallen for 6 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $88.50M
TTM Free Cash Flow: $112.70M
FCF Margin: 9.3%
FCF / Net Income: 0.7

TTM FCF of $112.70M on $88.50M in operating cash flow. The FCF / Net Income ratio of 0.7x means cash covers only part of net income — earnings quality needs attention. Over the past year, free cash flow is up 0% — an improving trend.