Solventum
Financial ratios & Valuation

Forward Multiples (2025 – 2027)

202520262027
Price/Earnings ratio
19.8814.1212.20
Price/Sales ratio
N/AN/AN/A
Earnings per Share (EPS)
$3.61$5.09$5.89

Historical Multiples (2020 – 2023)

2020 2021 2022 2023 TTM Median
Valuation Ratios
Price/Earnings ratio
12.129.4510.2710.25N/A9.86
Price/Sales ratio
1.891.681.691.68N/A1.69
Price/Book Value ratio
N/A1.141.174.04N/A1.15
Price/Cash Flow ratio
6.816.268.217.20N/A7.24
Price/Free Cash Flow ratio
7.867.169.668.49N/A8.41
Price/Earnings Growth ratio
N/A0.33-1.2779.85N/A-0.47
Dividend Yield
N/AN/AN/AN/AN/AN/A
Profitability Indicator Ratios
Gross Profit Margin
59.26%60.24%57.74%57.25%N/A58.99%
Operating Profit Margin
19.64%22.99%20.82%20.64%N/A21.91%
Pretax Profit Margin
19.77%23.03%20.81%20.33%N/A21.92%
Net Profit Margin
15.62%17.86%16.51%16.42%N/A17.19%
Effective Tax Rate
20.97%22.42%20.62%19.25%N/A21.52%
Return on Assets
N/A10.37%9.87%9.36%N/A10.12%
Return On Equity
N/A12.10%11.43%39.48%N/A11.77%
Return on Capital Employed
N/A14.83%13.78%13.42%N/A14.30%
Liquidity Ratios
Current Ratio
N/AN/AN/AN/AN/AN/A
Quick Ratio
N/A0.971.031.16N/A1.00
Cash ratio
N/A0.060.040.10N/A0.05
Days of Sales Outstanding
N/A52.5752.5757.57N/A52.57
Days of Inventory outstanding
N/A91.3692.7689.27N/A92.06
Operating Cycle
N/A143.93145.33146.84N/A144.63
Days of Payables Outstanding
N/A35.9636.9748.75N/A36.46
Cash Conversion Cycle
N/A107.97108.3598.09N/A108.16
Debt Ratios
Debt Ratio
N/AN/A0.000.57N/A0.00
Debt Equity Ratio
N/AN/A0.002.43N/A0.00
Long-term Debt to Capitalization
N/AN/A0.000.70N/A0.00
Total Debt to Capitalization
N/AN/A0.000.70N/A0.00
Interest Coverage Ratio
N/AN/AN/AN/AN/AN/A
Cash Flow to Debt Ratio
N/AN/A17.670.23N/A8.83
Company Equity Multiplier
N/A1.161.154.21N/A1.16
Cash Flow Ratios
Operating Cash Flow / Sales Ratio
0.270.260.200.23N/A0.23
Free Cash Flow / Operating Cash Flow Ratio
0.860.870.850.84N/A0.86
Cash Flow Coverage Ratio
N/AN/A17.670.23N/A8.83
Short Term Coverage Ratio
N/AN/A62.18N/AN/A31.09
Dividend Payout Ratio
N/AN/AN/AN/AN/AN/A