Added to YB: 2026-07-02
Pitch date: 2026-06-29
SGI [neutral]
Somnigroup International Inc.
+0.09%
current return
Author Info
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Company Info
Somnigroup International Inc., together with its subsidiaries, designs, manufactures, distributes, and retails bedding products in the United States and internationally.
Market Cap
$16.5B
Pitch Price
$77.10
Price Target
97.00 (+26%)
Dividend
0.87%
EV/EBITDA
11.27
P/E
31.88
EV/Sales
2.99
Sector
Household Durables
Category
turnaround
Quick Value #320 - Somnigroup (SGI)
SGI (watchlist): Dominant bedding maker (5-6x peer rev) at $78, 24x P/E, $18bn cap. Pending all-stock LEG deal (<6x EBITDA, closes YE26) adds vertical integration, +50% rev to $11bn. Mgmt targets MSD sales & 20%+ EPS growth to $5.15 by 2028. But 12.7x EBITDA rich; upside/downside 0.6x unappealing. Industry at ~70% normal volumes—housing recovery play. Interested in $60s (r/r >2x).
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