Critical Survey: Somnigroup International (SGI) versus Its Peers

by · The Markets Daily

Somnigroup International (NYSE:SGIGet Free Report) is one of 150 public companies in the “Household Durables” industry, but how does it compare to its peers? We will compare Somnigroup International to related companies based on the strength of its risk, dividends, valuation, earnings, analyst recommendations, profitability and institutional ownership.

Profitability

This table compares Somnigroup International and its peers’ net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Somnigroup International6.80%19.62%5.16%
Somnigroup International Competitors-21.29%-14.79%1.04%

Earnings and Valuation

This table compares Somnigroup International and its peers top-line revenue, earnings per share and valuation.

Gross RevenueNet IncomePrice/Earnings Ratio
Somnigroup International$7.67 billion$384.10 million27.22
Somnigroup International Competitors$127.77 billion$322.27 million26.61

Somnigroup International’s peers have higher revenue, but lower earnings than Somnigroup International. Somnigroup International is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

99.9% of Somnigroup International shares are held by institutional investors. Comparatively, 53.7% of shares of all “Household Durables” companies are held by institutional investors. 4.0% of Somnigroup International shares are held by company insiders. Comparatively, 18.6% of shares of all “Household Durables” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Dividends

Somnigroup International pays an annual dividend of $0.68 per share and has a dividend yield of 1.0%. Somnigroup International pays out 27.8% of its earnings in the form of a dividend. As a group, “Household Durables” companies pay a dividend yield of 4.4% and pay out 33.8% of their earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current recommendations for Somnigroup International and its peers, as provided by MarketBeat.com.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Somnigroup International03602.67
Somnigroup International Competitors1705723080092902.40

Somnigroup International presently has a consensus target price of $98.14, indicating a potential upside of 47.15%. As a group, “Household Durables” companies have a potential upside of 47.71%. Given Somnigroup International’s peers higher possible upside, analysts clearly believe Somnigroup International has less favorable growth aspects than its peers.

Volatility and Risk

Somnigroup International has a beta of 1.19, indicating that its stock price is 19% more volatile than the S&P 500. Comparatively, Somnigroup International’s peers have a beta of 1.73, indicating that their average stock price is 73% more volatile than the S&P 500.

Summary

Somnigroup International beats its peers on 9 of the 15 factors compared.

Somnigroup International Company Profile

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Somnigroup International Inc., together with its subsidiaries, designs, manufactures, distributes, and retails bedding products in the United States and internationally. It provides mattresses, foundations and adjustable foundations, and adjustable bases, as well as other products comprising pillows, mattress covers, sheets, cushions, and various other accessories and comfort products under the Tempur-Pedic, Sealy, Stearns & Foster, Sealy, and Cocoon by Sealy brand names. The company sells its products through approximately company-owned stores, online, and call centers; and third party retailers, including third party distribution, hospitality, and healthcare. It also operates a portfolio of retail brands, including Tempur-Pedic retail stores, Sleep Outfitters, Sleep Solutions Outlet, Dreams, and SOVA; and licenses Sealy, Tempur, and Stearns & Foster brands, as well as technology and trademarks to other manufacturers. The company was formerly known as Tempur Sealy International, Inc. and changed its name to Somnigroup International Inc. in February 2025. Somnigroup International Inc. was founded in 1846 and is based in Lexington, Kentucky.