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SMMT vs. SOLV: A Head-to-Head Stock Comparison

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Here’s a clear look at SMMT and SOLV, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolSMMTSOLV
Company NameSummit Therapeutics Inc.Solventum Corporation
CountryUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS IndustryBiotechnologyHealth Care Equipment & Supplies
Market Capitalization15.44 billion USD12.66 billion USD
ExchangeNasdaqGMNYSE
Listing DateMarch 5, 2015March 26, 2024
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of SMMT and SOLV by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

SMMT vs. SOLV: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolSMMTSOLV
5-Day Price Return0.78%1.64%
13-Week Price Return-2.91%-3.74%
26-Week Price Return3.87%-1.67%
52-Week Price Return-1.08%8.04%
Month-to-Date Return-12.83%-0.12%
Year-to-Date Return15.77%10.51%
10-Day Avg. Volume4.50M1.15M
3-Month Avg. Volume4.24M1.01M
3-Month Volatility86.68%24.25%
Beta-1.300.93

Profitability

Return on Equity (TTM)

SMMT

-52.22%

Biotechnology Industry

Max
97.92%
Q3
11.99%
Median
-19.30%
Q1
-51.29%
Min
-132.03%

SMMT has a negative Return on Equity of -52.22%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

SOLV

11.61%

Health Care Equipment & Supplies Industry

Max
29.93%
Q3
16.99%
Median
9.28%
Q1
5.10%
Min
-12.52%

SOLV’s Return on Equity of 11.61% is on par with the norm for the Health Care Equipment & Supplies industry, indicating its profitability relative to shareholder equity is typical for the sector.

SMMT vs. SOLV: A comparison of their Return on Equity (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Net Profit Margin (TTM)

SMMT

-9,027.08%

Biotechnology Industry

Max
73.34%
Q3
18.98%
Median
-12.96%
Q1
-105.72%
Min
-259.82%

SMMT has a negative Net Profit Margin of -9,027.08%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

SOLV

4.52%

Health Care Equipment & Supplies Industry

Max
24.41%
Q3
13.71%
Median
10.08%
Q1
5.96%
Min
-5.58%

Falling into the lower quartile for the Health Care Equipment & Supplies industry, SOLV’s Net Profit Margin of 4.52% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

SMMT vs. SOLV: A comparison of their Net Profit Margin (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Operating Profit Margin (TTM)

SMMT

-8,108.33%

Biotechnology Industry

Max
78.85%
Q3
21.90%
Median
-13.30%
Q1
-109.94%
Min
-278.10%

SMMT has a negative Operating Profit Margin of -8,108.33%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

SOLV

9.26%

Health Care Equipment & Supplies Industry

Max
31.09%
Q3
18.11%
Median
15.07%
Q1
8.48%
Min
-0.28%

SOLV’s Operating Profit Margin of 9.26% is around the midpoint for the Health Care Equipment & Supplies industry, indicating that its efficiency in managing core business operations is typical for the sector.

SMMT vs. SOLV: A comparison of their Operating Profit Margin (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Profitability at a Glance

SymbolSMMTSOLV
Return on Equity (TTM)-52.22%11.61%
Return on Assets (TTM)-41.67%2.58%
Net Profit Margin (TTM)-9,027.08%4.52%
Operating Profit Margin (TTM)-8,108.33%9.26%
Gross Profit Margin (TTM)--54.65%

Financial Strength

Current Ratio (MRQ)

SMMT

5.13

Biotechnology Industry

Max
16.97
Q3
8.39
Median
4.11
Q1
2.64
Min
0.74

SMMT’s Current Ratio of 5.13 aligns with the median group of the Biotechnology industry, indicating that its short-term liquidity is in line with its sector peers.

SOLV

1.22

Health Care Equipment & Supplies Industry

Max
5.19
Q3
3.00
Median
2.13
Q1
1.44
Min
0.86

SOLV’s Current Ratio of 1.22 falls into the lower quartile for the Health Care Equipment & Supplies industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

SMMT vs. SOLV: A comparison of their Current Ratio (MRQ) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Debt-to-Equity Ratio (MRQ)

SMMT

0.00

Biotechnology Industry

Max
1.92
Q3
0.79
Median
0.12
Q1
0.00
Min
0.00

SMMT’s Debt-to-Equity Ratio of 0.00 is typical for the Biotechnology industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

SOLV

2.14

Health Care Equipment & Supplies Industry

Max
1.61
Q3
0.76
Median
0.45
Q1
0.14
Min
0.00

With a Debt-to-Equity Ratio of 2.14, SOLV operates with exceptionally high leverage compared to the Health Care Equipment & Supplies industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

SMMT vs. SOLV: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Interest Coverage Ratio (TTM)

SMMT

-121.35

Biotechnology Industry

Max
72.37
Q3
1.03
Median
-9.59
Q1
-65.05
Min
-163.11

SMMT has a negative Interest Coverage Ratio of -121.35. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

SOLV

2.65

Health Care Equipment & Supplies Industry

Max
56.35
Q3
25.56
Median
9.60
Q1
3.78
Min
-26.49

In the lower quartile for the Health Care Equipment & Supplies industry, SOLV’s Interest Coverage Ratio of 2.65 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

SMMT vs. SOLV: A comparison of their Interest Coverage Ratio (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Financial Strength at a Glance

SymbolSMMTSOLV
Current Ratio (MRQ)5.131.22
Quick Ratio (MRQ)4.940.86
Debt-to-Equity Ratio (MRQ)0.002.14
Interest Coverage Ratio (TTM)-121.352.65

Growth

Revenue Growth

SMMT vs. SOLV: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

SMMT vs. SOLV: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

SMMT

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SMMT currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SOLV

0.00%

Health Care Equipment & Supplies Industry

Max
4.15%
Q3
1.76%
Median
0.79%
Q1
0.00%
Min
0.00%

SOLV currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SMMT vs. SOLV: A comparison of their Dividend Yield (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Dividend Payout Ratio (TTM)

SMMT

0.00%

Biotechnology Industry

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SMMT has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SOLV

0.00%

Health Care Equipment & Supplies Industry

Max
160.00%
Q3
66.60%
Median
27.49%
Q1
0.00%
Min
0.00%

SOLV has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SMMT vs. SOLV: A comparison of their Dividend Payout Ratio (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Dividend at a Glance

SymbolSMMTSOLV
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

SMMT

--

Biotechnology Industry

Max
40.44
Q3
39.37
Median
22.12
Q1
15.76
Min
3.48

P/E Ratio data for SMMT is currently unavailable.

SOLV

33.41

Health Care Equipment & Supplies Industry

Max
67.29
Q3
47.01
Median
30.94
Q1
23.91
Min
10.79

SOLV’s P/E Ratio of 33.41 is within the middle range for the Health Care Equipment & Supplies industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SMMT vs. SOLV: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Price-to-Sales Ratio (TTM)

SMMT

15,878.35

Biotechnology Industry

Max
92.67
Q3
41.36
Median
8.45
Q1
4.46
Min
0.97

With a P/S Ratio of 15,878.35, SMMT trades at a valuation that eclipses even the highest in the Biotechnology industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

SOLV

1.51

Health Care Equipment & Supplies Industry

Max
9.49
Q3
5.41
Median
2.86
Q1
2.07
Min
0.74

In the lower quartile for the Health Care Equipment & Supplies industry, SOLV’s P/S Ratio of 1.51 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

SMMT vs. SOLV: A comparison of their Price-to-Sales Ratio (TTM) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Price-to-Book Ratio (MRQ)

SMMT

60.92

Biotechnology Industry

Max
22.72
Q3
10.68
Median
4.55
Q1
2.44
Min
0.59

At 60.92, SMMT’s P/B Ratio is at an extreme premium to the Biotechnology industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

SOLV

3.60

Health Care Equipment & Supplies Industry

Max
10.85
Q3
6.56
Median
3.53
Q1
2.36
Min
0.71

SOLV’s P/B Ratio of 3.60 is within the conventional range for the Health Care Equipment & Supplies industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

SMMT vs. SOLV: A comparison of their Price-to-Book Ratio (MRQ) against their respective Biotechnology and Health Care Equipment & Supplies industry benchmarks.

Valuation at a Glance

SymbolSMMTSOLV
Price-to-Earnings Ratio (TTM)--33.41
Price-to-Sales Ratio (TTM)15,878.351.51
Price-to-Book Ratio (MRQ)60.923.60
Price-to-Free Cash Flow Ratio (TTM)--55.06