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Somnomed Limited (AU:SOM)
ASX:SOM
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Somnomed Limited (SOM) AI Stock Analysis

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AU:SOM

Somnomed Limited

(Sydney:SOM)

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Neutral 55 (OpenAI - 5.2)
Rating:55Neutral
Price Target:
AU$0.47
▼(-15.71% Downside)
Action:Reiterated
Date:06/16/26
The score is mainly supported by improving cash flow and continued revenue growth, alongside a low-leverage balance sheet. Offsetting this are persistent losses (negative margins/ROE), weak technical momentum (negative MACD and below longer-term moving averages), and a negative P/E with no dividend yield data.
Positive Factors
Revenue Growth Trend
Somnomed’s revenue growth (latest period +11.22%) demonstrates expanding adoption of its oral appliance therapy across markets. Persistent top-line increases support durable demand, enabling scale benefits in manufacturing and distribution and underpinning multi-quarter revenue predictability.
Negative Factors
Persistent Losses
Despite revenue growth and healthy gross margins, persistent negative net profit and EBIT margins indicate the company isn’t converting sales into sustainable operating profits. Over months this can limit reinvestment, constrain strategic initiatives, and increase reliance on external capital to fund expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue Growth Trend
Somnomed’s revenue growth (latest period +11.22%) demonstrates expanding adoption of its oral appliance therapy across markets. Persistent top-line increases support durable demand, enabling scale benefits in manufacturing and distribution and underpinning multi-quarter revenue predictability.
Read all positive factors

Somnomed Limited (SOM) vs. iShares MSCI Australia ETF (EWA)

Somnomed Limited Business Overview & Revenue Model

Company Description
SomnoMed Limited, together with its subsidiaries, produce and sells devices for the oral treatment of sleep related disorders in the Asia Pacific region, North America, and Europe. It provides SomnoDent Avant, as well as SomnoDent Classic, SomnoDe...
How the Company Makes Money
SomnoMed primarily makes money by selling oral appliance therapy devices (custom-fitted mandibular advancement splints) and associated components that are prescribed for patients with sleep-disordered breathing (notably obstructive sleep apnoea an...

Somnomed Limited Financial Statement Overview

Summary
Revenue is growing (latest period +11.22%) and gross margin is strong (~60%), but profitability remains a key weakness with negative net profit and EBIT margins. Cash flow is a bright spot, with a sharp improvement in free cash flow (over +562%) and positive operating cash flow despite net losses, while the balance sheet is conservatively levered (debt-to-equity 0.17) but weighed down by negative ROE.
Income Statement
65
Positive
Balance Sheet
58
Neutral
Cash Flow
70
Positive
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue118.50M111.49M91.65M83.62M72.58M62.71M
Gross Profit68.02M66.73M55.13M45.77M39.15M33.90M
EBITDA4.18M1.58M-2.33M698.39K524.53K3.57M
Net Income-2.56M-3.46M-12.24M-8.00M-4.44M-1.19M
Balance Sheet
Total Assets79.90M80.97M69.80M62.49M58.09M56.17M
Cash, Cash Equivalents and Short-Term Investments18.03M17.29M16.18M11.96M15.64M21.11M
Total Debt14.01M8.03M6.72M23.51M12.01M8.91M
Total Liabilities29.86M34.58M24.78M40.09M30.31M24.01M
Stockholders Equity50.04M46.39M45.02M22.40M27.79M32.16M
Cash Flow
Free Cash Flow3.71M5.36M-7.72M-10.29M-6.93M-1.43M
Operating Cash Flow7.85M7.78M-6.33M-3.88M1.86M2.71M
Investing Cash Flow-5.98M-3.98M-5.34M-6.41M-8.47M-4.37M
Financing Cash Flow-1.56M-3.38M16.68M6.61M2.09M-6.80M

Somnomed Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.56
Price Trends
50DMA
0.55
Negative
100DMA
0.59
Negative
200DMA
0.68
Negative
Market Momentum
MACD
-0.02
Positive
RSI
33.70
Neutral
STOCH
7.41
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SOM, the sentiment is Negative. The current price of 0.56 is above the 20-day moving average (MA) of 0.51, above the 50-day MA of 0.55, and below the 200-day MA of 0.68, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 33.70 is Neutral, neither overbought nor oversold. The STOCH value of 7.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:SOM.

Somnomed Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
AU$7.81B22.6317.76%1.64%2.04%-6.63%
55
Neutral
AU$100.78M-38.02-5.31%18.21%65.00%
51
Neutral
$7.86B-0.30-43.30%2.27%22.53%-2.21%
45
Neutral
AU$1.92B-9.90-890.76%-0.80%-249.48%
42
Neutral
AU$43.95M550.000.48%24.45%
42
Neutral
AU$75.44M-3.84-54.48%17.24%-20.00%
41
Neutral
AU$24.69M-1.82-180.06%74.74%4.32%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:SOM
Somnomed Limited
0.46
-0.21
-30.83%
AU:COH
Cochlear
119.48
-183.75
-60.60%
AU:CMP
Compumedics Limited
0.22
-0.06
-22.81%
AU:CYC
Cyclopharm Limited
0.60
-0.48
-44.44%
AU:MX1
Micro-X Ltd.
0.03
-0.03
-45.00%
AU:4DX
4DMedical Ltd
3.20
2.94
1130.77%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 16, 2026