Education
About Us
Working with TipRanks
Follow Us
Sonova Holding AG Unsponsored ADR (SONVY)
OTHER OTC:SONVY
Top Page
Sonova Holding AG
(OTC:SONVY)
Select Model
Select Model
Rating:68Neutral
Price Target:
$56.00
▲(5.84% Upside)
Sonova Holding AG's overall stock score reflects strong financial performance and a positive earnings outlook, tempered by bearish technical indicators and a relatively high valuation. The company's robust growth in key segments and successful product launches are significant strengths, while market volatility and currency impacts pose challenges.
Positive Factors
Revenue Growth
Sonova's strong sales growth in key segments, particularly in Hearing Instruments and Audiological Care, indicates effective market penetration and product adoption, supporting long-term revenue expansion.
Product Innovation
Continuous product innovation, such as the Phonak Infinio and Infinio Sphere platforms, enhances Sonova's competitive edge and aligns with consumer needs, driving sustainable growth.
Cash Generation
Strong cash generation relative to net earnings ensures Sonova can reinvest in growth opportunities and manage debt, supporting long-term financial health.
Negative Factors
Currency Headwinds
Currency fluctuations, particularly the strong Swiss franc, can adversely affect Sonova's international sales and profitability, posing a structural challenge to financial performance.
Gross Margin Decline
A decline in gross margins, due to regional manufacturing and logistics costs, could pressure profitability if not addressed, impacting long-term financial stability.
Challenges in Consumer Hearing
Weak market conditions and limited new product introductions in the Consumer Hearing segment may hinder growth, affecting Sonova's overall market position.
Sonova Holding AG (SONVY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$15.26B
Dividend Yield2.08%
Average Volume (3M)3.58K
Price to Earnings (P/E)27.3
Beta (1Y)0.71
Revenue Growth7.71%
EPS Growth-5.36%
CountryUS
Employees18,335
SectorHealthcare
Sector Strength45
IndustryMedical - Devices
Share Statistics
EPS (TTM)0.90
Shares Outstanding298,134,030
10 Day Avg. Volume2,397
30 Day Avg. Volume3,581
Financial Highlights & Ratios
PEG Ratio-2.90
Price to Book (P/B)5.77
Price to Sales (P/S)3.98
P/FCF Ratio23.42
Enterprise Value/Market Cap0.83
Enterprise Value/Revenue2.96
Enterprise Value/Gross Profit4.19
Enterprise Value/Ebitda13.51
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Sonova Holding AG Business Overview & Revenue Model
Company DescriptionSonova Holding AG designs, develops, manufactures, and distributes hearing care solutions for adults and children. It operates through two segments, Hearing Instruments and Cochlear Implants segments. The company offers wireless communication products; rechargeable hearing aids; wireless headsets, speech enhanced hearables, audiophile headphones, microphones, and wireless transmission systems; and audiological care services. It also provides hearing instruments under the Phonak, Unitron, and Hansaton brand names; cochlear implants under the Advanced Bionics brand; consumer hearing products under the Sennheiser brand; and audiological care services under the AudioNova, Audium, Audition Santé, Boots Hearingcare, Connect Hearing, Geers, Hansaton, Lapperre, Schoonenberg, and Triton brands. The company sells its products through independent distributors; and provides hearing care services through a network of approximately 3,600 stores and clinics. It operates in the United States, Europe, the Middle East, Africa, and the Asia Pacific. The company was formerly known as Phonak Holding AG and changed its name to Sonova Holding AG in August 2007. Sonova Holding AG was founded in 1947 and is headquartered in Stäfa, Switzerland.
How the Company Makes MoneySonova makes money primarily through the sale of hearing aids and cochlear implants, which account for the majority of its revenue. The company operates a multi-channel distribution model that includes wholesale sales to audiological clinics and retailers, as well as direct-to-consumer channels. Key revenue streams include the sale of hearing aids, accessories, and related services such as fitting and maintenance. Additionally, Sonova benefits from recurring revenue through service contracts and aftercare for its devices. Strategic partnerships with healthcare providers and audiologists enhance its market reach and customer base, while ongoing investments in research and development enable the company to innovate and maintain a competitive edge in the hearing technology market.
Sonova Holding AG Earnings Call Summary
Earnings Call Date:Nov 14, 2025
(Q2-2026)
| % Change Since: |
Next Earnings Date:May 19, 2026
Earnings Call Sentiment Neutral
The earnings call presented a strong performance in the larger business segments with significant market share gains, supported by successful product launches and innovation. However, challenges in smaller segments, currency headwinds, and a decline in gross margins were notable concerns. The outlook remains positive with growth expectations, but market volatility and currency impacts pose challenges.Q2-2026 Updates
Positive Updates
Strong Sales Growth in Hearing Instruments and Audiological Care
Combined sales growth of 7% in local currencies for Hearing Instruments and Audiological Care, approximately twice the estimated market growth, indicating significant market share gains.
Significant Margin Expansion
Normalized EBITA increased by 16% in local currencies, translating into a strong margin expansion of 180 basis points.
Successful Product Launches
Launch of Phonak Infinio and Infinio Sphere platforms contributed to growth. The introduction of the Virto R rechargeable ITE hearing aid received a strong market response.
Positive Outlook for Full Year
Outlook for the full year 2025-2026 maintained with expected sales growth of 5% to 9% and normalized EBITA growth of 14% to 18% at constant exchange rates.
Innovation in AI and Product Design
Launch of Infinio Ultra and EasyGuard wax management system highlights continued innovation, with improvements in AI-driven features and user convenience.
Negative Updates
Challenges in Consumer Hearing and Cochlear Implants
Consumer Hearing business faced weak markets and lack of significant product launches, while Cochlear Implants were affected by volume-based procurement issues in China and lower upgrade sales.
Currency Headwinds
Strength of the Swiss franc posed a major headwind, reducing reported sales by CHF 107 million or 5.8% due to FX translation.
Gross Margin Decline
Gross profit margin fell by 80 basis points in local currencies, affected by temporary costs related to regionalizing manufacturing and logistics.
Slow Market Growth Assumptions
Market growth expected to remain volatile and weak, with only 1% to 3% anticipated, influenced by macroeconomic uncertainties and tariffs.
Company Guidance
In the recent Sonova Half Year Results 2025-2026 Conference Call, the company reported robust performance, with a notable 7% sales growth in local currencies for its Hearing Instruments (HI) and Audiological Care (AC) businesses, a figure approximately double the estimated market growth. This success was largely attributed to the Phonak Infinio and Infinio Sphere platforms, launched in August 2024, and strategic investments in lead generation. Despite headwinds in the Consumer Hearing and Cochlear Implants segments, Sonova achieved a total sales increase of 4.9% in local currencies, reaching CHF 1.8 billion. The company maintained its full-year outlook, targeting 5% to 9% sales growth and 14% to 18% growth in normalized EBITA at constant exchange rates. Additionally, Sonova highlighted the introduction of new products, including the Virto R and Infinio Ultra, and announced an organizational shift to a four-region model to enhance customer proximity.Sonova Holding AG Financial Statement Overview
Summary
Sonova Holding AG demonstrates strong financial performance with consistent revenue and profit growth, effective cost management, and robust cash flow generation. The company maintains a stable capital structure with low leverage, although slight increases in liabilities should be monitored.Income Statement
Sonova Holding AG demonstrates strong profitability with a consistent gross profit margin of approximately 72% and a solid net profit margin of 14% for the latest fiscal year. The company has shown a stable revenue growth rate of 7% from the previous year, indicating healthy business expansion. The EBIT margin stands at 18%, and the EBITDA margin is at 24%, both reflecting effective cost management and operational efficiency.Balance Sheet
The balance sheet of Sonova Holding AG shows a robust equity ratio of 45%, highlighting a stable capital structure. The debt-to-equity ratio is relatively low at 0.66, indicating manageable leverage levels. Return on equity is strong at 20%, showcasing effective utilization of shareholder funds. However, the total liabilities have slightly increased, which requires monitoring.Cash Flow
Cash flow analysis reveals a healthy operating cash flow to net income ratio of 1.47, suggesting strong cash generation relative to net earnings. The free cash flow has grown by 5% compared to the previous year, and the free cash flow to net income ratio is 1.21, indicating efficient cash management and sufficient free cash flow for reinvestment or debt reduction.| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 4.27B | 3.87B | 3.63B | 3.74B | 3.36B | 2.60B |
| Gross Profit | 3.02B | 2.78B | 2.62B | 2.59B | 2.42B | 1.84B |
| EBITDA | 935.06M | 927.00M | 921.70M | 978.70M | 960.90M | 755.30M |
| Net Income | 563.90M | 540.50M | 601.00M | 647.50M | 649.00M | 581.00M |
Balance Sheet | ||||||
| Total Assets | 5.51B | 5.92B | 5.79B | 5.55B | 5.59B | 5.93B |
| Cash, Cash Equivalents and Short-Term Investments | 511.00M | 687.10M | 513.80M | 414.80M | 612.00M | 1.77B |
| Total Debt | 227.70M | 1.76B | 1.79B | 1.81B | 1.48B | 1.83B |
| Total Liabilities | 3.06B | 3.24B | 3.30B | 3.32B | 3.16B | 3.15B |
| Stockholders Equity | 2.43B | 2.66B | 2.47B | 2.21B | 2.41B | 2.75B |
Cash Flow | ||||||
| Free Cash Flow | 807.42M | 656.10M | 624.70M | 609.10M | 815.90M | 665.50M |
| Operating Cash Flow | 871.37M | 793.70M | 753.30M | 763.40M | 922.50M | 754.70M |
| Investing Cash Flow | -298.88M | -212.70M | -234.00M | -429.50M | -707.00M | -123.60M |
| Financing Cash Flow | -368.10M | -401.80M | -415.30M | -523.50M | -1.37B | 687.60M |
Sonova Holding AG Technical Analysis
Positive
52.91
Price Trends
51.64
Positive
54.34
Positive
56.76
Negative
Market Momentum
0.79
Negative
76.05
Negative
99.90
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SONVY, the sentiment is Positive. The current price of 52.91 is above the 20-day moving average (MA) of 52.71, above the 50-day MA of 51.64, and below the 200-day MA of 56.76, indicating a neutral trend. The MACD of 0.79 indicates Negative momentum. The RSI at 76.05 is Negative, neither overbought nor oversold. The STOCH value of 99.90 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SONVY.
Sonova Holding AG Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $25.59B | 36.99 | 10.14% | 0.94% | 5.15% | 60.30% | |
73 Outperform | $18.12B | 21.86 | 6.41% | 1.05% | 5.47% | -23.03% | |
70 Outperform | $19.60B | 80.71 | 19.68% | ― | 27.12% | -41.72% | |
69 Neutral | $14.29B | 28.22 | 9.20% | 2.28% | 5.78% | 61.52% | |
68 Neutral | $15.26B | 27.27 | 21.18% | 2.08% | 7.71% | -5.36% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
50 Neutral | $28.35B | -36.29 | ― | 3.30% | -0.76% | -55.03% |
* Healthcare Sector Average
SONVY
Sonova Holding AG
55.56
-10.55
-15.95%
PODD
Insulet
282.89
18.51
7.00%
PHG
Koninklijke Philips
30.10
5.46
22.18%
SNN
Smith & Nephew Snats
32.92
8.64
35.60%
STE
Steris
264.25
59.64
29.15%
ZBH
Zimmer Biomet Holdings
89.24
-16.23
-15.39%
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.