Sonova Holding AG (SONVY) AI Stock Analysis

• Market Cap: $15.35B
• Dividend Yield: 2.16%
• Average Volume (3M): 3.58K
• Price to Earnings (P/E): 26.1
• Beta (1Y): 0.79
• Revenue Growth: 7.71%
• EPS Growth: -5.36%
• Country: US
• Employees: 18,335
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Devices
• EPS (TTM): 0.90
• Shares Outstanding: 298,134,030
• 10 Day Avg. Volume: 2,397
• 30 Day Avg. Volume: 3,581
• PEG Ratio: -2.90
• Price to Book (P/B): 5.77
• Price to Sales (P/S): 3.98
• P/FCF Ratio: 23.42
• Enterprise Value/Market Cap: 1.21
• Enterprise Value/Revenue: 4.80
• Enterprise Value/Gross Profit: 6.63
• Enterprise Value/Ebitda: 21.05
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: $56.00 ▲(11.42% 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 Business Overview & Revenue Model

Company Description

Sonova Holding AG is a global leader in the design and manufacturing of hearing care solutions, headquartered in Switzerland. The company operates primarily in the healthcare sector, focusing on the development of innovative hearing aids, cochlear implants, and related services. With a strong commitment to improving the quality of life for individuals with hearing loss, Sonova offers a wide range of products through its various brands, including Phonak, Unitron, and Advanced Bionics.

How the Company Makes Money

Sonova 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 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	3.87B	3.87B	3.63B	3.74B	3.36B	2.60B
Gross Profit	2.80B	2.78B	2.62B	2.59B	2.42B	1.84B
EBITDA	882.20M	927.00M	921.70M	978.70M	960.90M	755.30M
Net Income	540.50M	540.50M	601.00M	647.50M	649.00M	581.00M
Balance Sheet
Total Assets	5.92B	5.92B	5.79B	5.55B	5.59B	5.93B
Cash, Cash Equivalents and Short-Term Investments	687.10M	687.10M	513.80M	414.80M	612.00M	1.77B
Total Debt	1.76B	1.76B	1.79B	1.81B	1.48B	1.83B
Total Liabilities	3.24B	3.24B	3.30B	3.32B	3.16B	3.15B
Stockholders Equity	2.66B	2.66B	2.47B	2.21B	2.41B	2.75B
Cash Flow
Free Cash Flow	703.90M	656.10M	624.70M	609.10M	815.90M	665.50M
Operating Cash Flow	793.70M	793.70M	753.30M	763.40M	922.50M	754.70M
Investing Cash Flow	-212.70M	-212.70M	-234.00M	-429.50M	-707.00M	-123.60M
Financing Cash Flow	-401.80M	-401.80M	-415.30M	-523.50M	-1.37B	687.60M

Sonova Holding AG Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 50.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SONVY, the sentiment is Neutral. The current price of 50.26 is above the 20-day moving average (MA) of 49.61, below the 50-day MA of 52.89, and below the 200-day MA of 57.64, indicating a neutral trend. The MACD of -0.80 indicates Negative momentum. The RSI at 45.71 is Neutral, neither overbought nor oversold. The STOCH value of 65.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SONVY.

Sonova Holding AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STE	77 Outperform	$24.78B	35.94	10.14%	0.95%	5.15%	60.30%
ZBH	73 Outperform	$18.32B	22.88	6.41%	1.05%	5.47%	-23.03%
PODD	70 Outperform	$20.69B	85.80	19.68%	―	27.12%	-41.72%
SNN	69 Neutral	$13.79B	29.00	9.20%	2.29%	5.78%	61.52%
SONVY	68 Neutral	$15.35B	26.06	21.18%	2.16%	7.71%	-5.36%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
PHG	50 Neutral	$25.39B	―	―	3.33%	-0.76%	-55.03%

Sonova Holding AG Corporate Events

Sonova Holding AG Reports Mixed Semi-Annual Results

Sonova Holding AG, a leader in hearing care solutions, operates in the healthcare sector, providing innovative products such as hearing aids and cochlear implants. In its semi-annual report for 2025/26, Sonova reported a mixed financial performance with sales reaching CHF 1,815.4 million, a 4.9% increase in local currencies but a 1.0% decline in Swiss francs due to currency headwinds. The company’s Hearing Instruments and Audiological Care businesses showed robust growth, while the Consumer Hearing and Cochlear Implants segments faced challenges. Key highlights include the launch of new products like the Phonak Infinio Ultra Sphere™, which utilizes AI for enhanced speech clarity, and the Virto R Infinio, a rechargeable custom in-the-ear device. Despite currency challenges, Sonova’s normalized EBITA rose by 16.0% in local currencies, reflecting strong operational performance. Looking ahead, Sonova remains optimistic about its growth prospects, expecting sales to increase by 5%-9% and EBITA to grow by 14%-18% for the full financial year, assuming no significant new tariffs or disruptions.

Sonova’s Latest Study on Hearing Instruments: Potential Market Impact

Sonova Holding AG is currently recruiting participants for a clinical study titled Speech Understanding and Listening Effort Benefits of Infinio Sphere. The study aims to explore the benefits of using hearing instruments in adults with bilateral hearing loss, focusing on improvements in speech understanding and listening effort. This research is significant as it seeks to enhance the quality of life for individuals with hearing impairments by identifying the most effective hearing aid models.

Sonova’s New Study on Extended Wear Hearing Aids: What Investors Need to Know

Sonova Holding AG has announced a new clinical study titled ‘Evaluation of Extended Wear Hearing Aid for Mild Hearing Loss.’ The study aims to assess the benefits of extended wear hearing aids in reducing subjective listening effort in adults with mild sensorineural hearing loss. This research is significant as it could lead to improved hearing solutions for those with mild hearing impairments.

Sonova’s New Hearing Aid Study: A Game Changer for Hearing Technology?

Study Overview: Sonova Holding AG is launching a clinical trial titled ‘Evaluation of Investigational Hearing Instrument Features.’ The study aims to assess how different hearing instrument features perform in various environmental settings for adults with hearing loss. It seeks to determine user preferences for these features, providing significant insights into improving hearing aid technology.