# Somero Enterprises, Inc. (SOM.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Industrials / Machinery. Price 262p, market value 135 millionp.

## Valuation
- **P/E (trailing): 20.1×** (5-yr avg 891.9×, 3-yr avg 963.3×). Somero Enterprises, Inc. trades at 20.1× trailing earnings, well below its own five-year average of 891.9×: cheap by its own standards. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 7.7×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 0.9×**. Each dollar of revenue is priced at 0.9×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 2.3×**. The shares trade at 2.3× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 3.6×**. Enterprise value is 3.6× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: 17.5%** (5-yr avg 0.1%). Free cash flow equals 17.5% of the market value, above its five-year average of 0.1%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 5.0%**. The inverse of the P/E: 5.0% of the price is earned each year.

## Profitability
- **Gross margin: 53.0%**. Somero Enterprises, Inc. keeps 53.0% of revenue after the direct cost of what it sells.
- **Operating margin: 19.3%**. 19.3% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 11.5%**. 11.5% of each dollar of sales reaches the bottom line.
- **Return on equity: 12.7%**. 12.7% on shareholders' equity is solid.
- **Return on invested capital: 54.2%**. Return on all capital, debt included, is 54.2%: comfortably above what that capital costs.
- **Return on assets: 28.9%**. Each dollar of assets produces 28.9% of profit.

## Growth
- **Revenue growth (1 yr): -16.9%** (3-yr -12.1%/yr, 5-yr 0.5%/yr). Revenue fell 16.9% over the last year, against 0.5% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -42.4%** (3-yr -29.8%/yr, 5-yr -10.5%/yr). Earnings per share fell 42.4%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -8.3%/yr**. Free cash flow has compounded at -8.3% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.03**. Debt is 0.03 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. Somero Enterprises, Inc. holds more cash than debt.
- **Interest coverage: 369.4×**. Operating profit covers interest 369.4× over, a safe margin.
- **Current ratio: 5.06** (quick 3.41). Current assets cover the next year's liabilities 5.06 times.
- **Altman Z-score: 7.42**. A Z-score of 7.42 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 5/9**. 5 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 3.16%** (0p per share, trailing). Somero Enterprises, Inc. yields 3.16%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 91%** (77% of free cash flow). 91% of earnings goes out as dividends, leaving a thin cushion.
- **Dividend growth (5 yr): -7.2%/yr** (1-yr -40.6%). The dividend has not grown over five years.
- **Shareholder yield: 6.4%**. Dividends plus net buybacks return 6.4% of the market value a year.

## Price and momentum
- **Total return (1 yr): 6.7%** (YTD 9.1%, 3-mo 27.7%). The shares are up 6.7% over twelve months including dividends.
- **From 52-week high: -1.7%** (53.9% above the low). Trading within 5% of its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 58**. An RSI of 58 is neutral.
- **Beta (1 yr): 0.08** (volatility 31%). Beta of 0.08 against the FTSE All-Share: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=SOM.L · Page: https://foliofundamentals.com/stocks/som.l

Not investment advice.