# Somnigroup International Inc. (SGI) — Stock CV

Somnigroup International Inc. is a $14.3B consumer company. Revenue grew 27.1% over the last year, it keeps 7¢ of every dollar of sales as profit, and its net debt equals ~5.9 years of free cash flow. It trades at 26.8× earnings — in the cheapest third of its own history.

> Somnigroup International Inc is a bedding company, dedicated to improving people's lives through good sleep.

## Identity

- **Ticker**: SGI
- **Sector**: Consumer Cyclical
- **Industry**: Furnishings, Fixtures & Appliances
- **Headquarters**: LEXINGTON, KY
- **Employees**: 19 000
- **Website**: https://www.somnigroup.com
- **Market cap**: $14.3B
- **Last price**: $62.19
- **Financial profile**: Strained

## Vitals (TTM)

- **Revenue**: $7.62B
- **Net income**: $533M
- **Free cash flow**: $769M
- **Net debt**: $4.55B
- **P/E**: 26.8
- **Revenue growth (YoY)**: 27.1%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 82 |
| Growth | 45 |
| Profitability | 50 |
| Health | 31 |
| Quality | 77 |
| Moat | 76 |

## Qualifications (beginner checklist) — 8 of 11 passed

- [x] Revenue growing — +27.1% YoY
- [x] Profitable — $533M TTM
- [ ] Profit growing — -10.1% YoY
- [x] Generates cash — $769M TTM
- [ ] Debt under control — ~5.9y of cash flow to repay
- [x] Established company — $14.3B market cap
- [x] Not printing shares — +2.4% shares over ~5y
- [x] Proven track record — 5/5 profitable years
- [ ] Financially stable — Altman Z 1.8 — distress
- [x] Pays a dividend — yield 0.95%
- [x] Valuation not extreme — P/E 26.8

## Experience (career milestones)

- **2025** — The acquisition was finalized in February 2025 and Tempur Sealy changed its name to Somnigroup International Inc
- **FY2021** — Profitable every year on record: 5 consecutive profitable years in our data
- **FY2021** — Revenue already above $1B: $4.93B in first reported year
- **FY2021** — Positive free cash flow every year since: 5-year streak
- **FY2021** — Best year on record: $625M net income
- **2012** — The company was formed when Tempur-Pedic International, a manufacturer of memory foam mattresses, acquired its…

## Strengths

- High gross margin (46.1%)
- Revenue growing 27.1% year over year

## Watch-outs

- Altman Z-Score 1.80 — elevated financial-distress risk
- Net debt would take ~8.2 years of free cash flow to repay
- Net debt equals ~5.9 years of free cash flow

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $4.93B | $625M | $599M |
| FY2022 | $4.92B | $456M | $72.0M |
| FY2023 | $4.93B | $368M | $385M |
| FY2024 | $4.93B | $384M | $569M |
| FY2025 | $7.48B | $384M | $633M |

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Source: https://stockcv.com/SGI — derived from company filings; may be delayed or incomplete. Information, not investment advice.