SHC (Sotera Health Co) Financial Strength: 4 (As of Jun. 2026) — Near Median

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SHC Sotera Health Co SHC
74 GF Score
Price $19.02
GF Value $16.39
Valuation Modestly Overvalued
! 4 Warning Signs
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What is Sotera Health Co Financial Strength?

Sotera Health Co SHC +0.69% 74 Financial Strength is 4 as of Jun. 2026, which is at its 10-year median of 4.00. GuruFocus rates SHC with a GF Score™ of 74/100 and a GF Value™ of $16.39 (Modestly Overvalued). The stock has 4 warning signs investors should review.

Sotera Health Co has the Financial Strength Rank of 4.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Sotera Health Co's Interest Coverage for the quarter that ended in Jun. 2026 was 3.10. Sotera Health Co's debt to revenue ratio for the quarter that ended in Jun. 2026 was 1.76. As of today, Sotera Health Co's Altman Z-Score is 1.97.


Sotera Health Co  (NAS:SHC) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Sotera Health Co has the Financial Strength Rank of 4.


Sotera Health Co Financial Strength Related Terms


SHC vs RDNT, VCYT, TWST: Financial Strength Comparison

For the Diagnostics & Research subindustry, Sotera Health Co's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Sotera Health Co Financial Strength vs Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Sotera Health Co's Financial Strength distribution charts can be found below:

* The bar in red indicates where Sotera Health Co's Financial Strength falls into.


SHC
74GF Score
Sotera Health Co SHC
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Sotera Health Co Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Sotera Health Co's Interest Expense for the months ended in Jun. 2026 was $-34 Mil. Its Operating Income for the months ended in Jun. 2026 was $107 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was $2,245 Mil.

Sotera Health Co's Interest Coverage for the quarter that ended in Jun. 2026 is

Interest Coverage=-1*Operating Income (Q: Jun. 2026 )/Interest Expense (Q: Jun. 2026 )
=-1*106.792/-34.405
=3.10

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Sotera Health Co's Debt to Revenue Ratio for the quarter that ended in Jun. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Jun. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(23.127 + 2244.962) / 1285.5
=1.76

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Sotera Health Co has a Z-score of 1.97, indicating it is in Grey Zones. This implies that Sotera Health Co is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 1.97 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 4 mean?
Sotera Health Co (SHC) has a Financial Strength of 4 as of Jun. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Sotera Health Co and its competitors. This is near median its historical median of 4.00. Over the past decade, Sotera Health Co's Financial Strength has ranged from 3.00 to 5.00.
Is Sotera Health Co's Financial Strength too high?
Sotera Health Co's current Financial Strength of 4 is near median its 10-year median of 4.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 5.00. Overall, Sotera Health Co has a GF Score™ of 74/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sotera Health Co's Financial Strength compare to RDNT and VCYT?
Sotera Health Co's Financial Strength of 4 can be compared against companies in the Medical Diagnostics & Research industry. Historically, Sotera Health Co's own Financial Strength has ranged from 3.00 to 5.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Medical Diagnostics & Research company?
A good Financial Strength depends on the Medical Diagnostics & Research industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Sotera Health Co and its competitors. Sotera Health Co's current Financial Strength is 4, which is near median its own 10-year median of 4.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sotera Health Co stock overvalued right now?
Based on GuruFocus' analysis, Sotera Health Co (SHC) is currently considered Modestly Overvalued. The stock's GF Value™ is $16.39, compared to a current price of $19.02 — trading 16% above its estimated fair value. The current Financial Strength is 4, which is near median its 10-year median of 4.00. Sotera Health Co's overall GF Score™ is 74/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Sotera Health Co (SHC), the current Financial Strength is 4 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Sotera Health Co (SHC) Overvalued in 2026?

Based on GuruFocus' analysis, Sotera Health Co stock appears to be overvalued. The current stock price of $19.02 is trading 16% above its estimated GF Value™ of $16.39. GuruFocus considers Sotera Health Co to be Modestly Overvalued.

Key valuation signals for SHC:

  • Financial Strength: 4 (near median its 10-year median of 4.00)
  • GF Value™: $16.39 vs. price of $19.02 (16% above fair value)
  • GF Score™: 74/100 with 4 warning signs

No single metric tells the full story. See the SHC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sotera Health Co Business Description

Address 9100 South Hills Boulevard, Suite 300, Broadview Heights, OH, USA, 44147
Sotera Health Co provides sterilization, analytical lab testing, and advisory services to help ensure that medical, pharmaceutical, and food products are safe for healthcare practitioners, patients, and consumers. The company operates in three reportable segments: Sterigenics, Nordion, and Nelson Labs. The Sterigenics segment, which generates maximum revenue, provides outsourced terminal sterilization and irradiation services for medical devices, pharmaceuticals, food safety, and other application markets using three core technologies: gamma irradiation, EO processing, and E-beam irradiation. Geographically, the company generates maximum revenue from the United States, followed by Canada, Europe, and other regions.
74GF Score

Get the complete analysis for SHC

Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$19.02
Price
$16.39
GF Value