SHC (Sotera Health Co) ROE %: 17.31% (As of Mar. 2026) — 48% Above Median


SHC Sotera Health Co SHC
74 GF Score
Price $17.10
GF Value $16.31
Valuation Fairly Valued
! 3 Warning Signs
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What is Sotera Health Co ROE %?

Sotera Health Co SHC +2.43% 74 ROE % is 17.31% as of Mar. 2026, which is 48% above its 10-year median of 11.70. GuruFocus rates SHC with a GF Score™ of 74/100 and a GF Value™ of $16.31 (Fairly Valued). The stock has 3 warning signs investors should review. Among 203 Medical Diagnostics & Research companies, Sotera Health Co ranks better than 88.67% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Sotera Health Co's annualized net income for the quarter that ended in Mar. 2026 was $106 Mil. Sotera Health Co's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was $614 Mil. Therefore, Sotera Health Co's annualized ROE % for the quarter that ended in Mar. 2026 was 17.31%.

The historical rank and industry rank for Sotera Health Co's ROE % or its related term are showing as below:

SHC' s ROE % Range Over the Past 10 Years
Min: -49.89   Med: 11.7   Max: 22.51
Current: 21.78

During the past 8 years, Sotera Health Co's highest ROE % was 22.51%. The lowest was -49.89%. And the median was 11.70%.

SHC's ROE % is ranked better than
88.67% of 203 companies
in the Medical Diagnostics & Research industry
Industry Median: -1.22 vs SHC: 21.78

Sotera Health Co  (NAS:SHC) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=106.356/614.27
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(106.356 / 1120.18)*(1120.18 / 3249.544)*(3249.544 / 614.27)
=Net Margin %*Asset Turnover*Equity Multiplier
=9.49 %*0.3447*5.2901
=ROA %*Equity Multiplier
=3.27 %*5.2901
=17.31 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2026 )
=Net Income/Total Stockholders Equity
=106.356/614.27
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (106.356 / 170.452) * (170.452 / 303.308) * (303.308 / 1120.18) * (1120.18 / 3249.544) * (3249.544 / 614.27)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.624 * 0.562 * 27.08 % * 0.3447 * 5.2901
=17.31 %

Note: The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Sotera Health Co ROE % Related Terms


Sotera Health Co ROE % Historical Data

* Premium members only.

The historical data trend for Sotera Health Co's ROE % can be seen below:

* 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.

Sotera Health Co ROE % Chart

Sotera Health Co Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial 22.51 -49.89 12.94 10.46 15.42

Sotera Health Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -12.95 6.88 36.47 24.11 17.31

SHC vs BLLN, RDNT, TWST: ROE % Comparison

For the Diagnostics & Research subindustry, Sotera Health Co's ROE %, along with its competitors' market caps and ROE % 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 ROE % vs Medical Diagnostics & Research Industry

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

* The bar in red indicates where Sotera Health Co's ROE % falls into.


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

Sotera Health Co's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=77.949/( (404.911+606.035)/ 2 )
=77.949/505.473
=15.42 %

Sotera Health Co's annualized ROE % for the quarter that ended in Mar. 2026 is calculated as

ROE %=Net Income (Q: Mar. 2026 )/( (Total Stockholders Equity (Q: Dec. 2025 )+Total Stockholders Equity (Q: Mar. 2026 ))/ count )
=106.356/( (606.035+622.505)/ 2 )
=106.356/614.27
=17.31 %

* 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.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 17.31% mean?
Sotera Health Co (SHC) has a ROE % of 17.31% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Sotera Health Co and its competitors. This is 48% above median its historical median of 11.70. According to the industry distribution chart, Sotera Health Co ranks #23 out of 203 companies in the Medical Diagnostics & Research industry, placing it in the top 11.3%.
Is Sotera Health Co's ROE % too high?
Sotera Health Co's current ROE % of 17.31% is 48% above median its 10-year median of 11.70. Based on the distribution chart, Sotera Health Co ranks #23 out of 203 companies in the Medical Diagnostics & Research industry, which is in the top quartile — a strong position relative to peers. Overall, Sotera Health Co has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sotera Health Co's ROE % compare to BLLN and RDNT?
According to the Medical Diagnostics & Research industry distribution chart, Sotera Health Co ranks #23 out of 203 companies for ROE %. This places Sotera Health Co in the top 11% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Medical Diagnostics & Research company?
A good ROE % depends on the Medical Diagnostics & Research industry context. However, ROE % 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Sotera Health Co and its competitors. Sotera Health Co's current ROE % is 17.31%, which is 48% above median its own 10-year median of 11.70. 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 Fairly Valued. The stock's GF Value™ is $16.31, compared to a current price of $17.10 — trading 4.8% above its estimated fair value. The current ROE % is 17.31%, which is 48% above median its 10-year median of 11.70. Sotera Health Co's overall GF Score™ is 74/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Sotera Health Co (SHC), the current ROE % is 17.31% as of Mar. 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 $17.10 is trading 4.8% above its estimated GF Value™ of $16.31. GuruFocus considers Sotera Health Co to be Fairly Valued.

Key valuation signals for SHC:

  • ROE %: 17.31% (48% above median its 10-year median of 11.70)
  • GF Value™: $16.31 vs. price of $17.10 (4.8% above fair value)
  • GF Score™: 74/100 with 3 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

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

$17.10
Price
$16.31
GF Value