Sonova Holding AG
SOON: XSWX (CHE)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
CHF 693.00 | Sdlyj | Bttrjyz |
Sonova: Margins Compressed Due to Weak Markets, Supply Chain Challenges, and Acquisition Integration
We anticipate a modest decrease to our CHF 290 fair value estimate for narrow-moat Sonova as we incorporate persisting supply chain challenges and soft growth in key markets, including the United States. While management hasn’t revised guidance, it has indicated that it believes Sonova to be toward the lower end of the previously stated 15%-19% sales growth for fiscal 2022-23. We currently view shares to be undervalued.