Solventum Corp

SOLVdata completeness 100%4 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

Solventum Corp earns about 9% on invested capital, barely covering its ~9% cost of capital, with a roughly flat share count. The estimate methods put fair value between $8.24 and $79.48 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2022FY 2023FY 2024FY 2025
Revenue$8.13B1$8.2B2$8.25B2$8.33B2
Net income$1.34B3$1.35B4$479M4$1.56B4
Operating cash flow$1.68B5$1.92B6$1.19B6$369M6
Capital expenditure$251M7$290M8$380M8$379M8
Free cash flow (derived)$1.43B5$1.63B6$805M6−$10M6
Total debt$09$16.2B10$10.1B10
Cash & equivalents$61M11$194M12$762M13$878M13
Diluted shares172.7M172.7M173.7M175.3M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$288.02
your share of equity
Profit it earned you last year
$88.76
Free cash flow it threw off
−$0.57
Debt you’d be carrying
$574.44

10 shares is a claim on $288.02 of net worth that earned you $88.76 and generated −$0.57 of cash last year, against $574.44 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
9% avg · 4y
FY22 11%FY23 12%FY24 3%FY25 11%

It earned about 9% on invested capital against a ~9% cost of capital — roughly what it costs to fund the business, so the numbers show no clear edge.

seeing a moat in the numbers →
Management signal · capital allocation
+2% shares · 4y

Share count is roughly flat over 4 years — little dilution, little buyback.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 3 estimate methods that apply put fair value between $8.24 and $79.48 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$8.24
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$805M
DCF · Growth Exit 5Y
$13.18
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$805M
Earnings Power Value
$79.48
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$1.34B
  • growthAssumed0.0%
Graham Number
$75.86
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years0.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $13.18
The three cases
Bear0.0%$13.18
Base0.0%$13.18
Bull5.0%$29.06

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 0.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2022-12-31 · accession 0001964738-25-000019 (Revenues)
  2. 10-K · period ending 2023-12-31 · accession 0001964738-26-000007 (Revenues)
  3. 10-K · period ending 2022-12-31 · accession 0001964738-25-000019 (NetIncomeLoss)
  4. 10-K · period ending 2023-12-31 · accession 0001964738-26-000007 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001964738-25-000019 (NetCashProvidedByUsedInOperatingActivities)
  6. 10-K · period ending 2023-12-31 · accession 0001964738-26-000007 (NetCashProvidedByUsedInOperatingActivities)
  7. 10-K · period ending 2022-12-31 · accession 0001964738-25-000019 (PaymentsToAcquirePropertyPlantAndEquipment)
  8. 10-K · period ending 2023-12-31 · accession 0001964738-26-000007 (PaymentsToAcquirePropertyPlantAndEquipment)
  9. 10-K · period ending 2023-12-31 · accession 0001964738-25-000019 (LongTermDebtNoncurrent)
  10. 10-K · period ending 2024-12-31 · accession 0001964738-26-000007 (LongTermDebtNoncurrent)
  11. 10-K · period ending 2022-12-31 · accession 0001964738-26-000007 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  12. 10-K · period ending 2023-12-31 · accession 0001964738-25-000019 (CashAndCashEquivalentsAtCarryingValue)
  13. 10-K · period ending 2024-12-31 · accession 0001964738-26-000007 (CashAndCashEquivalentsAtCarryingValue)