SOMNOMED LIMITED (SOM)
Share Price Analysis and Chart

31/08/2026

1

Speculative Buy

$0.76

117.14%

SomnoMed's FY26 result was broadly in line with Morgans' expectations, with revenue rising 3% to $114.5m and adjusted earnings (EBITDA) increasing 19% to $10.9m.

The broker views formalisation of the new management restructure positively and expects a return to stronger growth in FY27.

Karen Borg is the sole CEO of SomnoMed, having taken over the role on 27 July 2026, following the departure of Amrita Blickstead as co-CEO. Greg Knight has been appointed as the Chief Operating Officer, while Nathan Minnich serves as the Chief Marketing Officer.

Capex of -$5.7m was below the -$7.9m forecast, supporting near-term free cash flow (FCF), though some expenditure may shift into FY27.

Morgans considers SomnoMed too cheap at below 8x EV/EBITDA, raises its target by 1c to 76c and retains a Speculative Buy rating.

FORECAST
Morgans forecasts a full year FY27 dividend of 0.00 cents and EPS of 2.30 cents.
Morgans forecasts a full year FY28 dividend of 0.00 cents and EPS of 3.00 cents.

01/09/2026

1

Buy

$0.76

117.14%

Canaccord Genuity maintains a Buy rating for SomnoMed with its target price decreased to $0.76 from $1.00 following an FY26 result featuring an underlying EBITDA of $10.9m.

Group underlying revenue fell -6% short of expectations at $114.5m, primarily impacted by European competitive and regulatory headwinds during the second half.

The analyst notes management's provisional FY27 guidance relies significantly on achieving double-digit volume growth in the US to offset an anticipated 8% currency translation headwind.

Revenue estimates for FY27 are reduced by -6% to $122.6m, resulting in a -12% downward revision to the underlying EBITDA forecast to $11.6m.

The revised valuation utilises an established medical technology multiple of 12.8x forward enterprise value-to-EBITDA, reflecting a broader sector de-rating over the past six months.