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SONO-TEK CORP (SOTK) Stock Fundamental Analysis

USA - NASDAQ:SOTK - US8354831088 - Common Stock

4.615 USD
+0.06 (+1.21%)
Last: 10/27/2025, 8:00:03 PM
Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to SOTK. SOTK was compared to 123 industry peers in the Electronic Equipment, Instruments & Components industry. SOTK has an excellent financial health rating, but there are some minor concerns on its profitability. SOTK does not seem to be growing, but still is valued expensively.


Dividend Valuation Growth Profitability Health

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6

1. Profitability

1.1 Basic Checks

In the past year SOTK was profitable.
In the past year SOTK has reported a negative cash flow from operations.
SOTK had positive earnings in each of the past 5 years.
In the past 5 years SOTK always reported a positive cash flow from operatings.
SOTK Yearly Net Income VS EBIT VS OCF VS FCFSOTK Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1M 2M 3M

1.2 Ratios

Looking at the Return On Assets, with a value of 6.52%, SOTK is in the better half of the industry, outperforming 79.67% of the companies in the same industry.
SOTK has a better Return On Equity (8.08%) than 68.29% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.13%, SOTK is in the better half of the industry, outperforming 64.23% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for SOTK is below the industry average of 9.37%.
The last Return On Invested Capital (6.13%) for SOTK is above the 3 year average (4.81%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.52%
ROE 8.08%
ROIC 6.13%
ROA(3y)4.95%
ROA(5y)7.21%
ROE(3y)6.8%
ROE(5y)9.82%
ROIC(3y)4.81%
ROIC(5y)6.95%
SOTK Yearly ROA, ROE, ROICSOTK Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 10 15

1.3 Margins

With a decent Profit Margin value of 7.33%, SOTK is doing good in the industry, outperforming 73.98% of the companies in the same industry.
In the last couple of years the Profit Margin of SOTK has declined.
SOTK's Operating Margin of 6.75% is fine compared to the rest of the industry. SOTK outperforms 69.11% of its industry peers.
SOTK's Operating Margin has declined in the last couple of years.
The Gross Margin of SOTK (48.64%) is better than 84.55% of its industry peers.
SOTK's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 6.75%
PM (TTM) 7.33%
GM 48.64%
OM growth 3Y-23.44%
OM growth 5Y-7.56%
PM growth 3Y-25.18%
PM growth 5Y-3%
GM growth 3Y-1.87%
GM growth 5Y-0.05%
SOTK Yearly Profit, Operating, Gross MarginsSOTK Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 20 30 40 50

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8

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SOTK is destroying value.
The number of shares outstanding for SOTK remains at a similar level compared to 1 year ago.
SOTK has more shares outstanding than it did 5 years ago.
There is no outstanding debt for SOTK. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
SOTK Yearly Shares OutstandingSOTK Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M
SOTK Yearly Total Debt VS Total AssetsSOTK Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M 20M

2.2 Solvency

An Altman-Z score of 11.94 indicates that SOTK is not in any danger for bankruptcy at the moment.
SOTK has a better Altman-Z score (11.94) than 89.43% of its industry peers.
SOTK has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Altman-Z 11.94
ROIC/WACC0.67
WACC9.15%
SOTK Yearly LT Debt VS Equity VS FCFSOTK Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5M 10M 15M

2.3 Liquidity

A Current Ratio of 4.34 indicates that SOTK has no problem at all paying its short term obligations.
The Current ratio of SOTK (4.34) is better than 78.05% of its industry peers.
SOTK has a Quick Ratio of 3.40. This indicates that SOTK is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 3.40, SOTK is doing good in the industry, outperforming 79.67% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 4.34
Quick Ratio 3.4
SOTK Yearly Current Assets VS Current LiabilitesSOTK Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M

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3

3. Growth

3.1 Past

SOTK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.11%, which is quite good.
The Earnings Per Share has been growing slightly by 2.91% on average over the past years.
The Revenue has decreased by -0.21% in the past year.
The Revenue has been growing slightly by 5.96% on average over the past years.
EPS 1Y (TTM)11.11%
EPS 3Y-20.37%
EPS 5Y2.91%
EPS Q2Q%50%
Revenue 1Y (TTM)-0.21%
Revenue growth 3Y6.18%
Revenue growth 5Y5.96%
Sales Q2Q%0.02%

3.2 Future

The Earnings Per Share is expected to decrease by -2.25% on average over the next years.
The Revenue is expected to grow by 5.18% on average over the next years.
EPS Next Y33.87%
EPS Next 2Y12.92%
EPS Next 3Y0.66%
EPS Next 5Y-2.25%
Revenue Next Year0.7%
Revenue Next 2Y4.39%
Revenue Next 3Y5.14%
Revenue Next 5Y5.18%

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
SOTK Yearly Revenue VS EstimatesSOTK Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5M 10M 15M 20M 25M
SOTK Yearly EPS VS EstimatesSOTK Yearly EPS VS EstimatesYearly EPS VS Estimates 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0.05 0.1 0.15

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2

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 46.15 indicates a quite expensive valuation of SOTK.
SOTK's Price/Earnings is on the same level as the industry average.
SOTK is valuated expensively when we compare the Price/Earnings ratio to 27.08, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 45.25, SOTK can be considered very expensive at the moment.
SOTK's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.09, SOTK is valued quite expensively.
Industry RankSector Rank
PE 46.15
Fwd PE 45.25
SOTK Price Earnings VS Forward Price EarningsSOTK Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

SOTK's Enterprise Value to EBITDA ratio is in line with the industry average.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 26.27
SOTK Per share dataSOTK EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 0.2 0.4 0.6 0.8 1

4.3 Compensation for Growth

The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
SOTK has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.36
PEG (5Y)15.85
EPS Next 2Y12.92%
EPS Next 3Y0.66%

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0

5. Dividend

5.1 Amount

SOTK does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

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SONO-TEK CORP

NASDAQ:SOTK (10/27/2025, 8:00:03 PM)

4.615

+0.06 (+1.21%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)10-14 2025-10-14/bmo
Earnings (Next)01-12 2026-01-12
Inst Owners42.1%
Inst Owner Change-0.31%
Ins Owners16.02%
Ins Owner Change-1.1%
Market Cap72.50M
Revenue(TTM)20.61M
Net Income(TTM)1.51M
Analysts80
Price Target7.91 (71.4%)
Short Float %0.2%
Short Ratio0.85
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)32.35%
Min EPS beat(2)17.65%
Max EPS beat(2)47.06%
EPS beat(4)3
Avg EPS beat(4)23.37%
Min EPS beat(4)-1.96%
Max EPS beat(4)47.06%
EPS beat(8)6
Avg EPS beat(8)42.57%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.37%
Min Revenue beat(2)-4.04%
Max Revenue beat(2)-2.7%
Revenue beat(4)0
Avg Revenue beat(4)-2.18%
Min Revenue beat(4)-4.04%
Max Revenue beat(4)-0.4%
Revenue beat(8)2
Avg Revenue beat(8)-1.18%
Revenue beat(12)2
Avg Revenue beat(12)-2.47%
Revenue beat(16)5
Avg Revenue beat(16)-1.53%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)66.67%
EPS NQ rev (3m)150%
EPS NY rev (1m)23.53%
EPS NY rev (3m)110%
Revenue NQ rev (1m)4.58%
Revenue NQ rev (3m)10.77%
Revenue NY rev (1m)2.09%
Revenue NY rev (3m)4.19%
Valuation
Industry RankSector Rank
PE 46.15
Fwd PE 45.25
P/S 3.52
P/FCF N/A
P/OCF N/A
P/B 3.88
P/tB 3.88
EV/EBITDA 26.27
EPS(TTM)0.1
EY2.17%
EPS(NY)0.1
Fwd EY2.21%
FCF(TTM)-0.06
FCFYN/A
OCF(TTM)-0.03
OCFYN/A
SpS1.31
BVpS1.19
TBVpS1.19
PEG (NY)1.36
PEG (5Y)15.85
Graham Number1.64
Profitability
Industry RankSector Rank
ROA 6.52%
ROE 8.08%
ROCE 7.4%
ROIC 6.13%
ROICexc 14.02%
ROICexgc 14.07%
OM 6.75%
PM (TTM) 7.33%
GM 48.64%
FCFM N/A
ROA(3y)4.95%
ROA(5y)7.21%
ROE(3y)6.8%
ROE(5y)9.82%
ROIC(3y)4.81%
ROIC(5y)6.95%
ROICexc(3y)17.39%
ROICexc(5y)26.49%
ROICexgc(3y)17.6%
ROICexgc(5y)27.05%
ROCE(3y)5.81%
ROCE(5y)8.39%
ROICexgc growth 3Y-34.47%
ROICexgc growth 5Y-17.14%
ROICexc growth 3Y-34.05%
ROICexc growth 5Y-16.55%
OM growth 3Y-23.44%
OM growth 5Y-7.56%
PM growth 3Y-25.18%
PM growth 5Y-3%
GM growth 3Y-1.87%
GM growth 5Y-0.05%
F-Score3
Asset Turnover0.89
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Debt/EBITDA 0
Cap/Depr 57.7%
Cap/Sales 1.9%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 4.34
Quick Ratio 3.4
Altman-Z 11.94
F-Score3
WACC9.15%
ROIC/WACC0.67
Cap/Depr(3y)103.27%
Cap/Depr(5y)91.74%
Cap/Sales(3y)3.35%
Cap/Sales(5y)2.85%
Profit Quality(3y)50.11%
Profit Quality(5y)52.7%
High Growth Momentum
Growth
EPS 1Y (TTM)11.11%
EPS 3Y-20.37%
EPS 5Y2.91%
EPS Q2Q%50%
EPS Next Y33.87%
EPS Next 2Y12.92%
EPS Next 3Y0.66%
EPS Next 5Y-2.25%
Revenue 1Y (TTM)-0.21%
Revenue growth 3Y6.18%
Revenue growth 5Y5.96%
Sales Q2Q%0.02%
Revenue Next Year0.7%
Revenue Next 2Y4.39%
Revenue Next 3Y5.14%
Revenue Next 5Y5.18%
EBIT growth 1Y12.8%
EBIT growth 3Y-18.71%
EBIT growth 5Y-2.05%
EBIT Next Year111.35%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-153.01%
FCF growth 3Y-69.55%
FCF growth 5Y-53.3%
OCF growth 1Y-121.78%
OCF growth 3Y-39.06%
OCF growth 5Y-30.55%

SONO-TEK CORP / SOTK FAQ

What is the fundamental rating for SOTK stock?

ChartMill assigns a fundamental rating of 5 / 10 to SOTK.


What is the valuation status of SONO-TEK CORP (SOTK) stock?

ChartMill assigns a valuation rating of 2 / 10 to SONO-TEK CORP (SOTK). This can be considered as Overvalued.


Can you provide the profitability details for SONO-TEK CORP?

SONO-TEK CORP (SOTK) has a profitability rating of 6 / 10.


How financially healthy is SONO-TEK CORP?

The financial health rating of SONO-TEK CORP (SOTK) is 8 / 10.


What is the earnings growth outlook for SONO-TEK CORP?

The Earnings per Share (EPS) of SONO-TEK CORP (SOTK) is expected to grow by 33.87% in the next year.