Upside case
Bull case
$79-7.4%
The bull case prices SOLS at 30x on FY1 earnings, assuming continued execution and no meaningful deceleration in the core business.
Analysis OverviewBuyUpdated Jun 18, 2026
Solstice Advanced Materials Inc. (SOLS) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Buy
Covering
4
analysts
2 bullish · 0 bearish · 4 covering SOLS
Strong Buy
0
Buy
2
Hold
2
Sell
0
Strong Sell
0
Consensus Target
$92
+6.9% vs today
Scenario Range
$38 – $79
Model bear to bull value window
Coverage
4
Published analyst ratings
Valuation Context
31.9x
Forward P/E · Market cap $13.6B
SOLS price targets
Three scenarios for where SOLS stock could go
Current
~$86
Confidence
50 / 100
Updated
Jun 18, 2026
Where we are now
Current · $86
Bear
$38
Base
$60
Bull
$79
Market caseClosest to today
Base case
$60-29.7%
At 22x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$38-55.7%
If investor confidence fades or macro conditions deteriorate, a 18x multiple contraction could push SOLS down roughly 56% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Solstice Advanced Materials Inc.
SOLS · NASDAQFinancial ServicesAsset ManagementDecember year-end
Solstice Advanced Materials is a specialty chemicals company that develops and manufactures high-performance materials for critical industrial applications. It generates revenue primarily through sales of specialty refrigerants (~40%), semiconductor manufacturing materials (~30%), and advanced cooling solutions for data centers (~20%). The company's moat lies in its proprietary chemical formulations and deep technical expertise in materials science for demanding applications where performance and reliability are paramount.
Market Cap
$13.6B
Revenue TTM
$3.9B
Net Income TTM
$207M
Net Margin
5.3%
SOLS Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
33%Exceptional
3 quarters tracked
Revenue Beat Rate
100%Exceptional
vs consensus estimates
Avg EPS Surprise
-64.6%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q4 2025
Q1 2026
Q2 2026
Last 3 Quarters
EPS beats: 1 of 3Q4 2025
EPS
$-0.22/$0.36
Revenue
$969M/$924M
Q1 2026
EPS
$0.26/$0.40
Revenue
$987M/$922M
Q2 2026
EPS
$0.63/$0.61
Revenue
$991M/$974M
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q4 2025 | $-0.22/$0.36 | -161.5% | $969M/$924M | +4.8% |
| Q1 2026 | $0.26/$0.40 | -35.0% | $987M/$922M | +7.1% |
| Q2 2026 | $0.63/$0.61 | +2.6% | $991M/$974M | +1.8% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$4.0B
+3.2% YoY
FY2
$4.3B
+5.6% YoY
EPS Outlook
FY1
$1.40
+7.8% YoY
FY2
$1.67
+19.6% YoY
Trailing FCF (TTM)$79M
FCF Margin: 2.0%
Next Earnings
August 5, 2026
Expected EPS
$0.77
Expected Revenue
$1.1B
SOLS beat EPS estimates in 1 of 3 tracked quarters. Mixed delivery makes the upcoming report a key data point for re-rating.
SOLS Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $3.9B
Product Mix
Latest annual revenue by segment or product family
Product
92.3%
YoY unavailable
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
UNITED STATES
70.8%
YoY unavailable
Tap, hover, or focus a slice to inspect segment detail.
Product is the largest disclosed segment at 92.3% of FY 2025 revenue, with no year-over-year comparison yet.
UNITED STATES is the largest reported region at 70.8%, with no year-over-year comparison yet.
SOLS Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Expensive versus peers
Fair value est. $59 — implies -31.5% from today's price.
Premium to Fair Value
31.5%
above fair value
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
SOLS
57.4x
vs
S&P 500
24.4x
+135% premium
vs Financial Services Trailing P/E
SOLS
57.4x
vs
Financial Services
13.6x
+323% premium
vs SOLS 5Y Avg P/E
Today
57.4x
vs
5Y Average
32.6x
+76% premium
Forward PE
31.9x
S&P 500
18.8x
+69%
Financial Services
10.7x
+198%
5Y Avg
—
—
Trailing PE
57.4x
S&P 500
24.4x
+135%
Financial Services
13.6x
+323%
5Y Avg
32.6x
+76%
PEG Ratio
—
S&P 500
1.66x
—
Financial Services
0.95x
—
5Y Avg
—
—
EV/EBITDA
16.2x
S&P 500
15.2x
+7%
Financial Services
11.4x
+43%
5Y Avg
10.1x
+61%
Price/FCF
—
S&P 500
20.7x
—
Financial Services
11.1x
—
5Y Avg
—
—
Price/Sales
3.5x
S&P 500
3.1x
+13%
Financial Services
2.3x
+50%
5Y Avg
2.0x
+76%
Dividend Yield
—
S&P 500
1.91%
—
Financial Services
2.63%
—
5Y Avg
—
—
| Metric | SOLS | S&P 500 | Financial Services | 5Y Avg SOLS |
|---|---|---|---|---|
| Forward PE | 31.9x | 18.8x+69% | 10.7x+198% | — |
| Trailing PE | 57.4x | 24.4x+135% | 13.6x+323% | 32.6x+76% |
| PEG Ratio | — | 1.66x | 0.95x | — |
| EV/EBITDA | 16.2x | 15.2x | 11.4x+43% | 10.1x+61% |
| Price/FCF | — | 20.7x | 11.1x | — |
| Price/Sales | 3.5x | 3.1x+13% | 2.3x+50% | 2.0x+76% |
| Dividend Yield | — | 1.91% | 2.63% | — |
SOLS trades above S&P 500 benchmarks on 3 of 4 measured multiples — commands a broad premium across most valuation dimensions.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolSOLS Financial Health
Verdict
Strong
SOLS generates 11.5% ROE and 3.8% return on assets — the two primary signals for banking profitability. FCF-based metrics are not applicable to financial companies.
Earnings Engine
Revenue, profitability, and return on capital
Revenue (TTM)
Trailing-twelve-month sales base
$3.9B
Revenue Growth
TTM vs prior year
—
Operating Margin
Operating income divided by revenue
17.6%
Net Margin
Net income divided by revenue
5.3%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$1.30
ROE
Return on equity — the primary profitability signal for banks
11.5%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
14.8%
ROA
Return on assets, trailing twelve months
3.8%
Cash & Equivalents
Liquid assets on the balance sheet
$534M
Net Debt
Total debt minus cash
$1.9B
FCF Analysis
Traditional FCF and debt/FCF ratios are not meaningful for financial companies. Focus on ROE and ROA above.
ROE
Return on equity — the headline bank profitability metric
11.5%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
0.0%
Dividend
—
Buyback
0.0%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$0
Dividend / Share
Annualized trailing dividend per share
—
Payout Ratio
Share of earnings distributed as dividends
—
Shares Outstanding
Current diluted share count
159M
All figures from the trailing twelve months. For financial companies, ROE and ROA are the primary health signals — FCF-based metrics are not applicable.
Open full ratios pageSOLS Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 29, 2026
High Risk
Overvaluation Concerns
SOLS is currently trading at a Price-to-Earnings (P/E) ratio of 55.8x, significantly above the US Chemicals industry average of 28.2x and the peer average of 25.1x. This elevated valuation suggests potential overvaluation, which could lead to a price correction if market sentiment shifts.
High Risk
High Debt-to-Equity Ratio
The company's debt-to-equity ratio stands at 169.4%, indicating a high level of leverage. Although interest payments are covered by EBIT, the debt is not well-supported by operating cash flow, raising concerns about financial stability.
High Risk
Execution Risk
SOLS faces execution risks in its Refrigerants & Applied Solutions and Electronic & Specialty Materials segments, where reliance on higher multiple expectations could lead to volatility. Any failure to meet growth targets could adversely impact stock performance.
Medium
Mixed Profitability Trends
Despite revenue growth, SOLS has experienced a decline in net income year-over-year due to rising operating costs and investments in low global warming potential refrigerants. This trend could affect future profitability and investor confidence.
Medium
Revenue Growth Slower Than Market
Projected revenue growth for SOLS is at 4.9% per annum, which lags behind the US market's forecast of 11.1%. This slower growth could hinder the company's competitive position and investor appeal.
Medium
Regulatory and Environmental Factors
The transition to low global warming potential refrigerants presents both opportunities and challenges for SOLS. Regulatory pressures and associated costs could impact profitability and operational efficiency.
Lower
Competitive Landscape
The specialty chemicals market is highly competitive, with fluctuating pricing dynamics that could affect SOLS's margins. Increased competition may lead to pricing pressures, impacting revenue and profitability.
Lower
Spin-off Transition
As a newly independent entity following its spin-off from Honeywell, SOLS is navigating a transition period that introduces uncertainties. This transition may affect operational stability and market perception.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why SOLS Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 29, 2026
Growth in Key Segments
Solstice is experiencing robust growth in segments like nuclear energy, refrigerants, and electronic materials. The company's role in providing uranium hexafluoride (UF6) conversion services positions it to benefit from the resurgence of nuclear power and government support for domestic supply chains.
Secular Trends
Solstice is well-positioned to capitalize on long-term trends such as sustainability transitions in cooling and building solutions, and the proliferation of artificial intelligence and advanced computing. These trends are expected to drive demand for Solstice's innovative materials and services.
Operational Execution and Guidance
Despite some profitability pressures, Solstice has reaffirmed its full-year guidance for net sales. Management expects continued revenue and EBITDA growth in 2026, supported by disciplined capital allocation and innovation.
Analyst Sentiment
Some analysts have a 'Buy' or 'Moderate Buy' consensus, with price targets suggesting potential upside. For instance, some analysts have set 12-month price targets averaging around $89.20, indicating a potential upside of nearly 10%.
Strategic Importance
Solstice is described as a key service provider in the nuclear energy sector, benefiting from a constrained global supply chain for critical minerals. This strategic positioning enhances its competitive advantage and growth prospects.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
SOLS Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$85.57
52W Range Position
90%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$40.43
+111.6% from the low
52-Week High
$90.80
-5.8% from the high
1 Month
+4.26%
3 Month
+15.00%
YTD
+73.6%
1 Year
+76.8%
3Y CAGR
+20.9%
5Y CAGR
+12.1%
10Y CAGR
+5.9%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
SOLS vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
31.9x
vs 17.8x median
+79% above peer median
Revenue Growth
+3.2%
vs +5.9% median
-45% below peer median
Net Margin
5.3%
vs 4.1% median
+27% above peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
SOL SOLS Solstice Advanced Materials Inc. | $13.6B | 31.9x | +3.2% | 5.3% | Buy | +6.9% |
MTR MTRN Materion Corporation | $5.7B | 42.8x | +5.9% | 4.0% | Buy | -41.5% |
KAL KALU Kaiser Aluminum Corporation | $3.0B | 17.8x | +8.2% | 4.1% | Hold | -9.5% |
HWK HWKN Hawkins, Inc. | $3.4B | 41.0x | +8.1% | 7.5% | Buy | — |
ASI ASIX AdvanSix Inc. | $535M | 13.8x | +0.9% | 0.7% | Buy | +10.8% |
EMN EMN Eastman Chemical Company | $8.3B | 11.4x | +0.1% | 4.6% | Buy | +10.2% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
SOLS Dividend and Capital Return
SOLS does not currently return meaningful capital to shareholders.
Dividend UnknownFCF Unknown
Total Shareholder Yield
0.0%
Dividend + buyback return per year
Buyback Yield
0.0%
Dividend Yield
—
Payout Ratio
—
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$0.15
Growth Streak
Consecutive years of dividend increases
0Y
3Y Div CAGR
—
5Y Div CAGR
—
Ex-Dividend Date
—
Payment Cadence
Semi-Annual
2 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$0
Estimated Shares Retired
0
Approx. Share Reduction
0.0%
Shares Outstanding
Current diluted share count from the screening snapshot
159M
| Year | Div / Share | YoY Grw |
|---|---|---|
| 2026 | $0.15 | — |
FAQ
7 questionsSOLS Investor Questions
Common questions answered from live analyst data and company financials.
01Is Solstice Advanced Materials Inc. (SOLS) stock a buy or sell in 2026?
Solstice Advanced Materials Inc. (SOLS) is rated Buy by Wall Street analysts as of 2026. Of 4 analysts covering the stock, 2 rate it Buy or Strong Buy, 2 rate it Hold, and 0 rate it Sell or Strong Sell. The consensus 12-month price target is $92, implying +6.9% from the current price of $86. The bear case scenario is $38 and the bull case is $79.
02What is the SOLS stock price target for 2026?
The Wall Street consensus price target for SOLS is $92 based on 4 analyst estimates. The high-end target is $101 (+18.0% from today), and the low-end target is $80 (-6.5%). The base case model target is $60.
03Is Solstice Advanced Materials Inc. (SOLS) stock overvalued in 2026?
SOLS trades at 31.9x times forward earnings. The stock trades at a notable premium to the broad market, which is typical for businesses with strong free cash flow and above-average growth expectations. Based on current multiples versus the peer group, the relative model signals expensive versus peers. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Solstice Advanced Materials Inc. (SOLS) stock in 2026?
The primary risks for SOLS in 2026 are: (1) Overvaluation Concerns — SOLS is currently trading at a Price-to-Earnings (P/E) ratio of 55. (2) High Debt-to-Equity Ratio — The company's debt-to-equity ratio stands at 169. (3) Execution Risk — SOLS faces execution risks in its Refrigerants & Applied Solutions and Electronic & Specialty Materials segments, where reliance on higher multiple expectations could lead to volatility. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Solstice Advanced Materials Inc.'s revenue and earnings forecast?
Analyst consensus estimates SOLS will report consensus revenue of $4.0B (+3.2% year-over-year) and EPS of $1.40 (+7.8% year-over-year) for the upcoming fiscal year. The following year, analysts project $4.3B in revenue.
06When does Solstice Advanced Materials Inc. (SOLS) report its next earnings?
Solstice Advanced Materials Inc. is expected to report its next earnings on approximately 2026-08-05. Consensus expects EPS of $0.77 and revenue of $1.1B. Over recent quarters, SOLS has beaten EPS estimates 33% of the time.
07How much free cash flow does Solstice Advanced Materials Inc. generate?
Solstice Advanced Materials Inc. (SOLS) generated $79M in free cash flow over the trailing twelve months — a free cash flow margin of 2.0%. SOLS returns capital to shareholders through and share repurchases ($0 TTM).