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SOTKSono-Tek Corporation
$5.34$84M
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Sono-Tek Corporation (SOTK) Financial Ratios

Latest Ratios: P/E Ratio 48.5x · EV/EBITDA 30.7x · ROE 9.6%. (1997–2026 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

SOTK Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Market Cap$84M$67M$58M$87M$85M$80M$67M$35M$38M$24M$18M
Enterprise Value$77M$60M$53M$85M$82M$76M$64M$32M$36M$23M$16M
P/E Ratio →48.5539.0045.7960.39133.9932.1959.4431.48237.7465.57118.00
P/S Ratio4.013.232.854.425.654.704.492.273.302.191.82
P/B Ratio4.253.413.285.355.825.866.083.564.472.882.24
P/FCF27.7822.341037.86235.86110.7140.39177.7013.77—14.9720.95
P/OCF25.8520.80111.1474.8164.2734.6991.8510.71—13.4017.23

P/E links to full P/E history page with 30-year chart

SOTK EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
EV / Revenue—2.882.594.315.434.414.282.083.112.101.68
EV / EBITDA30.7024.1231.0747.7368.5232.5335.2219.7187.0129.6562.46
EV / EBIT41.9632.9634.6448.69103.5526.0445.7825.60162.9545.76127.04
EV / FCF—19.91945.32230.07106.3537.96169.4712.61—14.3619.32

SOTK Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Gross Margin50.5%50.5%47.5%50.0%50.8%50.3%47.2%47.6%45.2%48.1%46.2%
Operating Margin8.7%8.7%4.9%6.0%4.5%11.0%9.0%7.9%0.7%3.5%-1.8%
Net Profit Margin8.6%8.6%6.2%7.3%4.2%14.8%7.6%7.2%1.4%3.3%1.0%

Return on Capital

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
ROE9.6%9.6%7.5%9.3%4.5%20.6%10.8%12.1%1.9%4.5%1.2%
ROA7.2%7.2%5.5%6.7%3.4%14.9%7.2%8.2%1.3%3.3%0.9%
ROIC10.9%10.9%5.7%7.0%5.1%16.9%13.7%13.8%0.9%4.1%-2.0%
ROCE9.7%9.7%5.9%7.6%4.8%14.5%11.8%12.0%0.9%4.0%-2.0%

SOTK Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Debt / Equity——————0.090.070.100.120.15
Debt / EBITDA——————0.560.442.101.314.50
Net Debt / Equity—-0.37-0.29-0.13-0.23-0.35-0.28-0.30-0.26-0.12-0.17
Net Debt / EBITDA-2.94-2.94-3.04-1.20-2.81-2.08-1.71-1.82-5.48-1.27-5.28
Debt / FCF—-2.43-92.53-5.78-4.36-2.43-8.22-1.17—-0.61-1.63
Interest Coverage——————34.8337.735.5410.982.46

Net cash position: cash ($7M) exceeds total debt ($0)

SOTK Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Current Ratio3.463.463.462.833.043.903.092.723.534.085.41
Quick Ratio2.872.872.652.042.443.262.472.152.883.444.48
Cash Ratio2.252.252.171.792.102.882.031.892.173.013.38
Asset Turnover—0.790.880.850.750.970.901.040.950.930.91
Inventory Turnover2.642.642.411.892.283.593.003.383.844.223.90
Days Sales Outstanding—58.5041.7927.2539.6023.2743.2622.1043.9525.6943.19

SOTK Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Dividend Yield———————————
Payout Ratio———————————

Total Shareholder Return Metrics

MetricTTMFY 2026FY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017
Earnings Yield2.1%2.6%2.2%1.7%0.7%3.1%1.7%3.2%0.4%1.5%0.8%
FCF Yield3.6%4.5%0.1%0.4%0.9%2.5%0.6%7.3%—6.7%4.8%
Buyback Yield0.2%0.2%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Total Shareholder Yield0.2%0.2%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%0.0%
Shares Outstanding—$16M$16M$16M$16M$16M$16M$15M$15M$15M$15M

Key Metrics

Growth RegimeMixed
ProfitabilityModerate
Balance SheetHealthy
Cash FlowMixed
Top Statement Risk

Cyclical capital equipment demand

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q4)

Premium Pricing Reflects Niche Potential

Based on current market data, SOTK trades at a P/E of 48.36 and an EV/EBITDA of 30.57, suggesting that investors are pricing in significant future growth potential despite the company's recent low single-digit revenue expansion and the inherent volatility of its specialized industrial equipment business model.

The elevated PEG ratio of 5.38 indicates that the current valuation may be disconnected from near-term earnings growth, implying that the market is assigning a premium for the company's proprietary ultrasonic technology. Investors should monitor whether this valuation is supported by a successful pivot toward higher-margin, recurring revenue streams or if it remains vulnerable to a correction if growth fails to accelerate.

Capital Efficiency Remains Subdued Historically

As reported in financial statements, SOTK's ROIC has fluctuated between -0.1% and 4.3% over the last ten quarters, indicating that the company is currently struggling to generate returns on invested capital that consistently exceed the typical cost of capital for industrial technology firms of this size.

The modest ROE of 2.9% in 2026Q4 highlights that while the company is profitable, it has not yet achieved the scale necessary to drive superior returns for shareholders. This trend suggests that management's current capital allocation strategy may be prioritizing stability and liquidity over aggressive reinvestment into high-growth, high-return projects.

Working Capital Cycles Impede Liquidity

According to recent SEC filings, SOTK's cash conversion cycle remains extended, peaking at 201 days in 2026Q2, which reflects the significant time required to convert inventory into cash within the company's complex, project-based manufacturing environment for custom-engineered ultrasonic coating systems and integrated hardware solutions.

The high days inventory outstanding, which reached 172 days in 2026Q1, suggests that the company carries substantial work-in-process inventory, likely due to the long lead times associated with its multi-axis systems. This inefficiency warrants further investigation, as it ties up capital that could otherwise be deployed to enhance operational throughput or R&D initiatives.

Strong Liquidity Buffers Operational Lumps

Based on the provided quarterly data, SOTK maintains a robust liquidity position with a current ratio of 3.46 as of 2026Q4, providing a substantial safety net that protects the company against the inherent volatility of its project-based revenue cycles and potential delays in customer-funded equipment installations.

The company's ability to maintain a quick ratio above 2.0 throughout the observed period suggests that it is well-positioned to meet short-term obligations without relying on external financing. This conservative balance sheet management appears to be a deliberate strategy to mitigate the risks associated with the cyclical nature of the semiconductor and alternative energy end-markets.

Misapplication of Standard Industrial Multiples

The P/E ratio is frequently misapplied to SOTK, as it obscures the company's underlying transition from a transactional component seller to a project-based systems integrator, which creates significant quarterly earnings noise that does not accurately reflect the long-term value of its proprietary ultrasonic technology and installed base.

Investors should instead focus on EV/Sales or backlog-adjusted metrics to better capture the company's growth trajectory and the recurring revenue potential of its service and replacement parts business. Relying solely on earnings-based multiples may lead to an incomplete assessment of the company's competitive positioning in the high-precision coating market.

Download Financial Ratios Data

Includes 30+ ratios · 30 years · Updated daily

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SOTK — Frequently Asked Questions

Quick answers to the most common questions about buying SOTK stock.

What is Sono-Tek Corporation's P/E ratio?

Sono-Tek Corporation's current P/E ratio is 48.5x. The historical average is 46.9x. This places it at the 67th percentile of its historical range.

What is Sono-Tek Corporation's EV/EBITDA?

Sono-Tek Corporation's current EV/EBITDA is 30.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 28.2x.

What is Sono-Tek Corporation's ROE?

Sono-Tek Corporation's return on equity (ROE) is 9.6%. The historical average is 7.8%.

Is SOTK stock overvalued?

Based on historical data, Sono-Tek Corporation is trading at a P/E of 48.5x. This is at the 67th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What are Sono-Tek Corporation's profit margins?

Sono-Tek Corporation has 50.5% gross margin and 8.7% operating margin.