Somnigroup International Inc · SGI · FY2026 Q2 · Calendar Q3 2026

Somnigroup Posts Record Q2 EPS but Lowers Full-Year Guidance

Record adjusted EPS and North American margin expansion show operating resilience, but the lower outlook and expected mid-single-digit industry decline make demand and execution the key tests.

Why did SGI fall 6.8% after beating EPS estimates in FY2026 Q2?

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Reported Before market openNYSEConsumer Cyclical $14.77B market cap
100quality score

Earnings scorecard

Reported versus consensus
Reported EPS $0.58 Consensus $0.57
EPS surprise +0.9% Reported versus consensus
Reported revenue $1.82B Consensus $1.88B
Revenue surprise -3.0% Reported versus consensus
Check the math in the surprise calculator >

Market reaction

prior-close to event-session close
Stock move -6.8% Event window
SPY move -0.2% Same window
Abnormal move -6.6% Stock minus SPY
Volume 2.5× Versus trailing sessions
Subsequent drift +7.2% Up to 20 sessions
SGISPY benchmark

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Transcript intelligence

What changed

Management lowered full-year adjusted EPS guidance to $2.85–$3.15 and said it expects the global bedding industry to decline in the mid-single digits. It cited a weaker-than-expected July 4th holiday and ongoing UK ERP implementation issues, alongside record Q2 adjusted EPS and stronger North American gross margins.

Guidance delta

Lowered full-year adjusted EPS guidance to $2.85–$3.15; management now expects the global bedding industry to decline in the mid-single digits.

Key takeaways

  • Q2 adjusted EPS was a record $0.58, up 9% year over year, while revenue of $1.8235 billion was below the $1.879229 billion estimate.
  • North American gross margin increased 680 basis points to 61.8%, with management citing synergies and pricing.
  • The outlook reflects weaker industry conditions and a soft July 4th holiday; management also identified UK ERP disruption.

Management priorities

  • Expand Kingsdown products across Mattress Firm stores and launch the upgraded Stearns & Foster collection.
  • Continue Mattress Firm store refresh and brand-wall initiatives.
  • Integrate the proposed Leggett & Platt combination and pursue additional synergies, subject to the transaction process.

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Earnings History

Estimate Beat Miss Match
SGI EPS earnings history estimate and actual scatter chart 6 reported fiscal quarters and 4 future estimate-only quarters. Q2 '25 estimate $0.51 Q2 '25 actual $0.53, beat Q3 '25 estimate $0.86 Q3 '25 actual $0.95, beat Q4 '25 estimate $0.72 Q4 '25 actual $0.72, match Q1 '26 estimate $0.57 Q1 '26 actual $0.59, beat Q2 '26 estimate $0.57 Q2 '26 actual $0.58, match Q3 '26 estimate $1.05 Q3 '26 actual $1.04, match Q4 '26 estimate $0.88 Q1 '27 estimate $0.73 Q2 '27 estimate $0.85 Q3 '27 estimate $1.28

Analyst Consensus ?

ConsensusBuy12 ratings
Bullish1191.7%
Neutral18.3%
Bearish00.0%

Analyst 52W Price Targets

$62.01Current
$80Low
$93.7Average
$106High

Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Nov 11, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
UBS Buy BuyMaintainNov 10, 2026
Morgan Stanley Overweight OverweightMaintainNov 10, 2026
Keybanc Overweight OverweightMaintainNov 10, 2026
Stephens & Co. Overweight Equal WeightUpgradeSep 14, 2026
Piper Sandler Overweight OverweightMaintainSep 3, 2026
Truist Securities Buy BuyMaintainAug 7, 2026
B of A Securities Buy BuyMaintainApr 14, 2026
Jefferies Buy HoldUpgradeMar 26, 2026
Goldman Sachs Neutral NeutralMaintainOct 13, 2025
Raymond James Strong Buy Strong BuyMaintainMar 11, 2025
William Blair Outperform Market PerformUpgradeFeb 5, 2025
Wedbush Outperform NeutralUpgradeFeb 3, 2025
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Named analyst price targets

Upside is calculated against the persisted current price $62.01. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
Raymond JamesBobby Griffin$80$62.8 +29.0%Oct 20, 2026
StephensJeff Lick$80$66.76 +29.0%Sep 14, 2026
Piper SandlerAnalyst unavailable$100$67.82 +61.3%Sep 3, 2026
UBSAnalyst unavailable$102$67.82 +64.5%Sep 3, 2026
Raymond JamesAnalyst unavailable$90$64.38 +45.1%Aug 7, 2026
UBSDan Silverstein$94$64.49 +51.6%Aug 7, 2026
Truist FinancialKeith Hughes$100$64.87 +61.3%Aug 6, 2026
Piper SandlerAnalyst unavailable$102$68.43 +64.5%Aug 4, 2026
Morgan StanleyPedro Gil$95$71.56 +53.2%Jul 27, 2026
UBSDan Silverstein$105$69.1 +69.3%May 8, 2026
Raymond JamesAnalyst unavailable$95$69.92 +53.2%May 8, 2026
UBSAnalyst unavailable$110$75.76 +77.4%Apr 30, 2026
Wolfe ResearchAnalyst unavailable$106$83.16 +70.9%Mar 5, 2026
UBSAnalyst unavailable$115$87.78 +85.5%Feb 18, 2026
JefferiesAnalyst unavailable$90$87.78 +45.1%Feb 17, 2026
UBSDan Silverstein$122$93.74 +96.7%Feb 12, 2026
Piper SandlerAnalyst unavailable$70$54.94 +12.9%Mar 13, 2025
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Company context

Snapshot as of publication

Somnigroup International Inc., operating as Somni, leads the field in advanced sleep technology and holistic wellness solutions. They engineer groundbreaking products specifically designed to elevate sleep quality. Their approach seamlessly integrates scientifically validated methods, intelligent technology, and data-driven insights to optimize sleep patterns and foster overall well-being.

Historical context

All SGI earnings

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Latest beats and misses

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Sources

  1. Earnings call transcript and parsed analysis · 2026-09-02T21:21:18.780805+00:00
  2. FN2 earnings calendar · 2026-09-11T01:23:15.000588+00:00
  3. Polygon adjusted daily market bars · 2026-11-10T00:30:45.308042+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-11-10T00:30:45.305026+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-11-10. For educational purposes only; not investment advice.