Should I Buy SGI? SGI 2026 Analysis

Should You Buy Somnigroup International Inc (SGI) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

96.320

1 Day change

1.56%

52 Week Range

96.810

Analysis Updated At

2026/01/30

Should I buy Analysis is updated weekly. For real time "Should I Buy" analysis, please sign up to get free answers.

SGI is not a good buy right now for an impatient trader. The stock is in a short-term downswing (bearish momentum and price below key pivot), and while it’s oversold enough to bounce, there is no Intellectia buy signal confirming timing and the probabilistic trend model leans negative over the next month. A better “right now” buy setup would be a reversal back above ~92.13 (pivot) and/or stabilization above ~88.66 (S1).

Intellectia Proprietary Trading Signals

AI Stock Picker: No signal on given stock today.
SwingMax: No signal on given stock recently.

Technical Analysis

Price/Trend: SGI is trading at 88.255 (-2.12% regular session), sitting below the 92.131 pivot and slightly below S1 (88.662), which signals a near-term bearish bias with the next downside area around S2 (86.519). Momentum: MACD histogram at -0.597 and negatively expanding indicates strengthening bearish momentum. RSI: RSI_6 at 25.665 implies oversold conditions (bounce potential), but oversold can persist in downtrends. Moving Averages: Converging MAs suggest consolidation/transition, but current momentum favors bears until price reclaims the pivot. Key Levels: Resistance at 92.13 (pivot) then 95.60 (R1); Support at 88.66 (S1) then 86.52 (S2).

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Sentiment/Positioning: Put/Call ratios are very call-skewed (OI PCR 0.45; Volume PCR 0.02), indicating bullish/speculative positioning. Activity: Volume is extremely elevated (~632% of 30-day avg), suggesting a sentiment event or aggressive positioning. Volatility: 30D IV 74.81% versus historical vol 42.02% implies options are expensive, and the market is pricing larger moves than recent realized volatility. Takeaway: Options flow is bullish, but the elevated IV means buyers are paying up; this supports “possible bounce” but does not override the weak price trend.

Technical Summary

Sell

Buy

Positive Catalysts

and at least one major bullish analyst (UBS Buy/PT 110).

Neutral/Negative Catalysts

- Bearish momentum is strengthening (MACD histogram negative and expanding) and price is below pivot.
- Price is under S1 (88.662), leaving room for a quick drop toward S2 (86.519) if selling continues.
- No supportive near-term news catalysts in the past week; next major catalyst is earnings (2026-02-17), which is not immediate.
- Pattern-based projection shows -3.18% over the next month, implying downside drift risk.
- Slight gross margin decline YoY suggests some profitability pressure even with strong top-line growth.

Financial Performance

Latest quarter: 2025/Q3

Revenue: $2.1226B, +63.28% YoY (strong acceleration)
Net Income: $177.4M, +36.46% YoY
EPS: $0.83, +13.70% YoY
Gross Margin: 45.61%, -0.83 YoY (mild compression) Summary: Strong growth in sales and earnings, but margins softened slightly—fundamentals look constructive, yet the stock’s near-term tape is currently weak.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Recent changes (2025-11-07):

UBS: Raised PT to $110 (from $91), reiterated Buy.
Goldman Sachs: Raised PT to $92 (from $83), reiterated Neutral; notes recovery potential but wants clearer proof of sustained demand recovery. Wall Street view (pros/cons): Pros: Improving mattress demand setup, innovation, integration upside, international growth; at least one high-conviction Buy with a materially higher PT. Cons: Near-term demand visibility still questioned (Neutral stance), implying execution and cycle-risk in the next few quarters. Influential/Political activity: No recent congress trading data available; insider trend is neutral (no notable recent activity).

7 Analyst Rating

Wall Street analysts forecast SGI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SGI is 98.6 USD with a low forecast of 86 USD and a high forecast of 110 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

5 Buy

2 Hold

0 Sell

Moderate Buy

Current: 94.840

Low

Averages

98.6

High

110

Current: 94.840

Low

Averages

98.6

High

110

UBS

Buy

upgrade

$91 -> $110

AI Analysis

2025-11-07

Reason

UBS

Price Target

$91 -> $110

AI Analysis

2025-11-07

upgrade

Buy

Reason

UBS raised the firm's price target on Somnigroup to $110 from $91 and keeps a Buy rating on the shares.

Goldman Sachs

Neutral

maintain

$83 -> $92

2025-11-07

Reason

Goldman Sachs

Price Target

$83 -> $92

2025-11-07

maintain

Neutral

Reason

Goldman Sachs raised the firm's price target on Somnigroup to $92 from $83 and keeps a Neutral rating on the shares. As mattress demand begins to recover, Somnigroup is positioned for relative outperformance driven by brand innovation, the ongoing Mattress Firm integration, and solid international growth, the analyst tells investors in a research note. While the setup for growth and margin expansion appears strong, near-term caution remains warranted until there is clearer evidence of sustained industry demand recovery, Goldman says.

Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for SGI

Unlock Now

SGI Should I Buy

SGI Should I Buy

Should You Buy Somnigroup International Inc (SGI) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

People Also Watch