Somnigroup International (NYSE:SGI) versus M/I Homes (NYSE:MHO) Head-To-Head Review

M/I Homes (NYSE:MHO) and Somnigroup International (NYSE:SGI) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, dividends, valuation, analyst recommendations, institutional ownership, risk and profitability.

Earnings and Valuation

This table compares M/I Homes and Somnigroup International”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
M/I Homes	$4.26 billion	0.82	$402.94 million	$11.88	11.68
Somnigroup International	$7.62 billion	1.75	$384.10 million	$2.50	25.33

M/I Homes has higher earnings, but lower revenue than Somnigroup International. M/I Homes is trading at a lower price-to-earnings ratio than Somnigroup International, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

95.1% of M/I Homes shares are held by institutional investors. Comparatively, 99.9% of Somnigroup International shares are held by institutional investors. 3.6% of M/I Homes shares are held by insiders. Comparatively, 4.0% of Somnigroup International shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for M/I Homes and Somnigroup International, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
M/I Homes	1	2	2	2	2.71
Somnigroup International	0	2	8	0	2.80

M/I Homes currently has a consensus price target of $164.25, suggesting a potential upside of 18.36%. Somnigroup International has a consensus price target of $95.00, suggesting a potential upside of 50.05%. Given Somnigroup International’s stronger consensus rating and higher possible upside, analysts clearly believe Somnigroup International is more favorable than M/I Homes.

Risk and Volatility

M/I Homes has a beta of 1.61, indicating that its share price is 61% more volatile than the S&P 500. Comparatively, Somnigroup International has a beta of 1.19, indicating that its share price is 19% more volatile than the S&P 500.

Profitability

This table compares M/I Homes and Somnigroup International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
M/I Homes	7.44%	11.53%	7.65%
Somnigroup International	7.00%	19.32%	5.22%

Summary

Somnigroup International beats M/I Homes on 9 of the 15 factors compared between the two stocks.

About M/I Homes

M/I Homes, Inc., together with its subsidiaries, engages in the construction and sale of single-family residential homes in Ohio, Indiana, Illinois, Minnesota, Michigan, Florida, Texas, North Carolina, and Tennessee. The company operates through Northern Homebuilding, Southern Homebuilding, and Financial Services segments. It also designs, constructs, markets, and sells single-family homes and attached townhomes to first-time, millennial, move-up, empty-nester, multi-generational, and luxury homebuyers under the M/I Homes brand name. In addition, the company purchases undeveloped land to develop into developed lots for the construction of single-family homes, as well as for sale to others. Further, the company originates and sells mortgages; and serves as a title insurance agent by providing title insurance policies, examination, and closing services to purchasers of its homes. M/I Homes, Inc. was founded in 1976 and is based in Columbus, Ohio.

About Somnigroup International

Somnigroup International Inc., together with its subsidiaries, designs, manufactures, distributes, and retails bedding products in the United States and internationally. It provides mattresses, foundations and adjustable foundations, and adjustable bases, as well as other products comprising pillows, mattress covers, sheets, cushions, and various other accessories and comfort products under the Tempur-Pedic, Sealy, Stearns & Foster, Sealy, and Cocoon by Sealy brand names. The company sells its products through approximately company-owned stores, online, and call centers; and third party retailers, including third party distribution, hospitality, and healthcare. It also operates a portfolio of retail brands, including Tempur-Pedic retail stores, Sleep Outfitters, Sleep Solutions Outlet, Dreams, and SOVA; and licenses Sealy, Tempur, and Stearns & Foster brands, as well as technology and trademarks to other manufacturers. The company was formerly known as Tempur Sealy International, Inc. and changed its name to Somnigroup International Inc. in February 2025. Somnigroup International Inc. was founded in 1846 and is based in Lexington, Kentucky.