Sotera Health Up 30% This Past Year, so Why Did One Fund Sell $4 Million in Shares?
Key Points
Ananym Capital Management sold 217,684 shares of Sotera Health for an estimated $3.60 million in the fourth quarter.
Meanwhile, the quarter-end position value decreased by $1.15 million, reflecting both trading and share price movement.
The position at quarter's end stood at 1,192,833 shares valued at $21.04 million.
On February 17, 2026, Ananym Capital Management disclosed the sale of 217,684 shares of Sotera Health (NASDAQ:SHC), with an estimated transaction value of $3.60 million based on quarterly average pricing.
What happened
According to an SEC filing dated February 17, 2026, Ananym Capital Management reduced its position in Sotera Health by 217,684 shares. The estimated value of the sale, based on the filing quarter’s average price, was $3.60 million. The fund’s quarter-end position in the company shifted by $1.15 million, a figure that includes both trading activity and changes in Sotera Health’s share price during the period.
What else to know
- The reduction lowered Sotera Health’s stake to 8.65% of Ananym’s 13F reportable AUM as of December 31, 2025.
- Top holdings after the filing:
- NYSE:VAC: $42.51 million (17.5% of AUM)
- NASDAQ:HSIC: $41.35 million (17.0% of AUM)
- NASDAQ:BKR: $36.61 million (15.1% of AUM)
- NASDAQ:SCHL: $35.85 million (14.7% of AUM)
- NASDAQ:LKQ: $33.52 million (13.8% of AUM)
- As of February 17, 2026, shares of Sotera Health were priced at $17.09, up nearly 30% over the past year and outperforming the S&P 500 by 14.86 percentage points.
Company overview
| Metric | Value |
|---|---|
| Revenue (TTM) | $1.16 billion |
| Net income (TTM) | $77.95 million |
| Price (as of market close 2/17/26) | $17.09 |
| One-year price change | 26.59% |
Company snapshot
- Sotera Health provides sterilization services (gamma, electron beam, and EO processing), laboratory testing, and advisory services for medical device, pharmaceutical, and food industries.
- The company serves medical device manufacturers, pharmaceutical companies, and food/agricultural businesses across the United States, Canada, Europe, and international markets.
- It operates with a diversified portfolio of services to address regulatory and safety requirements for a global client base.
Sotera Health is a leading provider of sterilization and laboratory testing solutions, supporting critical sectors such as healthcare and pharmaceuticals. The company leverages its scale and technical expertise to serve companies requiring reliable sterilization and compliance services worldwide.
What this transaction means for investors
When a defensive healthcare services name still commands nearly 9% of a portfolio after a trim, it tells you conviction remains intact. In other words, the modest reduction here looks more like risk management after a strong run than a loss of faith in the business model.
Sotera just delivered its 20th consecutive year of revenue growth, with 2025 net revenues rising nearly 6% to $1.16 billion and adjusted EBITDA climbing 8% to $594 million. Net income nearly doubled year over year to $78 million, and management guided for another 5% to 6.5% revenue increase in 2026 alongside adjusted EBITDA growth of 5.5% to 7.0%.
To be clear, this is not a speculative biotech. Sotera operates mission-critical sterilization and testing infrastructure that medical device and pharma companies cannot easily replace. Cash flow improved, leverage fell to 3.2 times adjusted EBITDA, and liquidity strengthened.
Within a portfolio that also leans into cyclical and industrial names, keeping Sotera as a top allocation preserves exposure to steady, regulated demand. Long-term investors should focus less on a $3.6 million trade and more on a business compounding revenue for two decades in an industry where reliability is very important.
Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool recommends LKQ. The Motley Fool has a disclosure policy.