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SONO

Sonos NasdaqGS:SONO Stock Report

Last Price

US$20.77

Market Cap

US$2.7b

7D

-8.3%

1Y

-40.6%

Updated

21 May, 2022

Data

Company Financials +
SONO fundamental analysis
Snowflake Score
Valuation3/6
Future Growth5/6
Past Performance4/6
Financial Health6/6
Dividends0/6

SONO Stock Overview

Sonos, Inc., together with its subsidiaries, designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.

Sonos Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sonos
Historical stock prices
Current Share PriceUS$20.77
52 Week HighUS$42.57
52 Week LowUS$18.92
Beta1.86
1 Month Change-18.23%
3 Month Change-22.85%
1 Year Change-40.64%
3 Year Change99.90%
5 Year Changen/a
Change since IPO4.32%

Recent News & Updates

May 12
Take Care Before Jumping Onto Sonos, Inc. (NASDAQ:SONO) Even Though It's 30% Cheaper

Take Care Before Jumping Onto Sonos, Inc. (NASDAQ:SONO) Even Though It's 30% Cheaper

Sonos, Inc. ( NASDAQ:SONO ) shareholders that were waiting for something to happen have been dealt a blow with a 30...

Shareholder Returns

SONOUS Consumer DurablesUS Market
7D-8.3%-2.8%-2.7%
1Y-40.6%-27.5%-12.9%

Return vs Industry: SONO underperformed the US Consumer Durables industry which returned -27.5% over the past year.

Return vs Market: SONO underperformed the US Market which returned -12.9% over the past year.

Price Volatility

Is SONO's price volatile compared to industry and market?
SONO volatility
SONO Average Weekly Movement10.1%
Consumer Durables Industry Average Movement7.8%
Market Average Movement7.9%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.0%

Stable Share Price: SONO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: SONO's weekly volatility (10%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20021,525Patrick Spencehttps://www.sonos.com

Sonos, Inc., together with its subsidiaries, designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company provides wireless speakers, home theater speakers, components, and accessories. It offers its products through approximately 10,000 third-party retail stores, including custom installers of home audio systems; and e-commerce retailers, as well as through its Website sonos.com.

Sonos Fundamentals Summary

How do Sonos's earnings and revenue compare to its market cap?
SONO fundamental statistics
Market CapUS$2.66b
Earnings (TTM)US$141.13m
Revenue (TTM)US$1.80b

18.8x

P/E Ratio

1.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SONO income statement (TTM)
RevenueUS$1.80b
Cost of RevenueUS$961.26m
Gross ProfitUS$841.21m
Other ExpensesUS$700.08m
EarningsUS$141.13m

Last Reported Earnings

Apr 02, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.10
Gross Margin46.67%
Net Profit Margin7.83%
Debt/Equity Ratio0%

How did SONO perform over the long term?

See historical performance and comparison

Valuation

Is Sonos undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: SONO ($20.77) is trading below our estimate of fair value ($82.09)

Significantly Below Fair Value: SONO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SONO is poor value based on its PE Ratio (18.8x) compared to the US Consumer Durables industry average (8.1x).

PE vs Market: SONO is poor value based on its PE Ratio (18.8x) compared to the US market (15.3x).


Price to Earnings Growth Ratio

PEG Ratio: SONO is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: SONO is overvalued based on its PB Ratio (4x) compared to the US Consumer Durables industry average (1.2x).


Future Growth

How is Sonos forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


24.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SONO's forecast earnings growth (24% per year) is above the savings rate (1.9%).

Earnings vs Market: SONO's earnings (24% per year) are forecast to grow faster than the US market (12.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SONO's revenue (10.8% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: SONO's revenue (10.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SONO's Return on Equity is forecast to be high in 3 years time (36.4%)


Past Performance

How has Sonos performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


72.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SONO has high quality earnings.

Growing Profit Margin: SONO's current net profit margins (7.8%) are higher than last year (7%).


Past Earnings Growth Analysis

Earnings Trend: SONO has become profitable over the past 5 years, growing earnings by 72.3% per year.

Accelerating Growth: SONO's earnings growth over the past year (28.1%) is below its 5-year average (72.3% per year).

Earnings vs Industry: SONO earnings growth over the past year (28.1%) underperformed the Consumer Durables industry 45.1%.


Return on Equity

High ROE: SONO's Return on Equity (21%) is considered high.


Financial Health

How is Sonos's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: SONO's short term assets ($1.0B) exceed its short term liabilities ($463.7M).

Long Term Liabilities: SONO's short term assets ($1.0B) exceed its long term liabilities ($90.8M).


Debt to Equity History and Analysis

Debt Level: SONO is debt free.

Reducing Debt: SONO has no debt compared to 5 years ago when its debt to equity ratio was 42.2%.

Debt Coverage: SONO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: SONO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Sonos's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate SONO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SONO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SONO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SONO's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as SONO has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.0yrs

Average management tenure


CEO

Patrick Spence (46 yo)

5.83yrs

Tenure

US$5,482,555

Compensation

Mr. Patrick Spence has been Chief Executive Officer and Director at Sonos, Inc. since January 2017 and has been its President since July 2016. He served as Managing Director of Global Sales & Regional Mark...


CEO Compensation Analysis

Compensation vs Market: Patrick's total compensation ($USD5.48M) is about average for companies of similar size in the US market ($USD6.86M).

Compensation vs Earnings: Patrick's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: SONO's management team is seasoned and experienced (5 years average tenure).


Board Members

Experienced Board: SONO's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.6%.


Top Shareholders

Company Information

Sonos, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Sonos, Inc.
  • Ticker: SONO
  • Exchange: NasdaqGS
  • Founded: 2002
  • Industry: Consumer Electronics
  • Sector: Consumer Durables
  • Implied Market Cap: US$2.656b
  • Shares outstanding: 127.89m
  • Website: https://www.sonos.com

Number of Employees


Location

  • Sonos, Inc.
  • 614 Chapala Street
  • Santa Barbara
  • California
  • 93103
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/21 00:00
End of Day Share Price2022/05/20 00:00
Earnings2022/04/02
Annual Earnings2021/10/02


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.