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SOFO

Sonic Foundry NasdaqCM:SOFO Stock Report

Last Price

US$1.27

Market Cap

US$13.8m

7D

-9.9%

1Y

-66.6%

Updated

27 Sep, 2022

Data

Company Financials +
SOFO fundamental analysis
Snowflake Score
Valuation5/6
Future Growth5/6
Past Performance0/6
Financial Health4/6
Dividends0/6

SOFO Stock Overview

Sonic Foundry, Inc. provides video enterprise solutions and services for the digital-first, distance learning, and corporate communication markets in the United States, Europe, the Middle East, Asia, and internationally.

Sonic Foundry Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sonic Foundry
Historical stock prices
Current Share PriceUS$1.27
52 Week HighUS$4.23
52 Week LowUS$1.25
Beta0.028
1 Month Change-14.13%
3 Month Change-26.16%
1 Year Change-66.58%
3 Year Change13.39%
5 Year Change-61.04%
Change since IPO-97.29%

Recent News & Updates

May 11
Some Sonic Foundry, Inc. (NASDAQ:SOFO) Shareholders Look For Exit As Shares Take 34% Pounding

Some Sonic Foundry, Inc. (NASDAQ:SOFO) Shareholders Look For Exit As Shares Take 34% Pounding

To the annoyance of some shareholders, Sonic Foundry, Inc. ( NASDAQ:SOFO ) shares are down a considerable 34% in the...

Shareholder Returns

SOFOUS SoftwareUS Market
7D-9.9%-3.2%-5.8%
1Y-66.6%-31.6%-22.1%

Return vs Industry: SOFO underperformed the US Software industry which returned -34.3% over the past year.

Return vs Market: SOFO underperformed the US Market which returned -23.7% over the past year.

Price Volatility

Is SOFO's price volatile compared to industry and market?
SOFO volatility
SOFO Average Weekly Movement9.1%
Software Industry Average Movement8.8%
Market Average Movement6.9%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.8%

Stable Share Price: SOFO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: SOFO's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1991180Joe Mozdenhttps://sonicfoundry.com

Sonic Foundry, Inc. provides video enterprise solutions and services for the digital-first, distance learning, and corporate communication markets in the United States, Europe, the Middle East, Asia, and internationally. The company offers Mediasite Video platform that automates to capture, management, delivery, and search of live and on-demand streaming video; and Mediasite Cloud, a Software as a Service solution to host and manage customers’ content. It also provides Mediasite Video Capture solutions, including Mediasite Recorder and Recorder Pro that are built-in room appliances used in schedule-based capture and advanced audio/video integration; Mediasite Mobile Recorders, a portable recording devices used to capture and stream broadcast-quality video; Mediasite Mosaic that allows instructors, employees, and students to create videos, screencasts, and slideshows from their computers or mobile devices; and Mediasite Catch, a video capture software solution for classrooms.

Sonic Foundry Fundamentals Summary

How do Sonic Foundry's earnings and revenue compare to its market cap?
SOFO fundamental statistics
Market CapUS$13.81m
Earnings (TTM)-US$4.82m
Revenue (TTM)US$29.59m

0.5x

P/S Ratio

-2.9x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SOFO income statement (TTM)
RevenueUS$29.59m
Cost of RevenueUS$8.78m
Gross ProfitUS$20.81m
Other ExpensesUS$25.64m
Earnings-US$4.82m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.44
Gross Margin70.34%
Net Profit Margin-16.31%
Debt/Equity Ratio8.3%

How did SOFO perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is SOFO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SOFO?

Other financial metrics that can be useful for relative valuation.

SOFO key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.4x
Enterprise Value/EBITDA-3.3x
PEG Ration/a

Price to Sales Ratio vs Peers

How does SOFO's PS Ratio compare to its peers?

SOFO PS Ratio vs Peers
The above table shows the PS ratio for SOFO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average20.5x
QUMU Qumu
0.5x5.1%US$10.9m
WDLF Decentral Life
56.7xn/aUS$12.6m
LGIQ Logiq
0.4x6.1%US$12.5m
MAPP.F ProStar Holdings
24.3xn/aUS$17.9m
SOFO Sonic Foundry
0.5x26.4%US$13.8m

Price-To-Sales vs Peers: SOFO is good value based on its Price-To-Sales Ratio (0.5x) compared to the peer average (20.5x).


Price to Earnings Ratio vs Industry

How does SOFO's PE Ratio compare vs other companies in the US Software Industry?

Price-To-Sales vs Industry: SOFO is good value based on its Price-To-Sales Ratio (0.5x) compared to the US Software industry average (4.2x)


Price to Sales Ratio vs Fair Ratio

What is SOFO's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SOFO PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.5x
Fair PS Ratio2.3x

Price-To-Sales vs Fair Ratio: SOFO is good value based on its Price-To-Sales Ratio (0.5x) compared to the estimated Fair Price-To-Sales Ratio (2.3x).


Share Price vs Fair Value

What is the Fair Price of SOFO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SOFO ($1.27) is trading below our estimate of fair value ($3.46)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is Sonic Foundry forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

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


80.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOFO is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: SOFO is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SOFO is expected to become profitable in the next 3 years.

Revenue vs Market: SOFO's revenue (26.4% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: SOFO's revenue (26.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if SOFO's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Sonic Foundry performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


40.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SOFO is currently unprofitable.

Growing Profit Margin: SOFO is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SOFO is unprofitable, but has reduced losses over the past 5 years at a rate of 40.1% per year.

Accelerating Growth: Unable to compare SOFO's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SOFO is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (18.3%).


Return on Equity

High ROE: SOFO has a negative Return on Equity (-78.13%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Sonic Foundry's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: SOFO's short term assets ($12.5M) exceed its short term liabilities ($12.3M).

Long Term Liabilities: SOFO's short term assets ($12.5M) exceed its long term liabilities ($2.8M).


Debt to Equity History and Analysis

Debt Level: SOFO has more cash than its total debt.

Reducing Debt: SOFO's debt to equity ratio has reduced from 87.1% to 8.3% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if SOFO has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if SOFO has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


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Dividend

What is Sonic Foundry 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

  • Cash Flow Coverage

Dividend Yield vs Market

Sonic Foundry Dividend Yield vs Market
How does Sonic Foundry dividend yield compare to the market?
SegmentDividend Yield
Company (Sonic Foundry)n/a
Market Bottom 25% (US)1.7%
Market Top 25% (US)4.7%
Industry Average (Software)1.1%
Analyst forecast in 3 Years (Sonic Foundry)n/a

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

High Dividend: Unable to evaluate SOFO'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 SOFO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SOFO'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 SOFO has not reported any payouts.


Discover strong dividend paying companies

Management

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

1.7yrs

Average management tenure


CEO

Joe Mozden (59 yo)

1.67yrs

Tenure

US$763,693

Compensation

Mr. Joseph P. Mozden, Jr., also known as Joe, has been the Chief Executive Officer of Sonic Foundry, Inc. since September 14, 2020 and serves as its Director since January 2021. He served as Vice-President...


CEO Compensation Analysis

Joe Mozden's Compensation vs Sonic Foundry Earnings
How has Joe Mozden's remuneration changed compared to Sonic Foundry's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

-US$5m

Mar 31 2022n/an/a

-US$676k

Dec 31 2021n/an/a

US$917k

Sep 30 2021US$764kUS$306k

US$3m

Jun 30 2021n/an/a

US$4m

Mar 31 2021n/an/a

US$1m

Dec 31 2020n/an/a

US$1m

Sep 30 2020US$522kn/a

-US$179k

Compensation vs Market: Joe's total compensation ($USD763.69K) is about average for companies of similar size in the US market ($USD787.63K).

Compensation vs Earnings: Joe's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: SOFO's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: SOFO's board of directors are considered experienced (5.9 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SOFO insiders have bought and sold the same number of shares in the past 3 months.


Recent Insider Transactions

NasdaqCM:SOFO Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
17 Aug 22BuyUS$18,000Joseph MozdenIndividual12,500US$1.44
17 Aug 22BuyUS$18,000Kenneth MinorIndividual12,500US$1.44
17 Aug 22SellUS$36,000Brian WiegandIndividual25,000US$1.44
14 Mar 22SellUS$7,920Nelson MurphyIndividual2,200US$3.60

Ownership Breakdown

What is the ownership structure of SOFO?
Owner TypeNumber of SharesOwnership Percentage
Institutions711,3516.5%
General Public4,881,69844.9%
Individual Insiders5,284,71748.6%

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 20.3%.


Top Shareholders

Top 20 shareholders own 55.12% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
33.58%
Mark Burish
3,652,387$4.6m0.25%no data
7.44%
Andrew Burish
809,371$1.0m0%no data
5.4%
Ron Busslinger
587,210$745.8k0%no data
3.73%
Roumell Asset Management, LLC
405,405$514.9k0%1.02%
1.47%
WealthTrust Axiom, LLC
160,434$203.8k0%0.08%
0.76%
Frederick Kopko
82,481$104.8k4.03%no data
0.73%
RBC Dominion Securities Inc., Asset Management Arm
79,606$101.1k0%no data
0.43%
Nelson Murphy
47,308$60.1k0%no data
0.38%
Brian Wiegand
41,090$52.2k-37.83%no data
0.27%
Kenneth Minor
29,020$36.9k75.67%no data
0.26%
Joseph Mozden
28,200$35.8k79.62%no data
0.25%
Manatuck Hill Partners, LLC
27,000$34.3k0%0.02%
0.17%
Salem Investment Counselors, Inc.
18,020$22.9k0%no data
0.069%
Tower Research Capital LLC
7,549$9.6k8.14%no data
0.051%
Taha Jangda
5,575$7.1k134.15%no data
0.048%
UBS Asset Management
5,263$6.7k77.68%no data
0.042%
Byrne Asset Management
4,600$5.8k0%no data
0.032%
Harbour Investments Inc.
3,434$4.4k0%no data
0.019%
Robert Lipps
2,075$2.6k0%no data
0.00037%
Wells Fargo & Company, Private Banking and Investment Banking Arm
40$50.853.85%no data

Company Information

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


Key Information

  • Name: Sonic Foundry, Inc.
  • Ticker: SOFO
  • Exchange: NasdaqCM
  • Founded: 1991
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: US$13.815m
  • Shares outstanding: 10.88m
  • Website: https://sonicfoundry.com

Number of Employees


Location

  • Sonic Foundry, Inc.
  • 222 West Washington Avenue
  • Madison
  • Wisconsin
  • 53703
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SOFONasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDApr 1998

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/27 00:00
End of Day Share Price2022/09/27 00:00
Earnings2022/06/30
Annual Earnings2021/09/30


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.