Head to Head Review: SharkNinja (NYSE:SN) vs. Sonos (NASDAQ:SONO)

by · The Markets Daily

Sonos (NASDAQ:SONOGet Free Report) and SharkNinja (NYSE:SNGet Free Report) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, dividends, valuation, earnings, profitability, risk and institutional ownership.

Valuation and Earnings

This table compares Sonos and SharkNinja”s top-line revenue, earnings per share and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Sonos$1.44 billion1.31-$61.14 million$0.4535.51
SharkNinja$6.40 billion3.85$701.37 million$4.9035.74

SharkNinja has higher revenue and earnings than Sonos. Sonos is trading at a lower price-to-earnings ratio than SharkNinja, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

85.8% of Sonos shares are owned by institutional investors. Comparatively, 34.8% of SharkNinja shares are owned by institutional investors. 1.3% of Sonos shares are owned by insiders. Comparatively, 40.8% of SharkNinja shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Sonos and SharkNinja’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Sonos3.82%19.10%8.67%
SharkNinja10.06%27.79%14.19%

Analyst Ratings

This is a summary of recent recommendations for Sonos and SharkNinja, as provided by MarketBeat.com.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Sonos03202.40
SharkNinja011202.92

Sonos presently has a consensus target price of $20.00, suggesting a potential upside of 25.16%. SharkNinja has a consensus target price of $188.59, suggesting a potential upside of 7.70%. Given Sonos’ higher probable upside, equities research analysts plainly believe Sonos is more favorable than SharkNinja.

Risk and Volatility

Sonos has a beta of 1.93, indicating that its share price is 93% more volatile than the S&P 500. Comparatively, SharkNinja has a beta of 1.24, indicating that its share price is 24% more volatile than the S&P 500.

Summary

SharkNinja beats Sonos on 11 of the 14 factors compared between the two stocks.

About Sonos

(Get Free Report)

Sonos, Inc., together with its subsidiaries, designs, develops, manufactures, and sells audio products and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It offers wireless, portable, and home theater speakers; components; and accessories. The company 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. The company was formerly known as Rincon Audio, Inc. and changed its name to Sonos, Inc. in May 2004. Sonos, Inc. was incorporated in 2002 and is headquartered in Santa Barbara, California.

About SharkNinja

(Get Free Report)

SharkNinja, Inc., a product design and technology company, engages in the provision of various solutions for consumers worldwide. It offers cleaning appliances, including corded and cordless vacuums, including handheld and robotic vacuums, as well as other floorcare products comprising steam mops, wet/dry cleaning floor products, and carpet extraction; cooking and beverage appliances, such as air fryers, multi-cookers, outdoor and countertop grills and ovens, coffee systems, carbonation, cookware, cutlery, kettles, toasters and bakeware; food preparation appliances comprising blenders, food processors, ice cream makers, and juicers; and beauty appliances, such as hair dryers and stylers, as well as home environment products comprising air purifiers and humidifiers. The company sells its products through traditional brick-and-mortar retail channels and e-commerce channels, distributors, and direct-to-consumer channels under the Shark and Ninja brands. SharkNinja, Inc. was incorporated in 2017 and is headquartered in Needham, Massachusetts.