Comparing Sonos (SONO) & Its Competitors

Sonos (NASDAQ:SONO – Get Free Report) is one of 149 publicly-traded companies in the “Household Durables” industry, but how does it contrast to its peers? We will compare Sonos to related businesses based on the strength of its profitability, institutional ownership, valuation, analyst recommendations, risk, dividends and earnings.

Institutional & Insider Ownership

85.8% of Sonos shares are held by institutional investors. Comparatively, 53.7% of shares of all “Household Durables” companies are held by institutional investors. 1.3% of Sonos shares are held by insiders. Comparatively, 18.5% of shares of all “Household Durables” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

Sonos has a beta of 1.93, indicating that its stock price is 93% more volatile than the S&P 500. Comparatively, Sonos’ peers have a beta of 1.75, indicating that their average stock price is 75% more volatile than the S&P 500.

Profitability

This table compares Sonos and its peers’ net margins, return on equity and return on assets.

Valuation and Earnings

This table compares Sonos and its peers top-line revenue, earnings per share (EPS) and valuation.

Sonos’ peers have higher revenue and earnings than Sonos. Sonos is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a summary of current ratings and price targets for Sonos and its peers, as provided by MarketBeat.com.

Sonos currently has a consensus price target of $20.00, indicating a potential upside of 34.31%. As a group, “Household Durables” companies have a potential upside of 56.57%. Given Sonos’ peers higher probable upside, analysts clearly believe Sonos has less favorable growth aspects than its peers.

Summary

Sonos beats its peers on 7 of the 13 factors compared.

Sonos Company Profile

(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.