Sonos (NASDAQ:SONO) Cut to Hold at Zacks Research

Zacks Research lowered shares of Sonos (NASDAQ:SONO) from a strong-buy rating to a hold rating in a report issued on Monday,Zacks.com reports.

Several other research firms have also commented on SONO. Morgan Stanley set a $18.00 price target on shares of Sonos in a report on Wednesday, February 4th. Jefferies Financial Group raised their price target on shares of Sonos from $19.00 to $21.00 and gave the company a “buy” rating in a report on Monday, January 5th. Weiss Ratings restated a “sell (d-)” rating on shares of Sonos in a report on Thursday, January 22nd. Rosenblatt Securities restated a “buy” rating and issued a $21.00 price target on shares of Sonos in a report on Monday, February 2nd. Finally, Wall Street Zen upgraded shares of Sonos from a “hold” rating to a “buy” rating in a report on Saturday, February 7th. Two research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $20.00.

Sonos Stock Performance

NASDAQ SONO opened at $13.28 on Monday. Sonos has a one year low of $7.63 and a one year high of $19.82. The company’s 50 day moving average price is $14.56 and its 200 day moving average price is $16.17. The firm has a market capitalization of $1.61 billion, a price-to-earnings ratio of -78.12 and a beta of 1.99.

Sonos (NASDAQ:SONO) last posted its quarterly earnings results on Tuesday, February 3rd. The company reported $0.93 EPS for the quarter, beating the consensus estimate of $0.85 by $0.08. Sonos had a negative net margin of 1.22% and a positive return on equity of 0.82%. The firm had revenue of $545.66 million for the quarter, compared to analyst estimates of $536.93 million. During the same quarter last year, the firm posted $0.64 earnings per share. Sonos’s revenue for the quarter was down .9% compared to the same quarter last year. Sell-side analysts forecast that Sonos will post -0.37 EPS for the current fiscal year.

Insider Transactions at Sonos

In other news, major shareholder Coliseum Capital Management, L acquired 125,000 shares of the stock in a transaction on Tuesday, March 17th. The stock was bought at an average price of $13.57 per share, with a total value of $1,696,250.00. Following the completion of the transaction, the insider directly owned 18,070,762 shares of the company’s stock, valued at $245,220,240.34. The trade was a 0.70% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Insiders have purchased a total of 3,140,482 shares of company stock valued at $46,905,007 over the last three months. 1.25% of the stock is owned by company insiders.

Institutional Trading of Sonos

Several large investors have recently bought and sold shares of the company. Corient Private Wealth LLC grew its position in Sonos by 156.3% in the fourth quarter. Corient Private Wealth LLC now owns 41,424 shares of the company’s stock valued at $727,000 after acquiring an additional 25,261 shares in the last quarter. Invesco Ltd. grew its position in Sonos by 3.1% in the fourth quarter. Invesco Ltd. now owns 533,132 shares of the company’s stock valued at $9,362,000 after acquiring an additional 16,118 shares in the last quarter. Mercer Global Advisors Inc. ADV grew its position in shares of Sonos by 3.1% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 43,263 shares of the company’s stock worth $760,000 after buying an additional 1,318 shares in the last quarter. Summit Global Investments acquired a new stake in shares of Sonos during the fourth quarter worth approximately $1,255,000. Finally, XTX Topco Ltd acquired a new stake in shares of Sonos during the fourth quarter worth approximately $1,462,000. Institutional investors and hedge funds own 85.82% of the company’s stock.

Sonos Company Profile

Sonos, Inc is a consumer electronics company specializing in wireless home audio systems. The company’s core business revolves around designing, developing and manufacturing smart speakers and soundbars that deliver high-fidelity audio and seamless multi-room listening experiences. Sonos products connect via Wi-Fi or Bluetooth and integrate with popular streaming services, enabling users to control music and other audio content through a dedicated mobile app, voice assistants or traditional controls.

Sonos offers a diversified product lineup that includes compact speakers such as Sonos One and Sonos Roam, premium models like Sonos Five and Sonos Move, home theater solutions including Sonos Beam and Sonos Arc, as well as accessories such as the Sonos Sub and Sonos Amp.