Sonos (NASDAQ:SONO) Rating Lowered to “Hold” at Wall Street Zen

Sonos (NASDAQ:SONO) was downgraded by research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued on Saturday.

Several other brokerages also recently commented on SONO. Morgan Stanley set a $17.00 target price on shares of Sonos and gave the company an “equal weight” rating in a research note on Thursday, November 6th. Jefferies Financial Group boosted 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. Rosenblatt Securities upped their price objective on shares of Sonos from $17.00 to $21.00 and gave the company a “buy” rating in a research report on Thursday, November 6th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Sonos in a research note on Wednesday, October 8th. Two equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $19.67.

Sonos Trading Down 0.5%

NASDAQ SONO opened at $15.85 on Friday. Sonos has a 12 month low of $7.63 and a 12 month high of $19.82. The stock has a 50-day simple moving average of $17.63 and a 200 day simple moving average of $15.34. The company has a market capitalization of $1.92 billion, a PE ratio of -30.48 and a beta of 2.02.

Sonos (NASDAQ:SONO) last posted its earnings results on Wednesday, November 5th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.05 by ($0.11). The company had revenue of $287.90 million for the quarter, compared to analyst estimates of $535.43 million. Sonos had a negative return on equity of 11.66% and a negative net margin of 4.24%.Sonos’s quarterly revenue was up 12.7% compared to the same quarter last year. During the same quarter in the previous year, the firm posted ($0.44) earnings per share. As a group, sell-side analysts predict that Sonos will post -0.37 earnings per share for the current fiscal year.

Insider Buying and Selling at Sonos

In related news, insider Edward P. Lazarus sold 12,000 shares of the company’s stock in a transaction on Thursday, December 4th. The shares were sold at an average price of $19.00, for a total value of $228,000.00. Following the completion of the transaction, the insider directly owned 423,219 shares of the company’s stock, valued at approximately $8,041,161. This represents a 2.76% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Thomas Conrad bought 62,325 shares of the stock in a transaction on Monday, November 17th. The shares were purchased at an average price of $16.17 per share, with a total value of $1,007,795.25. Following the acquisition, the chief executive officer owned 305,103 shares in the company, valued at approximately $4,933,515.51. This represents a 25.67% increase in their position. The SEC filing for this purchase provides additional information. Insiders own 1.80% of the company’s stock.

Institutional Investors Weigh In On Sonos

A number of hedge funds and other institutional investors have recently bought and sold shares of SONO. GAMMA Investing LLC lifted its stake in Sonos by 10.2% in the 4th quarter. GAMMA Investing LLC now owns 6,832 shares of the company’s stock valued at $120,000 after acquiring an additional 631 shares in the last quarter. Centaurus Financial Inc. raised its holdings in shares of Sonos by 6.6% in the third quarter. Centaurus Financial Inc. now owns 11,056 shares of the company’s stock valued at $175,000 after purchasing an additional 681 shares during the last quarter. Arizona State Retirement System boosted its holdings in Sonos by 2.3% during the third quarter. Arizona State Retirement System now owns 31,970 shares of the company’s stock worth $505,000 after purchasing an additional 706 shares during the last quarter. Thrivent Financial for Lutherans boosted its holdings in Sonos by 1.0% during the second quarter. Thrivent Financial for Lutherans now owns 88,302 shares of the company’s stock worth $955,000 after purchasing an additional 833 shares during the last quarter. Finally, Nisa Investment Advisors LLC grew its position in Sonos by 31.0% in the third quarter. Nisa Investment Advisors LLC now owns 4,195 shares of the company’s stock valued at $66,000 after purchasing an additional 992 shares in the last quarter. 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.