Sonos (NASDAQ:SONO) Rating Lowered to “Hold” at Zacks Research

Sonos (NASDAQ:SONO) was downgraded by equities researchers at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued on Monday,Zacks.com reports.

SONO has been the subject of a number of other research reports. Morgan Stanley set a $18.00 price objective on shares of Sonos in a report on Wednesday, February 4th. Jefferies Financial Group upped their price target on shares of Sonos from $19.00 to $21.00 and gave the stock a “buy” rating in a research report on Monday, January 5th. Rosenblatt Securities reaffirmed a “buy” rating and set a $21.00 price target on shares of Sonos in a research report on Monday, February 2nd. Wall Street Zen raised shares of Sonos from a “hold” rating to a “buy” rating in a research report on Saturday, February 7th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Sonos in a research report on Thursday, January 22nd. Two research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $20.00.

Sonos Trading Down 1.4%

NASDAQ:SONO opened at $13.40 on Monday. Sonos has a 1 year low of $7.63 and a 1 year high of $19.82. The firm’s fifty day simple moving average is $14.59 and its 200 day simple moving average is $16.19. The firm has a market capitalization of $1.62 billion, a PE ratio of -78.82 and a beta of 1.99.

Sonos (NASDAQ:SONO) last posted its earnings results on Tuesday, February 3rd. The company reported $0.93 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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 business had revenue of $545.66 million for the quarter, compared to analyst estimates of $536.93 million. During the same period last year, the business posted $0.64 EPS. Sonos’s revenue was down .9% compared to the same quarter last year. As a group, analysts anticipate that Sonos will post -0.37 EPS for the current fiscal year.

Insider Transactions at Sonos

In other Sonos news, major shareholder Coliseum Capital Management, L acquired 494,719 shares of the company’s stock in a transaction that occurred on Wednesday, February 4th. The stock was acquired at an average price of $15.50 per share, for a total transaction of $7,668,144.50. Following the acquisition, the insider directly owned 15,424,999 shares in the company, valued at $239,087,484.50. This represents a 3.31% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. In the last three months, insiders have purchased 3,140,482 shares of company stock valued at $46,905,007. 1.25% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in SONO. GAMMA Investing LLC grew its position in shares of Sonos by 10.2% during the 4th quarter. GAMMA Investing LLC now owns 6,832 shares of the company’s stock worth $120,000 after buying an additional 631 shares during the period. Centaurus Financial Inc. grew its position in Sonos by 6.6% in the 3rd 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 period. Arizona State Retirement System grew its position in Sonos by 2.3% in the 3rd quarter. Arizona State Retirement System now owns 31,970 shares of the company’s stock valued at $505,000 after purchasing an additional 706 shares during the period. State of Wisconsin Investment Board grew its position in Sonos by 1.7% in the 4th quarter. State of Wisconsin Investment Board now owns 43,982 shares of the company’s stock valued at $772,000 after purchasing an additional 724 shares during the period. Finally, Intech Investment Management LLC grew its position in Sonos by 0.7% in the 4th quarter. Intech Investment Management LLC now owns 117,718 shares of the company’s stock valued at $2,067,000 after purchasing an additional 776 shares during the period. Institutional investors 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.