Sonos (NASDAQ:SONO) Trading Down 4.4% – Should You Sell?

Shares of Sonos, Inc. (NASDAQ:SONO) were down 4.4% during mid-day trading on Monday . The company traded as low as $12.30 and last traded at $12.48. Approximately 523,905 shares changed hands during trading, a decline of 73% from the average daily volume of 1,920,067 shares. The stock had previously closed at $13.05.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on SONO shares. Morgan Stanley cut Sonos from an “overweight” rating to an “underweight” rating and dropped their target price for the stock from $25.00 to $11.00 in a report on Thursday, September 26th. Craig Hallum downgraded shares of Sonos from a “buy” rating to a “hold” rating and dropped their target price for the stock from $25.00 to $10.00 in a report on Thursday, August 8th.

Sonos Trading Up 0.4 %

The firm has a market cap of $1.57 billion, a P/E ratio of -39.09 and a beta of 2.04. The company’s fifty day moving average price is $12.62 and its two-hundred day moving average price is $13.65.

Sonos (NASDAQ:SONO) last released its quarterly earnings results on Wednesday, November 13th. The company reported ($0.44) EPS for the quarter, missing analysts’ consensus estimates of ($0.22) by ($0.22). The business had revenue of $255.38 million for the quarter, compared to the consensus estimate of $247.92 million. Sonos had a negative return on equity of 4.97% and a negative net margin of 2.51%. The firm’s revenue was down 16.3% on a year-over-year basis. During the same quarter last year, the company earned ($0.21) earnings per share. On average, analysts predict that Sonos, Inc. will post -0.3 EPS for the current fiscal year.

Hedge Funds Weigh In On Sonos

A number of large investors have recently modified their holdings of the stock. Pacer Advisors Inc. lifted its stake in shares of Sonos by 24.8% during the second quarter. Pacer Advisors Inc. now owns 3,519,368 shares of the company’s stock valued at $51,946,000 after acquiring an additional 699,975 shares during the period. Deroy & Devereaux Private Investment Counsel Inc. raised its holdings in Sonos by 67.9% during the 3rd quarter. Deroy & Devereaux Private Investment Counsel Inc. now owns 1,655,942 shares of the company’s stock worth $20,352,000 after purchasing an additional 669,658 shares during the last quarter. Stadium Capital Management LLC acquired a new position in Sonos during the 3rd quarter valued at about $8,105,000. Wellington Management Group LLP boosted its stake in shares of Sonos by 23.4% in the 3rd quarter. Wellington Management Group LLP now owns 3,303,017 shares of the company’s stock valued at $40,594,000 after purchasing an additional 626,172 shares during the last quarter. Finally, LMR Partners LLP bought a new stake in shares of Sonos during the third quarter worth approximately $7,412,000. 85.82% of the stock is currently owned by institutional investors and hedge funds.

Sonos Company Profile

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.