Bank of America Upgrades Sonos (NASDAQ:SONO) to “Buy”

Bank of America upgraded shares of Sonos (NASDAQ:SONO) from a neutral rating to a buy rating in a report published on Thursday, The Fly reports. They currently have $18.00 price objective on the stock, up from their prior price objective of $17.50.

Several other equities research analysts have also issued reports on the company. Raymond James lowered Sonos from a strong-buy rating to a market perform rating in a report on Wednesday, July 29th. BidaskClub downgraded Sonos from a buy rating to a hold rating in a research note on Wednesday, October 7th. Royal Bank of Canada raised their price objective on Sonos from $12.00 to $19.00 in a research note on Tuesday, July 14th. DA Davidson raised their price objective on Sonos from $12.00 to $16.00 in a research note on Tuesday, August 11th. Finally, Zacks Investment Research downgraded Sonos from a buy rating to a hold rating in a research note on Tuesday, August 11th. One equities research analyst has rated the stock with a sell rating, six have issued a hold rating and four have given a buy rating to the company. The company has an average rating of Hold and a consensus target price of $16.28.

Shares of Sonos stock opened at $14.83 on Thursday. The firm has a market cap of $1.64 billion, a price-to-earnings ratio of -21.80 and a beta of 1.65. The company has a debt-to-equity ratio of 0.08, a current ratio of 1.89 and a quick ratio of 1.55. Sonos has a 52-week low of $6.58 and a 52-week high of $17.83. The stock has a 50-day simple moving average of $14.16 and a 200-day simple moving average of $12.73.

Sonos (NASDAQ:SONO) last announced its quarterly earnings results on Wednesday, August 5th. The company reported ($0.24) earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.29) by $0.05. The business had revenue of $249.31 million during the quarter, compared to analyst estimates of $234.21 million. Sonos had a negative return on equity of 12.52% and a negative net margin of 5.32%. As a group, equities research analysts predict that Sonos will post -0.05 earnings per share for the current year.

In other news, CEO Patrick Spence sold 18,726 shares of the business’s stock in a transaction that occurred on Wednesday, September 23rd. The stock was sold at an average price of $15.03, for a total transaction of $281,451.78. Following the sale, the chief executive officer now directly owns 116,768 shares in the company, valued at $1,755,023.04. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Nicholas Millington sold 30,450 shares of the business’s stock in a transaction that occurred on Tuesday, July 21st. The shares were sold at an average price of $16.87, for a total value of $513,691.50. Following the sale, the insider now owns 56,405 shares in the company, valued at $951,552.35. The disclosure for this sale can be found here. Insiders own 11.20% of the company’s stock.

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Macquarie Group Ltd. bought a new stake in shares of Sonos during the second quarter valued at approximately $27,000. Pathstone Family Office LLC bought a new stake in shares of Sonos during the first quarter valued at approximately $29,000. Signaturefd LLC increased its position in shares of Sonos by 4,166.7% during the second quarter. Signaturefd LLC now owns 2,560 shares of the company’s stock valued at $37,000 after purchasing an additional 2,500 shares during the period. Creative Financial Designs Inc. ADV bought a new stake in shares of Sonos during the third quarter valued at approximately $41,000. Finally, Steward Partners Investment Advisory LLC increased its position in shares of Sonos by 375.9% during the second quarter. Steward Partners Investment Advisory LLC now owns 3,165 shares of the company’s stock valued at $46,000 after purchasing an additional 2,500 shares during the period. Institutional investors and hedge funds own 66.47% of the company’s stock.

About Sonos

Sonos, Inc, together with its subsidiaries, designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company provides wireless speakers, home theater speakers, components, and accessories. It 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 sonos.com.

See Also: Earnings Per Share (EPS)

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Analyst Recommendations for Sonos (NASDAQ:SONO)

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