Loading...

We've got a brand new version of Simply Wall St! Try it out

Sonos

DB:8SO
Snowflake Description

High growth potential with excellent balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
8SO
DB
$2B
Market Cap
  1. Home
  2. DE
  3. Consumer Durables
Company description

Sonos, Inc., together with its subsidiaries, designs, develops, manufactures, and sells multi-room audio products in the United States and internationally. The last earnings update was 98 days ago. More info.


Add to Portfolio Compare Print
  • Sonos has significant price volatility in the past 3 months.
8SO Share Price and Events
7 Day Returns
1.4%
DB:8SO
-1.1%
DE Consumer Durables
0.1%
DE Market
1 Year Returns
12.4%
DB:8SO
2.9%
DE Consumer Durables
8.8%
DE Market
8SO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Sonos (8SO) 1.4% 13.8% 31.4% 12.4% - -
DE Consumer Durables -1.1% 3.5% 4.1% 2.9% -5.9% 11.6%
DE Market 0.1% 5.9% 15% 8.8% 14.5% 21%
1 Year Return vs Industry and Market
  • 8SO outperformed the Consumer Durables industry which returned 2.9% over the past year.
  • 8SO outperformed the Market in Germany which returned 8.8% over the past year.
Price Volatility
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Sonos undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Sonos to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Sonos.

DB:8SO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:8SO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Consumer Durables Unlevered Beta Simply Wall St/ S&P Global 0.81
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.815 (1 + (1- 21%) (2.52%))
0.887
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.89
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.887 * 5.96%)
5.51%

Discounted Cash Flow Calculation for DB:8SO using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Sonos is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:8SO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 5.51%)
2020 75.14 Analyst x1 71.21
2021 94.37 Analyst x1 84.77
2022 118.76 Analyst x1 101.10
2023 148.99 Analyst x1 120.21
2024 177.71 Analyst x1 135.89
2025 197.91 Est @ 11.37% 143.44
2026 213.80 Est @ 8.03% 146.85
2027 225.96 Est @ 5.69% 147.10
2028 235.11 Est @ 4.05% 145.06
2029 241.93 Est @ 2.9% 141.47
Present value of next 10 years cash flows $1,237.00
DB:8SO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $241.93 × (1 + 0.23%) ÷ (5.51% – 0.23%)
$4,588.83
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $4,588.83 ÷ (1 + 5.51%)10
$2,683.34
DB:8SO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,237.00 + $2,683.34
$3,920.34
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $3,920.34 / 106.32
$36.87
DB:8SO Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:8SO represents 0.91246x of NasdaqGS:SONO
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.91246x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 36.87 x 0.91246
€33.64
Value per share (EUR) From above. €33.64
Current discount Discount to share price of €13.55
= -1 x (€13.55 - €33.64) / €33.64
59.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Sonos is available for.
Intrinsic value
>50%
Share price is €13.55 vs Future cash flow value of €33.64
Current Discount Checks
For Sonos to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Sonos's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Sonos's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Sonos's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Sonos's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:8SO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-29) in USD $0.24
NasdaqGS:SONO Share Price ** NasdaqGS (2019-11-14) in USD $14.85
Germany Consumer Durables Industry PE Ratio Median Figure of 8 Publicly-Listed Consumer Durables Companies 17.05x
Germany Market PE Ratio Median Figure of 402 Publicly-Listed Companies 19.83x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Sonos.

DB:8SO PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:SONO Share Price ÷ EPS (both in USD)

= 14.85 ÷ 0.24

63.02x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sonos is overvalued based on earnings compared to the DE Consumer Durables industry average.
  • Sonos is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Sonos's expected growth come at a high price?
Raw Data
DB:8SO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 63.02x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
42.9%per year
Germany Consumer Durables Industry PEG Ratio Median Figure of 5 Publicly-Listed Consumer Durables Companies 0.97x
Germany Market PEG Ratio Median Figure of 255 Publicly-Listed Companies 1.36x

*Line of best fit is calculated by linear regression .

DB:8SO PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 63.02x ÷ 42.9%

1.47x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sonos is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Sonos's assets?
Raw Data
DB:8SO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-29) in USD $2.71
NasdaqGS:SONO Share Price * NasdaqGS (2019-11-14) in USD $14.85
Germany Consumer Durables Industry PB Ratio Median Figure of 12 Publicly-Listed Consumer Durables Companies 1.69x
Germany Market PB Ratio Median Figure of 577 Publicly-Listed Companies 1.83x
DB:8SO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:SONO Share Price ÷ Book Value per Share (both in USD)

= 14.85 ÷ 2.71

5.47x

* Primary Listing of Sonos.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sonos is overvalued based on assets compared to the DE Consumer Durables industry average.
X
Value checks
We assess Sonos's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Durables industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Durables industry average (and greater than 0)? (1 check)
  5. Sonos has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Sonos expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
42.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Sonos expected to grow at an attractive rate?
  • Sonos's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Sonos's earnings growth is expected to exceed the Germany market average.
  • Sonos's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:8SO Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:8SO Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 42.9%
DB:8SO Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 8.3%
Germany Consumer Durables Industry Earnings Growth Rate Market Cap Weighted Average 15%
Germany Consumer Durables Industry Revenue Growth Rate Market Cap Weighted Average 4.4%
Germany Market Earnings Growth Rate Market Cap Weighted Average 12.7%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:8SO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:8SO Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-09-30 1,880 205 114 2
2023-09-30 1,756 176 87 2
2022-09-30 1,641 145 57 2
2021-09-30 1,518 121 31 4
2020-09-30 1,375 101 16 7
2019-11-14
2019-09-30 1,256 81 1 7
DB:8SO Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-06-29 1,240 126 23
2019-03-30 1,188 91 19
2018-12-29 1,164 55 21
2018-09-29 1,137 31 -16
2018-06-30 1,078 34 -28
2018-03-31 1,093 8 -16
2017-12-30 1,089 55 -3
2017-09-30 993 64 -14
2016-10-01 901 43 -38

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Sonos's earnings are expected to grow significantly at over 20% yearly.
  • Sonos's revenue is expected to grow by 8.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:8SO Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from Sonos Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:8SO Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-09-30 1.06 1.06 1.06 1.00
2023-09-30 0.81 0.81 0.81 1.00
2022-09-30 0.53 0.53 0.53 1.00
2021-09-30 0.27 0.31 0.22 2.00
2020-09-30 0.17 0.26 0.10 4.00
2019-11-14
2019-09-30 0.01 0.03 0.00 3.00
DB:8SO Past Financials Data
Date (Data in USD Millions) EPS *
2019-06-29 0.24
2019-03-30 0.22
2018-12-29 0.28
2018-09-29 -0.24
2018-06-30 -0.48
2018-03-31 -0.27
2017-12-30 -0.05
2017-09-30 -0.25
2016-10-01 -0.71

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Sonos is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Sonos's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Sonos has a total score of 5/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Sonos performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Sonos's growth in the last year to its industry (Consumer Durables).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Sonos has delivered over 20% year on year earnings growth in the past 5 years.
  • Sonos has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Sonos has become profitable in the last year making it difficult to compare the DE Consumer Durables industry average.
Earnings and Revenue History
Sonos's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Sonos Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:8SO Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-29 1,239.60 23.11 329.19 159.43
2019-03-30 1,187.88 19.49 322.80 150.52
2018-12-29 1,164.43 21.33 329.35 145.68
2018-09-29 1,137.01 -15.60 356.07 142.11
2018-06-30 1,078.16 -28.10 362.92 137.68
2018-03-31 1,092.84 -15.65 371.32 135.59
2017-12-30 1,088.67 -2.67 368.33 129.50
2017-09-30 992.53 -14.22 347.28 124.39
2016-10-01 901.28 -38.21 326.54 107.73
2015-10-03 843.52 -68.78 337.23 100.65

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Sonos has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Sonos used its assets less efficiently than the DE Consumer Durables industry average last year based on Return on Assets.
  • Unable to establish if Sonos improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Sonos's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Durables industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Sonos has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Sonos's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Sonos's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Sonos is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Sonos's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Sonos's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 14.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Sonos Company Filings, last reported 4 months ago.

DB:8SO Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-29 288.43 39.82 338.29
2019-03-30 286.87 39.80 295.28
2018-12-29 280.03 39.78 307.37
2018-09-29 208.36 39.76 220.93
2018-06-30 111.24 39.69 124.43
2018-03-31 126.46 39.66 117.80
2017-12-30 147.61 39.63 188.43
2017-09-30 90.37 39.60 130.60
2016-10-01 61.55 24.50 74.91
2015-10-03
  • Sonos's level of debt (13.8%) compared to net worth is satisfactory (less than 40%).
  • Unable to establish if Sonos's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (315.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 245.8x coverage).
X
Financial health checks
We assess Sonos's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Sonos has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Sonos's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Sonos dividends. Estimated to be 0% next year.
If you bought €2,000 of Sonos shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Sonos's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Sonos's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:8SO Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
Germany Consumer Durables Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 3.1%
Germany Market Average Dividend Yield Market Cap Weighted Average of 334 Stocks 2.9%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.7%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:8SO Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-09-30
2023-09-30
2022-09-30
2021-09-30 0.00 2.00
2020-09-30 0.00 2.00
2019-11-14
2019-09-30 0.00 2.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Sonos has not reported any payouts.
  • Unable to verify if Sonos's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Sonos's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Sonos has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Sonos's dividends in 3 years as they are not expected to pay a notable one for Germany.
X
Income/ dividend checks
We assess Sonos's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.7%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Sonos afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Sonos has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Sonos's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Patrick Spence
COMPENSATION $2,353,753
AGE 44
TENURE AS CEO 2.8 years
CEO Bio

Mr. Patrick Spence has been Chief Executive Officer and as a member of board of directors at Sonos, Inc. since January 2017, and has been its President since July 2016. He served as Managing Director of Global Sales & Regional Marketing at Research In Motion Limited (RIM) from July 2011 to May 2012. Mr. Spence works with Thorsten to tightly couple the execution of product development and regional business operations around the world, enable faster local execution tailored to local market needs and support the needs of RIM's valued operator and distribution partners. He has more than ten years of success overseeing sales and country operations for RIM in various regions including North America, Asia Pacific and EMEA. He was the Managing Director of Global Sales & Regional Marketing at BlackBerry Limited from July 2011 to May 2012. Mr. Spence was Executive produced the 2005 series of Waking The Dead. He served on the team that produced Silent Witness in 1996, then came back two years later as the show's Executive Producer and as Head of Development, Drama Series – commissioning Waking The Dead, Murder In Mind and Down To Earth, amongst others. Additional credits include Five's first and only BAFTA- nominated drama, Wing And A Prayer, which Mr. Spence commissioned at Thames; and stints at Scottish, Central, Pearson and Granada, where he script edited Cracker, written by Jimmy McGovern and Paul Abbott.

CEO Compensation
  • Insufficient data for Patrick to compare compensation growth.
  • Patrick's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Sonos management team in years:

2.8
Average Tenure
43
Average Age
  • The tenure for the Sonos management team is about average.
Management Team

Patrick Spence

TITLE
CEO, President & Director
COMPENSATION
$2M
AGE
44
TENURE
2.8 yrs

Brittany Bagley

TITLE
Chief Financial Officer
COMPENSATION
$65K
AGE
36
TENURE
0.6 yrs

Matt Siegel

TITLE
Chief Commercial Officer
COMPENSATION
$919K
AGE
46
TENURE
2.2 yrs

Nicholas Millington

TITLE
Chief Product Officer
COMPENSATION
$977K
AGE
42
TENURE
2.8 yrs

Thomas Cullen

TITLE
Co-Founder and VP of Sales & Marketing

David Perri

TITLE
Chief Operations Officer
TENURE
2.8 yrs

Michael Groeninger

TITLE
Vice President of Corporate Finance
TENURE
4.7 yrs

Eddie Lazarus

TITLE
Chief Legal Officer & Corporate Secretary
AGE
60
TENURE
0.8 yrs

Anna Fraser

TITLE
Chief People Officer
AGE
37
TENURE
2.8 yrs

Ingvar Meijers

TITLE
Managing Director of Sales and Operations for EMEA
Board of Directors Tenure

Average tenure and age of the Sonos board of directors in years:

6.2
Average Tenure
52
Average Age
  • The tenure for the Sonos board of directors is about average.
Board of Directors

Mike A. Volpi

TITLE
Chairperson
AGE
53
TENURE
9 yrs

Patrick Spence

TITLE
CEO, President & Director
COMPENSATION
$2M
AGE
44
TENURE
2.8 yrs

Julius Genachowski

TITLE
Independent Director
COMPENSATION
$118K
AGE
56
TENURE
6.2 yrs

Tom Conrad

TITLE
Independent Director
COMPENSATION
$60K
AGE
49
TENURE
2.7 yrs

Karen Boone

TITLE
Independent Director
COMPENSATION
$65K
AGE
45
TENURE
2.4 yrs

John Maeda

TITLE
Independent Director
COMPENSATION
$103K
AGE
52
TENURE
7.4 yrs

Robbie Bach

TITLE
Independent Director
COMPENSATION
$103K
AGE
57
TENURE
8.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
20. May 19 Sell Index Ventures Company 16. May 19 16. May 19 -517,992 €9.41 €-4,873,324
08. Mar 19 Sell Index Ventures Company 07. Mar 19 07. Mar 19 -209,039 €8.76 €-1,830,426
28. Feb 19 Sell Index Ventures Company 27. Feb 19 27. Feb 19 -6,871 €9.67 €-66,458
27. Feb 19 Sell Index Ventures Company 25. Feb 19 26. Feb 19 -541,062 €9.81 €-5,298,032
25. Feb 19 Sell Index Ventures Company 21. Feb 19 22. Feb 19 -793,476 €9.84 €-7,786,397
21. Feb 19 Sell Index Ventures Company 19. Feb 19 20. Feb 19 -466,799 €10.15 €-4,675,785
X
Management checks
We assess Sonos's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Sonos has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Sonos, Inc., together with its subsidiaries, designs, develops, manufactures, and sells multi-room audio products in the United States and internationally. It provides wireless speakers, home theater speakers, and components. The company offers its products through third-party retail stores, including custom installers of home audio systems; and e-commerce retailers, as well as through its sonos.com Website. The company was formerly known as Rincon Audio, Inc. and changed its name to Sonos, Inc. in May 2004. Sonos, Inc. was founded in 2002 and is headquartered in Santa Barbara, California.

Details
Name: Sonos, Inc.
8SO
Exchange: DB
Founded: 2002
$1,433,819,691
106,324,760
Website: http://www.sonos.com
Address: Sonos, Inc.
614 Chapala Street,
Santa Barbara,
California, 93103,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS SONO Common Stock Nasdaq Global Select US USD 02. Aug 2018
DB 8SO Common Stock Deutsche Boerse AG DE EUR 02. Aug 2018
LSE 0ZFN Common Stock London Stock Exchange GB USD 02. Aug 2018
WBAG SONO Common Stock Wiener Boerse AG AT EUR 02. Aug 2018
Number of employees
Current staff
Staff numbers
1,352
Sonos employees.
Industry
Consumer Electronics
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/14 22:09
End of day share price update: 2019/11/14 00:00
Last estimates confirmation: 2019/11/13
Last earnings filing: 2019/08/08
Last earnings reported: 2019/06/29
Last annual earnings reported: 2018/09/29


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.