WallStSmart

Evertec Inc (EVTC)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sonos Inc generates 54% more annual revenue ($1.44B vs $931.82M). EVTC leads profitability with a 15.2% profit margin vs -1.2%. EVTC earns a higher WallStSmart Score of 62/100 (C+).

EVTC

Buy

62

out of 100

Grade: C+

Growth: 5.3Profit: 7.5Value: 7.3Quality: 6.5
Piotroski: 6/9Altman Z: 1.74

SONO

Hold

42

out of 100

Grade: D

Growth: 4.7Profit: 4.0Value: 6.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EVTCUndervalued (+52.9%)

Margin of Safety

+52.9%

Fair Value

$55.65

Current Price

$29.53

$26.12 discount

UndervaluedFair: $55.65Overvalued
SONOUndervalued (+42.1%)

Margin of Safety

+42.1%

Fair Value

$28.49

Current Price

$14.67

$13.82 discount

UndervaluedFair: $28.49Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EVTC3 strengths · Avg: 8.3/10
Return on EquityProfitability
23.4%9/10

Every $100 of equity generates 23 in profit

P/E RatioValuation
13.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

SONO1 strengths · Avg: 10.0/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Areas to Watch

EVTC4 concerns · Avg: 3.5/10
PEG RatioValuation
2.144/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.744/10

Distress zone — elevated risk

Market CapQuality
$1.83B3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.643/10

Elevated debt levels

SONO4 concerns · Avg: 2.0/10
Market CapQuality
$1.77B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-3.9%2/10

ROE of -3.9% — below average capital efficiency

Revenue GrowthGrowth
-0.9%2/10

Revenue declined 0.9%

Profit MarginProfitability
-1.2%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : EVTC

The strongest argument for EVTC centers on Return on Equity, P/E Ratio, Price/Book. Profitability is solid with margins at 15.2% and operating margin at 17.6%. Revenue growth of 13.1% demonstrates continued momentum.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth.

Bear Case : EVTC

The primary concerns for EVTC are PEG Ratio, Altman Z-Score, Market Cap. Debt-to-equity of 1.64 is elevated, increasing financial risk.

Bear Case : SONO

The primary concerns for SONO are Market Cap, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

EVTC profiles as a mature stock while SONO is a turnaround play — different risk/reward profiles.

SONO carries more volatility with a beta of 2.00 — expect wider price swings.

EVTC is growing revenue faster at 13.1% — sustainability is the question.

SONO generates stronger free cash flow (157M), providing more financial flexibility.

Bottom Line

EVTC scores higher overall (62/100 vs 42/100), backed by strong 15.2% margins and 13.1% revenue growth. SONO offers better value entry with a 42.1% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Evertec Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

EVERTEC, Inc. participates in the transaction processing business in Latin America and the Caribbean. The company is headquartered in San Juan, Puerto Rico.

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Sonos Inc

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.

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