NETGEAR Inc (NTGR)vsSonos Inc (SONO)
NTGR
NETGEAR Inc
$18.88
-0.79%
TECHNOLOGY · Cap: $495.66M
SONO
Sonos Inc
$16.41
+0.49%
TECHNOLOGY · Cap: $2.07B
Smart Verdict
WallStSmart Research — data-driven comparison
Sonos Inc generates 120% more annual revenue ($1.49B vs $677.19M). SONO leads profitability with a 3.8% profit margin vs -4.9%. SONO earns a higher WallStSmart Score of 47/100 (D+).
NTGR
Hold44
out of 100
Grade: D
SONO
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-6.1%
Fair Value
$19.35
Current Price
$18.88
$0.47 premium
Margin of Safety
-32.2%
Fair Value
$12.48
Current Price
$16.41
$3.93 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Earnings expanding 87.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
Smaller company, higher risk/reward
ROE of -8.9% — below average capital efficiency
Revenue declined 9.3%
Earnings declined 68.7%
Premium valuation, high expectations priced in
ROE of 6.2% — below average capital efficiency
3.8% margin — thin
Operating margin of 4.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : NTGR
The strongest argument for NTGR centers on Price/Book, Debt/Equity, PEG Ratio. PEG of 0.74 suggests the stock is reasonably priced for its growth.
Bull Case : SONO
The strongest argument for SONO centers on EPS Growth, Debt/Equity.
Bear Case : NTGR
The primary concerns for NTGR are Market Cap, Return on Equity, Revenue Growth.
Bear Case : SONO
The primary concerns for SONO are P/E Ratio, Return on Equity, Profit Margin. Thin 3.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
NTGR profiles as a turnaround stock while SONO is a value play — different risk/reward profiles.
SONO carries more volatility with a beta of 1.88 — expect wider price swings.
SONO is growing revenue faster at 8.8% — sustainability is the question.
SONO generates stronger free cash flow (40M), providing more financial flexibility.
Bottom Line
SONO scores higher overall (47/100 vs 44/100). Both earn "Hold" 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.
NETGEAR Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
NETGEAR, Inc. designs, develops, and markets Internet-connected products and networks for consumers, businesses, and service providers. The company is headquartered in San Jose, California.
Visit Website →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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