WallStSmart

Progress Software Corporation (PRGS)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sonos Inc generates 45% more annual revenue ($1.46B vs $1.00B). PRGS leads profitability with a 8.9% profit margin vs 1.6%. PRGS trades at a lower P/E of 19.7x. PRGS earns a higher WallStSmart Score of 63/100 (C+).

PRGS

Buy

63

out of 100

Grade: C+

Growth: 7.3Profit: 7.0Value: 6.7Quality: 3.0
Piotroski: 5/9Altman Z: 0.62

SONO

Hold

45

out of 100

Grade: D+

Growth: 6.0Profit: 4.0Value: 3.0Quality: 7.0
Piotroski: 3/9Altman Z: 2.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PRGSUndervalued (+25.6%)

Margin of Safety

+25.6%

Fair Value

$55.05

Current Price

$42.71

$12.34 discount

UndervaluedFair: $55.05Overvalued
SONOSignificantly Overvalued (-35.3%)

Margin of Safety

-35.3%

Fair Value

$12.20

Current Price

$14.43

$2.23 premium

UndervaluedFair: $12.20Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PRGS1 strengths · Avg: 8.0/10
EPS GrowthGrowth
28.2%8/10

Earnings expanding 28.2% YoY

SONO2 strengths · Avg: 9.5/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Debt/EquityHealth
0.159/10

Conservative balance sheet, low leverage

Areas to Watch

PRGS3 concerns · Avg: 2.0/10
Market CapQuality
$1.66B3/10

Smaller company, higher risk/reward

Altman Z-ScoreHealth
0.622/10

Distress zone — elevated risk

Debt/EquityHealth
2.621/10

Elevated debt levels

SONO4 concerns · Avg: 3.0/10
Market CapQuality
$1.81B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.2%3/10

ROE of 6.2% — below average capital efficiency

Profit MarginProfitability
1.6%3/10

1.6% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : PRGS

The strongest argument for PRGS centers on EPS Growth. PEG of 1.36 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 : PRGS

The primary concerns for PRGS are Market Cap, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.62 is elevated, increasing financial risk.

Bear Case : SONO

The primary concerns for SONO are Market Cap, Return on Equity, Profit Margin. A P/E of 89.4x leaves little room for execution misses. Thin 1.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

SONO carries more volatility with a beta of 1.96 — expect wider price swings.

SONO is growing revenue faster at 8.4% — sustainability is the question.

PRGS generates stronger free cash flow (77M), providing more financial flexibility.

Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PRGS scores higher overall (63/100 vs 45/100). 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.

Progress Software Corporation

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Progress Software Corporation develops business applications. The company is headquartered in Bedford, Massachusetts.

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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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