WallStSmart

Progress Software Corporation (PRGS)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sonos Inc generates 46% more annual revenue ($1.44B vs $987.62M). PRGS leads profitability with a 8.6% profit margin vs -1.2%. PRGS earns a higher WallStSmart Score of 68/100 (B-).

PRGS

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 7.0Value: 8.7Quality: 3.5
Piotroski: 5/9Altman Z: 0.62

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

PRGSUndervalued (+41.7%)

Margin of Safety

+41.7%

Fair Value

$70.19

Current Price

$27.85

$42.34 discount

UndervaluedFair: $70.19Overvalued
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

PRGS4 strengths · Avg: 8.5/10
EPS GrowthGrowth
120.8%10/10

Earnings expanding 120.8% YoY

PEG RatioValuation
0.918/10

Growing faster than its price suggests

P/E RatioValuation
14.2x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

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

PRGS4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
4.1%4/10

4.1% revenue growth

Market CapQuality
$1.17B3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.783/10

Elevated debt levels

Altman Z-ScoreHealth
0.622/10

Distress zone — elevated risk

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 : PRGS

The strongest argument for PRGS centers on EPS Growth, PEG Ratio, P/E Ratio. PEG of 0.91 suggests the stock is reasonably priced for its growth.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth.

Bear Case : PRGS

The primary concerns for PRGS are Revenue Growth, Market Cap, Debt/Equity. Debt-to-equity of 1.78 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

PRGS profiles as a value 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.

PRGS is growing revenue faster at 4.1% — sustainability is the question.

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

Bottom Line

PRGS scores higher overall (68/100 vs 42/100). SONO offers better value entry with a 42.1% margin of safety. Both earn "Strong 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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