Sonos Inc (SONO)vsSPS Commerce Inc (SPSC)
SONO
Sonos Inc
$16.17
-7.39%
TECHNOLOGY · Cap: $2.07B
SPSC
SPS Commerce Inc
$82.99
-3.25%
TECHNOLOGY · Cap: $3.08B
Smart Verdict
WallStSmart Research — data-driven comparison
Sonos Inc generates 93% more annual revenue ($1.49B vs $772.49M). SPSC leads profitability with a 10.1% profit margin vs 3.8%. SONO trades at a lower P/E of 38.8x. SONO earns a higher WallStSmart Score of 47/100 (D+).
SONO
Hold47
out of 100
Grade: D+
SPSC
Hold46
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.2%
Fair Value
$12.48
Current Price
$16.17
$3.69 premium
Margin of Safety
+70.8%
Fair Value
$235.04
Current Price
$82.99
$152.05 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 87.5% YoY
Conservative balance sheet, low leverage
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Areas to Watch
Premium valuation, high expectations priced in
ROE of 6.2% — below average capital efficiency
3.8% margin — thin
Operating margin of 4.4%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 63.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : SONO
The strongest argument for SONO centers on EPS Growth, Debt/Equity.
Bull Case : SPSC
The strongest argument for SPSC centers on Debt/Equity, Altman Z-Score.
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.
Bear Case : SPSC
The primary concerns for SPSC are PEG Ratio, P/E Ratio, EPS Growth. A P/E of 41.8x leaves little room for execution misses.
Key Dynamics to Monitor
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.
SPSC generates stronger free cash flow (57M), providing more financial flexibility.
Monitor CONSUMER ELECTRONICS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SONO scores higher overall (47/100 vs 46/100). SPSC offers better value entry with a 70.8% margin of safety. 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.
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.
SPS Commerce Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
SPS Commerce, Inc. provides cloud-based supply chain management solutions globally. The company is headquartered in Minneapolis, Minnesota.
Visit Website →Compare with Other CONSUMER ELECTRONICS Stocks
Want to dig deeper into these stocks?