WallStSmart

Sonos Inc (SONO)vsWex Inc (WEX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wex Inc generates 88% more annual revenue ($2.70B vs $1.44B). WEX leads profitability with a 11.5% profit margin vs -1.2%. WEX earns a higher WallStSmart Score of 74/100 (B).

SONO

Hold

42

out of 100

Grade: D

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

WEX

Strong Buy

74

out of 100

Grade: B

Growth: 6.0Profit: 7.0Value: 8.7Quality: 4.3
Piotroski: 4/9Altman Z: 0.67
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SONOUndervalued (+42.1%)

Margin of Safety

+42.1%

Fair Value

$28.49

Current Price

$14.67

$13.82 discount

UndervaluedFair: $28.49Overvalued
WEXUndervalued (+54.0%)

Margin of Safety

+54.0%

Fair Value

$360.32

Current Price

$154.66

$205.66 discount

UndervaluedFair: $360.32Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

Earnings expanding 87.5% YoY

WEX5 strengths · Avg: 8.2/10
Return on EquityProfitability
29.8%9/10

Every $100 of equity generates 30 in profit

PEG RatioValuation
0.888/10

Growing faster than its price suggests

P/E RatioValuation
17.4x8/10

Attractively priced relative to earnings

Operating MarginProfitability
23.5%8/10

Strong operational efficiency at 23.5%

EPS GrowthGrowth
22.7%8/10

Earnings expanding 22.7% YoY

Areas to Watch

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

WEX2 concerns · Avg: 2.0/10
Free Cash FlowQuality
$-368.30M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.672/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth.

Bull Case : WEX

The strongest argument for WEX centers on Return on Equity, PEG Ratio, P/E Ratio. PEG of 0.88 suggests the stock is reasonably priced for its growth.

Bear Case : SONO

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

Bear Case : WEX

The primary concerns for WEX are Free Cash Flow, Altman Z-Score.

Key Dynamics to Monitor

SONO profiles as a turnaround stock while WEX is a value play — different risk/reward profiles.

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

WEX is growing revenue faster at 5.8% — sustainability is the question.

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

Bottom Line

WEX scores higher overall (74/100 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.

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.

Wex Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

WEX Inc. offers financial technology services in North America, Asia Pacific, and Europe. The company is headquartered in Portland, Maine.

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