Latest news with #SONO
Yahoo
05-06-2025
- Business
- Yahoo
1 Small-Cap Stock to Keep an Eye On and 2 to Avoid
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings. However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats. These trade-offs can cause headaches for even the most seasoned professionals, which is why we started StockStory - to help you separate the good companies from the bad. Keeping that in mind, here is one small-cap stock that could be the next big thing and two that may have trouble. Market Cap: $1.22 billion A pioneer in connected home audio systems, Sonos (NASDAQ:SONO) offers a range of premium wireless speakers and sound systems. Why Should You Dump SONO? Products and services aren't resonating with the market as its revenue declined by 6.3% annually over the last two years Historical operating margin losses point to an inefficient cost structure Negative returns on capital show that some of its growth strategies have backfired Sonos's stock price of $10.10 implies a valuation ratio of 48.4x forward P/E. To fully understand why you should be careful with SONO, check out our full research report (it's free). Market Cap: $7.90 billion Holding a Guinness World Record for creating the world's fastest conveyor pizza oven, Middleby (NYSE:MIDD) is a food service and equipment manufacturer. Why Are We Out on MIDD? Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion Anticipated sales growth of 2.2% for the next year implies demand will be shaky Earnings growth underperformed the sector average over the last two years as its EPS grew by just 2.7% annually Middleby is trading at $146.76 per share, or 14.8x forward P/E. Read our free research report to see why you should think twice about including MIDD in your portfolio, it's free. Market Cap: $942.4 million With roots dating back to 1869 and a focus on creating cleaner industrial operations, CECO Environmental (NASDAQ:CECO) provides technology and expertise that helps industrial companies reduce emissions, treat water, and improve energy efficiency across various sectors. Why Does CECO Stand Out? Impressive 17.2% annual revenue growth over the last two years indicates it's winning market share this cycle Projected revenue growth of 22.6% for the next 12 months is above its two-year trend, pointing to accelerating demand Adjusted operating margin expanded by 10.8 percentage points over the last five years as it scaled and became more efficient At $26.75 per share, CECO Environmental trades at 20.7x forward P/E. Is now the right time to buy? Find out in our full research report, it's free. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today for free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
03-06-2025
- Business
- Yahoo
1 Russell 2000 Stock with Solid Fundamentals and 2 to Keep Off Your Radar
Small-cap stocks in the Russell 2000 (^RUT) can be a goldmine for investors looking beyond the usual large-cap names. But with less stability and fewer resources than their bigger counterparts, these companies face steeper challenges in scaling their businesses. The high-risk, high-reward nature of the Russell 2000 makes stock selection critical, and we're here to guide you toward the right ones. That said, here is one Russell 2000 stock that could be a breakout winner and two best left off your watchlist. Market Cap: $1.21 billion A pioneer in connected home audio systems, Sonos (NASDAQ:SONO) offers a range of premium wireless speakers and sound systems. Why Should You Dump SONO? Annual revenue declines of 6.3% over the last two years indicate problems with its market positioning Poor expense management has led to operating margin losses Negative returns on capital show management lost money while trying to expand the business At $10.01 per share, Sonos trades at 48x forward P/E. If you're considering SONO for your portfolio, see our FREE research report to learn more. Market Cap: $2.20 billion Operating a massive network spanning 20,000 miles of fiber optic cable and connecting to over 3,200 buildings worldwide, Cogent Communications (NASDAQ:CCOI) provides high-speed Internet access, private network services, and data center colocation to businesses and bandwidth-intensive organizations across 54 countries. Why Are We Wary of CCOI? Free cash flow margin shrank by 37.5 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive Eroding returns on capital suggest its historical profit centers are aging Depletion of cash reserves could lead to a fundraising event that triggers shareholder dilution Cogent is trading at $46.90 per share, or 6.3x forward EV-to-EBITDA. Read our free research report to see why you should think twice about including CCOI in your portfolio, it's free. Market Cap: $931.4 million Transforming how doctors care for seniors by shifting financial incentives from volume to outcomes, agilon health (NYSE:AGL) provides a platform that helps primary care physicians transition to value-based care models for Medicare patients through long-term partnerships and global capitation arrangements. Why Do We Like AGL? Market share has increased this cycle as its 40.5% annual revenue growth over the last two years was exceptional Average customer growth of 34.7% over the past two years demonstrates success in acquiring new clients that could increase their spending in the future Earnings per share grew by 14.5% annually over the last three years and trumped its peers agilon health's stock price of $2.27 implies a valuation ratio of 0.2x forward price-to-sales. Is now the time to initiate a position? See for yourself in our full research report, it's free. Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free. Melden Sie sich an, um Ihr Portfolio aufzurufen.
Yahoo
08-05-2025
- Business
- Yahoo
Sonos's (NASDAQ:SONO) Q1 Sales Top Estimates, Stock Soars
Audio technology Sonos company (NASDAQ:SONO) reported Q1 CY2025 results beating Wall Street's revenue expectations , with sales up 2.8% year on year to $259.8 million. Its non-GAAP loss of $0.18 per share was 24.1% below analysts' consensus estimates. Is now the time to buy Sonos? Find out in our full research report. Sonos (SONO) Q1 CY2025 Highlights: Revenue: $259.8 million vs analyst estimates of $255.1 million (2.8% year-on-year growth, 1.8% beat) Adjusted EPS: -$0.18 vs analyst expectations of -$0.15 ($0.03 miss) Adjusted EBITDA: -$826,000 vs analyst estimates of -$19.2 million (-0.3% margin, large beat) Operating Margin: -23.6%, up from -28.1% in the same quarter last year Free Cash Flow was -$65.22 million compared to -$121.4 million in the same quarter last year Market Capitalization: $1.09 billion 'We made significant progress in Q2 across our top initiatives,' said Tom Conrad, Sonos Interim Chief Executive Officer. Company Overview A pioneer in connected home audio systems, Sonos (NASDAQ:SONO) offers a range of premium wireless speakers and sound systems. Sales Growth Reviewing a company's long-term sales performance reveals insights into its quality. Any business can put up a good quarter or two, but many enduring ones grow for years. Regrettably, Sonos's sales grew at a weak 2.5% compounded annual growth rate over the last five years. This fell short of our benchmarks and is a tough starting point for our analysis. Sonos Quarterly Revenue Long-term growth is the most important, but within consumer discretionary, product cycles are short and revenue can be hit-driven due to rapidly changing trends and consumer preferences. Sonos's performance shows it grew in the past but relinquished its gains over the last two years, as its revenue fell by 6.3% annually. Sonos Year-On-Year Revenue Growth This quarter, Sonos reported modest year-on-year revenue growth of 2.8% but beat Wall Street's estimates by 1.8%. Looking ahead, sell-side analysts expect revenue to remain flat over the next 12 months. While this projection implies its newer products and services will fuel better top-line performance, it is still below the sector average. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Operating Margin Operating margin is an important measure of profitability as it shows the portion of revenue left after accounting for all core expenses – everything from the cost of goods sold to advertising and wages. It's also useful for comparing profitability across companies with different levels of debt and tax rates because it excludes interest and taxes.


Washington Post
07-05-2025
- Business
- Washington Post
Sonos: Fiscal Q2 Earnings Snapshot
SANTA BARBARA, Calif. — SANTA BARBARA, Calif. — Sonos Inc. (SONO) on Wednesday reported a loss of $70.1 million in its fiscal second quarter. On a per-share basis, the Santa Barbara, California-based company said it had a loss of 58 cents. Losses, adjusted for restructuring costs and stock option expense, came to 18 cents per share.