Two Seas Capital LP Makes New Investment in Sonos, Inc. $SONO

Two Seas Capital LP bought a new position in shares of Sonos, Inc. (NASDAQ:SONO) during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm bought 710,612 shares of the company’s stock, valued at approximately $9,615,000.

A number of other large investors have also recently modified their holdings of SONO. Hantz Financial Services Inc. grew its stake in Sonos by 307.9% in the fourth quarter. Hantz Financial Services Inc. now owns 1,762 shares of the company’s stock worth $31,000 after purchasing an additional 1,330 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its holdings in Sonos by 699.6% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 2,055 shares of the company’s stock worth $36,000 after purchasing an additional 1,798 shares during the period. Daiwa Securities Group Inc. bought a new stake in Sonos during the 4th quarter valued at $50,000. Quarry LP raised its position in Sonos by 485.8% during the 3rd quarter. Quarry LP now owns 3,251 shares of the company’s stock valued at $51,000 after purchasing an additional 2,696 shares in the last quarter. Finally, Meeder Asset Management Inc. purchased a new stake in shares of Sonos in the 2nd quarter worth $59,000. Hedge funds and other institutional investors own 85.82% of the company’s stock.

Insider Activity

In other news, Director Julius Genachowski sold 19,855 shares of Sonos stock in a transaction on Wednesday, July 29th. The stock was sold at an average price of $17.00, for a total value of $337,535.00. Following the transaction, the director directly owned 53,775 shares in the company, valued at approximately $914,175. This trade represents a 26.97% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.25% of the company’s stock.

Analysts Set New Price Targets

A number of research firms have recently issued reports on SONO. Weiss Ratings raised Sonos from a “hold (c-)” rating to a “hold (c)” rating in a research report on Thursday, August 13th. Wall Street Zen downgraded Sonos from a “strong-buy” rating to a “buy” rating in a report on Saturday. Finally, Rosenblatt Securities reaffirmed a “buy” rating and issued a $21.00 price objective on shares of Sonos in a research note on Thursday, July 30th. Two investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $20.00.

Sonos Stock Performance

NASDAQ SONO opened at $15.83 on Friday. The company has a market cap of $1.87 billion, a PE ratio of 35.18 and a beta of 1.95. The firm’s 50 day moving average price is $14.91 and its 200-day moving average price is $14.79. Sonos, Inc. has a 52-week low of $12.44 and a 52-week high of $19.82.

Sonos (NASDAQ:SONO) last issued its quarterly earnings data on Wednesday, July 29th. The company reported $0.27 EPS for the quarter, topping analysts’ consensus estimates of $0.04 by $0.23. The company had revenue of $375.26 million during the quarter, compared to the consensus estimate of $365.65 million. Sonos had a net margin of 3.82% and a return on equity of 19.10%. Sonos’s revenue for the quarter was up 8.8% compared to the same quarter last year. During the same quarter in the previous year, the firm posted ($0.03) earnings per share. On average, analysts forecast that Sonos, Inc. will post 0.69 earnings per share for the current fiscal year.

Sonos Company Profile

Sonos, Inc is a consumer electronics company specializing in wireless home audio systems. The company’s core business revolves around designing, developing and manufacturing smart speakers and soundbars that deliver high-fidelity audio and seamless multi-room listening experiences. Sonos products connect via Wi-Fi or Bluetooth and integrate with popular streaming services, enabling users to control music and other audio content through a dedicated mobile app, voice assistants or traditional controls.

Sonos offers a diversified product lineup that includes compact speakers such as Sonos One and Sonos Roam, premium models like Sonos Five and Sonos Move, home theater solutions including Sonos Beam and Sonos Arc, as well as accessories such as the Sonos Sub and Sonos Amp.