Sonos (NASDAQ:SONO) Hits New 12-Month Low – Here’s What Happened

Sonos, Inc. (NASDAQ:SONO)’s stock price reached a new 52-week low during mid-day trading on Wednesday . The company traded as low as $7.66 and last traded at $7.71, with a volume of 730330 shares trading hands. The stock had previously closed at $7.88.

Wall Street Analyst Weigh In

Several research analysts have commented on SONO shares. Jefferies Financial Group cut their target price on Sonos from $19.00 to $13.00 and set a “buy” rating for the company in a research note on Monday, April 7th. Rosenblatt Securities reissued a “buy” rating and issued a $18.00 price target on shares of Sonos in a report on Friday, February 7th.

Sonos Price Performance

The stock’s 50 day simple moving average is $11.44 and its two-hundred day simple moving average is $12.92. The firm has a market cap of $916.94 million, a P/E ratio of -13.51 and a beta of 2.01.

Sonos (NASDAQ:SONO) last posted its earnings results on Thursday, February 6th. The company reported $0.40 EPS for the quarter, topping analysts’ consensus estimates of $0.36 by $0.04. Sonos had a negative net margin of 4.73% and a negative return on equity of 13.17%. Equities research analysts anticipate that Sonos, Inc. will post -0.37 earnings per share for the current year.

Sonos announced that its Board of Directors has initiated a stock buyback program on Monday, February 24th that permits the company to buyback $150.00 million in outstanding shares. This buyback authorization permits the company to purchase up to 10.1% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling at Sonos

In other news, major shareholder Coliseum Capital Management, L acquired 62,506 shares of Sonos stock in a transaction that occurred on Monday, April 7th. The shares were bought at an average cost of $8.38 per share, with a total value of $523,800.28. Following the transaction, the insider now directly owns 12,118,088 shares of the company’s stock, valued at $101,549,577.44. This trade represents a 0.52 % increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at this link. 1.80% of the stock is owned by company insiders.

Hedge Funds Weigh In On Sonos

A number of large investors have recently bought and sold shares of the business. SG Americas Securities LLC boosted its position in Sonos by 62.3% in the 1st quarter. SG Americas Securities LLC now owns 66,277 shares of the company’s stock valued at $707,000 after buying an additional 25,438 shares during the period. GAMMA Investing LLC boosted its stake in Sonos by 710.3% in the first quarter. GAMMA Investing LLC now owns 32,800 shares of the company’s stock valued at $350,000 after acquiring an additional 28,752 shares in the last quarter. Wellington Management Group LLP grew its holdings in Sonos by 10.6% in the fourth quarter. Wellington Management Group LLP now owns 3,654,074 shares of the company’s stock worth $54,957,000 after purchasing an additional 351,057 shares during the last quarter. Centaurus Financial Inc. purchased a new position in shares of Sonos in the 4th quarter valued at approximately $108,000. Finally, Jefferies Financial Group Inc. grew its holdings in shares of Sonos by 57.4% during the fourth quarter. Jefferies Financial Group Inc. now owns 16,011 shares of the company’s stock valued at $241,000 after buying an additional 5,838 shares during the last quarter. Hedge funds and other institutional investors own 85.82% of the company’s stock.

About Sonos

Sonos, Inc, together with its subsidiaries, designs, develops, manufactures, and sells audio products and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It offers wireless, portable, and home theater speakers; components; and accessories. The company offers its products through approximately 10,000 third-party retail stores, including custom installers of home audio systems; and e-commerce retailers, as well as through its website.