SONO

Sonos Inc

Consumer, TMT


Presented:08/11/2021
Price:$34.80
Cap:$4.34B
Current Price:$12.02
Cap:$1.45B

Presented

Date08/11/2021
Price$34.80
Market Cap$4.34B
Ent Value$4.56B
P/E Ratio45.63x
Book Value$4.60
Div Yield0%
Shares O/S124.60M
Ave Daily Vol2,004,923
Short Int6.52%

Current

Price$12.02
Market Cap$1.45B
Sonos, Inc. provides multi-room wireless smart home sound systems. It supports streaming services around the world, providing customers with access to music, Internet radio, podcasts, and audiobooks, with control from Android smartphones, iPhone, or iPad. The company was founded by Mai Trung, John MacFarlane, Craig A. Shelburne and Thomas S. Cullen in 2002 and is headquartered in Santa Barbara, CA.

Publicly traded companies mentioned herein: Alphabet Inc (GOOGL), Apple Inc (APPL), Best Buy Co Inc (BBY), Garmin Ltd (GRMN), GoPro Inc (GPRO), Logitech International Inc (LOGI) Netflix Inc (NFLX), Spotify Technology SA (SPOT), Sonos Inc (SONO), Walt Disney Co/The (DIS)

Highlights

The presenter is long shares of Sonos Inc (SONO), which he thinks stands to benefit from growth of its speaker products and software ecosystem given the increasing consumption/creation of audio. The Street estimates SONO generating ~$2.4B in revenue in fiscal year 2024 with 45%+ gross margins, and he believes it will be closer to $3B in sales and a 20% EBITDA margin. He applies a 20x multiple to his 2024 EBITDA estimate, leading him to believe the stock can triple from its current ~$35 share price over the next 4 years. 

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Idea Discussion

Commentor 1 - 2 weeks ago

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