Sonos (NASDAQ:SONO) Announces Quarterly Earnings Results, Beats Expectations By $0.08 EPS

Sonos (NASDAQ:SONO) announced its earnings results on Tuesday. The company reported $0.93 EPS for the quarter, beating the consensus estimate of $0.85 by $0.08, FiscalAI reports. Sonos had a negative net margin of 4.24% and a negative return on equity of 11.66%. The company had revenue of $545.66 million during the quarter, compared to the consensus estimate of $536.93 million.

Sonos Trading Down 1.4%

Sonos stock traded down $0.21 during midday trading on Tuesday, hitting $14.63. The stock had a trading volume of 4,274,086 shares, compared to its average volume of 1,508,335. The firm’s fifty day moving average is $17.28 and its two-hundred day moving average is $15.67. The company has a market capitalization of $1.77 billion, a PE ratio of -28.13 and a beta of 2.05. Sonos has a 52-week low of $7.63 and a 52-week high of $19.82.

Analysts Set New Price Targets

Several research firms have recently weighed in on SONO. Rosenblatt Securities reaffirmed a “buy” rating and issued a $21.00 price target on shares of Sonos in a report on Monday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Sonos in a research note on Thursday, January 22nd. Morgan Stanley set a $17.00 target price on shares of Sonos and gave the stock an “equal weight” rating in a research note on Thursday, November 6th. Jefferies Financial Group increased their price objective on Sonos from $19.00 to $21.00 and gave the stock a “buy” rating in a report on Monday, January 5th. Finally, Wall Street Zen cut shares of Sonos from a “buy” rating to a “hold” rating in a research report on Saturday, January 17th. Two research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Sonos presently has an average rating of “Hold” and an average target price of $19.67.

Insider Transactions at Sonos

In related news, CEO Thomas Conrad acquired 62,325 shares of the business’s stock in a transaction on Monday, November 17th. The stock was acquired at an average cost of $16.17 per share, with a total value of $1,007,795.25. Following the acquisition, the chief executive officer directly owned 305,103 shares in the company, valued at $4,933,515.51. This represents a 25.67% increase in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, insider Edward P. Lazarus sold 12,000 shares of the company’s stock in a transaction on Thursday, December 4th. The shares were sold at an average price of $19.00, for a total transaction of $228,000.00. Following the sale, the insider directly owned 423,219 shares in the company, valued at approximately $8,041,161. The trade was a 2.76% decrease in their position. The SEC filing for this sale provides additional information. 1.25% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Centaurus Financial Inc. grew its holdings in shares of Sonos by 6.6% during the third quarter. Centaurus Financial Inc. now owns 11,056 shares of the company’s stock valued at $175,000 after buying an additional 681 shares during the last quarter. Thrivent Financial for Lutherans grew its position in shares of Sonos by 1.0% during the 2nd quarter. Thrivent Financial for Lutherans now owns 88,302 shares of the company’s stock valued at $955,000 after acquiring an additional 833 shares during the period. Amundi grew its holdings in Sonos by 6.8% in the third quarter. Amundi now owns 20,964 shares of the company’s stock valued at $331,000 after purchasing an additional 1,343 shares during the period. CANADA LIFE ASSURANCE Co increased its position in shares of Sonos by 1.1% in the second quarter. CANADA LIFE ASSURANCE Co now owns 123,265 shares of the company’s stock valued at $1,332,000 after buying an additional 1,352 shares in the last quarter. Finally, California State Teachers Retirement System increased its holdings in Sonos by 1.6% in the 2nd quarter. California State Teachers Retirement System now owns 111,685 shares of the company’s stock worth $1,207,000 after acquiring an additional 1,796 shares in the last quarter. 85.82% of the stock is currently owned by hedge funds and other institutional investors.

More Sonos News

Here are the key news stories impacting Sonos this week:

• Positive Sentiment: Q1 beat — Sonos reported fiscal Q1 2026 EPS and revenue above Street estimates and management said the company is “off to a good start” with new product cadence (Amp Multi) aimed at returning Sonos to growth. This is the main driver supporting sentiment despite other concerns. Read More.
• Positive Sentiment: Analyst support — Rosenblatt reaffirmed a Buy rating with a $21 price target (material upside to current levels), which can anchor upside expectations if management’s growth plan gains traction. Read More.
• Neutral Sentiment: Product pipeline interest — Media pieces outline several potential Sonos product launches in 2026, keeping investor attention on a multi-product refresh that could drive revenue if executed well. Product speculation is positive for narrative but uncertain on timing and margins. Read More.
• Neutral Sentiment: Pre-earnings coverage — Analysts and previews expected the Q1 report; coverage like Zacks’ preview framed the quarter as pivotal for a return-to-growth narrative. These previews often moderate reactions by setting expectations. Read More.
• Neutral Sentiment: Promotions and discounts — Multiple retailer and marketplace sales (Era 100, Beam Gen 2, Sub 4 and other Super Bowl promotions) are driving consumer-level activity and could lift near-term unit demand; however, heavy discounting can compress ASPs and margins if sustained. Read More. Read More. Read More. Read More.
• Negative Sentiment: Profitability concerns remain — Despite the beat, Sonos still reported negative net margin and negative return on equity; with shares trading below the 50-day and 200-day moving averages, investors may be focused on margin recovery and execution risk on the product roadmap. Read More.

About Sonos

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.