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Sonos (SONO) to Report Q1 Earnings: What's in the Cards?

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Sonos, Inc. (SONO - Free Report) is scheduled to report first-quarter fiscal 2021 results on Feb 10, after the closing bell. In the last reported quarter, the company delivered a positive earnings surprise of 650%.

The Santa Barbara, CA-based multi-room audio products maker is expected to have recorded higher revenues year over year. The performance has been primarily driven by its direct-to-consumer efforts and partnerships. Sonos is focused on delivering innovative products and services.

During the quarter under review, the company unveiled Sonos Radio HD, a high-definition streaming tier of its popular streaming radio service Sonos Radio. Sonos and Legrand, a global specialist in electrical and digital building infrastructures, inked a licensing deal to cover the entire range of Legrand’s wireless audio products.

For the December quarter, the Zacks Consensus Estimate for revenues is pegged at $590 million, indicating growth of 5% from the year-ago quarter’s reported figure. The consensus estimate for adjusted earnings per share is pegged at 84 cents, which suggests a rise of 40%.

What Our Model Says

Our proven model doesn’t conclusively predict an earnings beat for Sonos this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Earnings ESP: Sonos’ Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 0.00% as both are pegged at 84 cents.

Sonos, Inc. Price and EPS Surprise

Sonos, Inc. Price and EPS Surprise

Sonos, Inc. price-eps-surprise | Sonos, Inc. Quote

Zacks Rank: Sonos currently carries a Zacks Rank #3.

Stocks to Consider

Here are some companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat this quarter:

Sun Life Financial Inc. (SLF - Free Report) is slated to release fourth-quarter 2020 results on Feb 10. It has an Earnings ESP of +12.50% and carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

CDW Corporation (CDW - Free Report) is scheduled to release fourth-quarter 2020 results on Feb 10. The company has an Earnings ESP of +3.40% and carries a Zacks Rank #2.

Bunge Limited (BG - Free Report) has an Earnings ESP of +3.09% and a Zacks Rank of 1. The company is set to report fourth-quarter 2020 results on Feb 10.

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