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Factors to Note Ahead of Sonos (SONO) Q2 Earnings Release
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Sonos Inc. (SONO - Free Report) is scheduled to report second-quarter fiscal 2022 results on May 11.
For the fiscal second quarter, the Zacks Consensus Estimate for revenues is pegged at $361.4 million, indicating a year-over-year increase of 8.6%.
The Zacks Consensus Estimate for quarterly earnings is pinned at 4 cents per share, suggesting a year-over-year decline of 87.1%.
The company’s earnings beat the Zacks Consensus Estimate in the trailing four quarters, the average surprise being 172.1%.
In the last reported quarter, Sonos reported non-GAAP earnings of $1.02 per share compared with $1.17 per share recorded in the year-ago quarter. The bottom line beat the Zacks Consensus Estimate by 15.9%.
Quarterly revenues rose 3.5% year over year to $664.5 million, driven by robust demand for its products despite continued supply constraints stemming from the pandemic. The top line surpassed the consensus estimate by 3.8%.
Let’s see how things have shaped up for the upcoming announcement.
Factors at Play
Sonos has been focused on its three strategic initiatives — expanding its brand, boosting its offerings and driving operational excellence. This is likely to have favored the top line and margin expansion. Sonos is expected to have benefited from a strong demand environment, especially for its higher-end products.
Beam Gen 2 was the first product launched in fiscal 2022, which is the latest generation of the industry-leading compact smart soundbar for TV, music, gaming and more. The new Beam features a redesigned and updated sound experience with greater depth and clarity, as well as Dolby Atmos support. Product launches such as Roam and Sonos Radio HD, as well as partnerships with companies like Audi and IKEA, are likely to have aided the company in the quarter under review.
However, the pandemic-related global supply-chain and logistic issues, as well as component shortages, are expected to have been the key concerns. Rising operating costs have been another headwind, reflecting increasing research and development, as well as sales and marketing spending.
Earnings Whispers
Our proven model does not conclusively predict 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.
Sonos has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
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:
Wix.com (WIX - Free Report) has an Earnings ESP of +15.09% and a Zacks Rank of 2 at present. Wix is set to release first-quarter 2022 results on May 16.
The Zacks Consensus Estimate for earnings is pegged at a loss of 64 cents per share, suggesting a decrease of 18.52% from the prior-year quarter’s reported figure. Shares of WIX have lost 74.4% in the past year.
Cisco Systems (CSCO - Free Report) has an Earnings ESP of +0.84% and a Zacks Rank of 2 at present. CSCO is set to release third-quarter fiscal 2022 results on May 18.
The Zacks Consensus Estimate for earnings is pegged at 86 cents per share, suggesting an increase of 3.61% from the prior-year quarter’s reported figure. Shares of CSCO have lost 7.2% in the past year.
Stantec (STN - Free Report) has an Earnings ESP of +8.05% and a Zacks Rank of 2 at present. STN is set to release first-quarter 2022 results on May 11.
The Zacks Consensus Estimate for earnings is pegged at 47 cents per share, suggesting an increase of 23.7% from the prior-year quarter’s reported figure. Shares of STN have gained 0.5% in the past year.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Factors to Note Ahead of Sonos (SONO) Q2 Earnings Release
Sonos Inc. (SONO - Free Report) is scheduled to report second-quarter fiscal 2022 results on May 11.
For the fiscal second quarter, the Zacks Consensus Estimate for revenues is pegged at $361.4 million, indicating a year-over-year increase of 8.6%.
The Zacks Consensus Estimate for quarterly earnings is pinned at 4 cents per share, suggesting a year-over-year decline of 87.1%.
The company’s earnings beat the Zacks Consensus Estimate in the trailing four quarters, the average surprise being 172.1%.
In the last reported quarter, Sonos reported non-GAAP earnings of $1.02 per share compared with $1.17 per share recorded in the year-ago quarter. The bottom line beat the Zacks Consensus Estimate by 15.9%.
Sonos, Inc. Price and EPS Surprise
Sonos, Inc. price-eps-surprise | Sonos, Inc. Quote
Quarterly revenues rose 3.5% year over year to $664.5 million, driven by robust demand for its products despite continued supply constraints stemming from the pandemic. The top line surpassed the consensus estimate by 3.8%.
Let’s see how things have shaped up for the upcoming announcement.
Factors at Play
Sonos has been focused on its three strategic initiatives — expanding its brand, boosting its offerings and driving operational excellence. This is likely to have favored the top line and margin expansion. Sonos is expected to have benefited from a strong demand environment, especially for its higher-end products.
Beam Gen 2 was the first product launched in fiscal 2022, which is the latest generation of the industry-leading compact smart soundbar for TV, music, gaming and more. The new Beam features a redesigned and updated sound experience with greater depth and clarity, as well as Dolby Atmos support. Product launches such as Roam and Sonos Radio HD, as well as partnerships with companies like Audi and IKEA, are likely to have aided the company in the quarter under review.
However, the pandemic-related global supply-chain and logistic issues, as well as component shortages, are expected to have been the key concerns. Rising operating costs have been another headwind, reflecting increasing research and development, as well as sales and marketing spending.
Earnings Whispers
Our proven model does not conclusively predict 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.
Sonos has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
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:
Wix.com (WIX - Free Report) has an Earnings ESP of +15.09% and a Zacks Rank of 2 at present. Wix is set to release first-quarter 2022 results on May 16.
You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for earnings is pegged at a loss of 64 cents per share, suggesting a decrease of 18.52% from the prior-year quarter’s reported figure. Shares of WIX have lost 74.4% in the past year.
Cisco Systems (CSCO - Free Report) has an Earnings ESP of +0.84% and a Zacks Rank of 2 at present.
CSCO is set to release third-quarter fiscal 2022 results on May 18.
The Zacks Consensus Estimate for earnings is pegged at 86 cents per share, suggesting an increase of 3.61% from the prior-year quarter’s reported figure. Shares of CSCO have lost 7.2% in the past year.
Stantec (STN - Free Report) has an Earnings ESP of +8.05% and a Zacks Rank of 2 at present. STN is set to release first-quarter 2022 results on May 11.
The Zacks Consensus Estimate for earnings is pegged at 47 cents per share, suggesting an increase of 23.7% from the prior-year quarter’s reported figure. Shares of STN have gained 0.5% in the past year.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.