2024-05-08 23:24:07 ET
Summary
- Sonos stock fell over 5% after reporting Q2 results, with declining top line and increased R&D spending hurting margins and profitability.
- Sonos is expected to unveil a new product category, rumored to be premium headphones, in Q3, expanding its market reach.
- Despite short-term earnings disappointment, Sonos remains a strong brand in a large market, with continuous innovation and aggressive long-term targets.
So far this quarter, earnings disappointments have tallied up in the tech sector, and the environment is even less forgiving for hardware vendors. Sonos ( SONO ), the maker of premium home audio products, fell more than 5% after reporting Q2 results. While the company marginally beat top-line expectations, relatively flat y/y spending (particularly with increased investment in R&D) overcame a sharply declining top line, hurting margins and profitability....
Read the full article on Seeking Alpha
For further details see:
Sonos: Wait For The Second Half Story To Unfold