Two Seas Capital LP Sells 97,886 Shares of Sonos, Inc. $SONO

Key Points

• Two Seas Capital LP reduced its stake in Sonos, Inc. by 18.5%, now holding 431,042 shares, making Sonos 0.1% of its investment portfolio.
• CEO Thomas Conrad and CFO Saori Casey both significantly increased their shareholdings in August, with Conrad acquiring 92,300 shares and Casey acquiring 22,727 shares.
• Sonos reported a quarterly revenue of $344.76 million, missing the earnings estimate but showing a revenue increase compared to expectations.

Two Seas Capital LP decreased its position in shares of Sonos, Inc. (NASDAQ:SONO - Free Report) by 18.5% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 431,042 shares of the company's stock after selling 97,886 shares during the quarter. Sonos comprises approximately 0.1% of Two Seas Capital LP's investment portfolio, making the stock its 16th biggest holding. Two Seas Capital LP owned about 0.36% of Sonos worth $4,599,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also bought and sold shares of the company. AlphaQuest LLC bought a new position in Sonos during the 1st quarter worth approximately $29,000. Headlands Technologies LLC boosted its stake in Sonos by 38.8% during the 1st quarter. Headlands Technologies LLC now owns 7,760 shares of the company's stock worth $83,000 after acquiring an additional 2,168 shares during the last quarter. State of Wyoming bought a new position in Sonos in the first quarter valued at approximately $85,000. Point72 Asia Singapore Pte. Ltd. bought a new position in Sonos in the fourth quarter valued at approximately $103,000. Finally, Corient IA LLC bought a new position in Sonos in the first quarter valued at approximately $107,000. Institutional investors own 85.82% of the company's stock.

Insiders Place Their Bets

In related news, CEO Thomas Conrad acquired 92,300 shares of the firm's stock in a transaction on Friday, August 8th. The shares were purchased at an average cost of $11.10 per share, for a total transaction of $1,024,530.00. Following the completion of the acquisition, the chief executive officer directly owned 242,778 shares in the company, valued at approximately $2,694,835.80. This trade represents a 61.34% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, major shareholder Coliseum Capital Management, L bought 675,000 shares of Sonos stock in a transaction dated Tuesday, July 29th. The stock was acquired at an average cost of $11.25 per share, with a total value of $7,593,750.00. Following the transaction, the insider owned 14,505,191 shares of the company's stock, valued at $163,183,398.75. This trade represents a 4.88% increase in their position. The disclosure for this purchase can be found here. Over the last 90 days, insiders have purchased 2,430,069 shares of company stock worth $26,482,216. 1.80% of the stock is owned by corporate insiders.

Sonos Stock Performance

SONO traded down $0.07 during trading on Friday, reaching $15.09. 532,537 shares of the stock were exchanged, compared to its average volume of 1,997,509. The stock has a market cap of $1.82 billion, a P/E ratio of -23.25 and a beta of 2.17. Sonos, Inc. has a twelve month low of $7.63 and a twelve month high of $15.89. The stock's 50 day moving average price is $12.25 and its two-hundred day moving average price is $11.01.

Sonos (NASDAQ:SONO - Get Free Report) last issued its earnings results on Wednesday, August 6th. The company reported ($0.03) earnings per share for the quarter, missing analysts' consensus estimates of ($0.02) by ($0.01). The firm had revenue of $344.76 million for the quarter, compared to analyst estimates of $324.66 million. Sonos had a negative return on equity of 18.19% and a negative net margin of 5.41%.Sonos's quarterly revenue was down 13.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.03 earnings per share. Equities research analysts predict that Sonos, Inc. will post -0.37 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on SONO. Rosenblatt Securities reaffirmed a "buy" rating and issued a $17.00 price target on shares of Sonos in a research note on Wednesday, August 20th. Wall Street Zen raised shares of Sonos from a "sell" rating to a "hold" rating in a research note on Saturday, August 2nd. Two investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Sonos has an average rating of "Hold" and an average target price of $13.67.

Sonos Company Profile

Sonos, Inc, together with its subsidiaries, designs, develops, manufactures, and sells audio products and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It offers wireless, portable, and home theater speakers; components; and accessories. The company offers its products through approximately 10,000 third-party retail stores, including custom installers of home audio systems; and e-commerce retailers, as well as through its website.