Applied Digital Corporation (APLD)vsSonos Inc (SONO)
APLD
Applied Digital Corporation
$19.41
-4.81%
TECHNOLOGY · Cap: $5.46B
SONO
Sonos Inc
$17.75
-0.67%
TECHNOLOGY · Cap: $2.05B
Smart Verdict
WallStSmart Research — data-driven comparison
Sonos Inc generates 71% more annual revenue ($1.49B vs $872.25M). SONO leads profitability with a 3.8% profit margin vs -53.0%. SONO earns a higher WallStSmart Score of 47/100 (D+).
APLD
Hold41
out of 100
Grade: D
SONO
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+27.5%
Fair Value
$24.58
Current Price
$19.41
$5.17 discount
Margin of Safety
-32.2%
Fair Value
$12.48
Current Price
$17.75
$5.27 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 322.4% year-over-year
Earnings expanding 87.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
0.0% earnings growth
ROE of -11.8% — below average capital efficiency
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
ROE of 6.2% — below average capital efficiency
3.8% margin — thin
Operating margin of 4.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : APLD
The strongest argument for APLD centers on Revenue Growth. Revenue growth of 322.4% demonstrates continued momentum.
Bull Case : SONO
The strongest argument for SONO centers on EPS Growth, Debt/Equity.
Bear Case : APLD
The primary concerns for APLD are PEG Ratio, EPS Growth, Return on Equity. Debt-to-equity of 3.63 is elevated, increasing financial risk.
Bear Case : SONO
The primary concerns for SONO are P/E Ratio, Return on Equity, Profit Margin. Thin 3.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
APLD profiles as a hypergrowth stock while SONO is a value play — different risk/reward profiles.
APLD carries more volatility with a beta of 6.00 — expect wider price swings.
APLD is growing revenue faster at 322.4% — sustainability is the question.
SONO generates stronger free cash flow (40M), providing more financial flexibility.
Bottom Line
SONO scores higher overall (47/100 vs 41/100). APLD offers better value entry with a 27.5% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Applied Digital Corporation
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
Applied Blockchain, Inc. is engaged in crypto mining and co-hosting operations. The company is headquartered in Dallas, Texas.
Visit Website →Sonos Inc
TECHNOLOGY · CONSUMER ELECTRONICS · USA
Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.
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