Gen Digital Inc. (GEN)vsSonos Inc (SONO)
GEN
Gen Digital Inc.
$26.28
-0.90%
TECHNOLOGY · Cap: $14.65B
SONO
Sonos Inc
$15.08
-7.20%
TECHNOLOGY · Cap: $1.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Gen Digital Inc. generates 243% more annual revenue ($5.00B vs $1.46B). GEN leads profitability with a 19.5% profit margin vs 1.6%. GEN trades at a lower P/E of 15.5x. GEN earns a higher WallStSmart Score of 78/100 (B+).
GEN
Strong Buy78
out of 100
Grade: B+
SONO
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-37.0%
Fair Value
$18.01
Current Price
$26.28
$8.27 premium
Margin of Safety
-34.6%
Fair Value
$12.26
Current Price
$15.08
$2.82 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 37 in profit
Strong operational efficiency at 63.4%
Earnings expanding 265.2% YoY
Attractively priced relative to earnings
Revenue surging 27.0% year-over-year
Earnings expanding 87.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
Distress zone — elevated risk
Elevated debt levels
Smaller company, higher risk/reward
ROE of 6.2% — below average capital efficiency
1.6% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : GEN
The strongest argument for GEN centers on Return on Equity, Operating Margin, EPS Growth. Profitability is solid with margins at 19.5% and operating margin at 63.4%. Revenue growth of 27.0% demonstrates continued momentum.
Bull Case : SONO
The strongest argument for SONO centers on EPS Growth, Debt/Equity.
Bear Case : GEN
The primary concerns for GEN are Altman Z-Score, Debt/Equity. Debt-to-equity of 3.16 is elevated, increasing financial risk.
Bear Case : SONO
The primary concerns for SONO are Market Cap, Return on Equity, Profit Margin. A P/E of 90.3x leaves little room for execution misses. Thin 1.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
GEN profiles as a growth stock while SONO is a value play — different risk/reward profiles.
SONO carries more volatility with a beta of 1.94 — expect wider price swings.
GEN is growing revenue faster at 27.0% — sustainability is the question.
GEN generates stronger free cash flow (476M), providing more financial flexibility.
Bottom Line
GEN scores higher overall (78/100 vs 45/100), backed by strong 19.5% margins and 27.0% revenue growth. Both earn "Strong Buy" 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.
Gen Digital Inc.
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Gen Digital Inc. provides cybersecurity solutions for consumers in the United States, Canada, Latin America, Europe, the Middle East, Africa, Asia Pacific, and Japan. The company is headquartered in Tempe, Arizona.
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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