WallStSmart

Lantronix Inc (LTRX)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sonos Inc generates 1133% more annual revenue ($1.49B vs $120.90M). SONO leads profitability with a 3.8% profit margin vs -3.5%. SONO earns a higher WallStSmart Score of 48/100 (D+).

LTRX

Hold

39

out of 100

Grade: F

Growth: 4.0Profit: 2.0Value: 6.0Quality: 7.0
Piotroski: 4/9Altman Z: 0.97

SONO

Hold

48

out of 100

Grade: D+

Growth: 6.0Profit: 4.5Value: 3.7Quality: 7.0
Piotroski: 3/9Altman Z: 2.04
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Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for LTRX.

SONOSignificantly Overvalued (-31.9%)

Margin of Safety

-31.9%

Fair Value

$12.51

Current Price

$15.12

$2.61 premium

UndervaluedFair: $12.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LTRX3 strengths · Avg: 8.7/10
Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.918/10

Growing faster than its price suggests

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

SONO2 strengths · Avg: 9.5/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

Areas to Watch

LTRX4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$243.80M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-8.8%2/10

ROE of -8.8% — below average capital efficiency

Altman Z-ScoreHealth
0.972/10

Distress zone — elevated risk

SONO4 concerns · Avg: 3.3/10
P/E RatioValuation
32.3x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.72B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.2%3/10

ROE of 6.2% — below average capital efficiency

Profit MarginProfitability
3.8%3/10

3.8% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : LTRX

The strongest argument for LTRX centers on Debt/Equity, PEG Ratio, Price/Book. PEG of 0.91 suggests the stock is reasonably priced for its growth.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth, Debt/Equity.

Bear Case : LTRX

The primary concerns for LTRX are EPS Growth, Market Cap, Return on Equity.

Bear Case : SONO

The primary concerns for SONO are P/E Ratio, Market Cap, Return on Equity. Thin 3.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

LTRX profiles as a turnaround 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.

SONO is growing revenue faster at 8.8% — sustainability is the question.

SONO generates stronger free cash flow (40M), providing more financial flexibility.

Bottom Line

SONO scores higher overall (48/100 vs 39/100). 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.

Lantronix Inc

TECHNOLOGY · COMMUNICATION EQUIPMENT · USA

Lantronix, Inc. provides Software as a Service (SaaS), hardware and engineering services for Edge Computing, Internet of Things (IoT) and Remote Environment Management (REM) in the Americas, Europe, the Middle East, Africa and Asia Pacific Japan. The company is headquartered in Irvine, California.

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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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