WallStSmart

Qualcomm Incorporated (QCOM)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Qualcomm Incorporated generates 2947% more annual revenue ($44.49B vs $1.46B). QCOM leads profitability with a 22.3% profit margin vs 1.6%. QCOM trades at a lower P/E of 18.9x. QCOM earns a higher WallStSmart Score of 70/100 (B-).

QCOM

Strong Buy

70

out of 100

Grade: B-

Growth: 5.3Profit: 8.5Value: 7.3Quality: 7.5
Piotroski: 4/9Altman Z: 3.17

SONO

Hold

45

out of 100

Grade: D+

Growth: 6.0Profit: 4.0Value: 3.0Quality: 7.0
Piotroski: 3/9Altman Z: 2.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

QCOMUndervalued (+18.2%)

Margin of Safety

+18.2%

Fair Value

$190.36

Current Price

$155.68

$34.68 discount

UndervaluedFair: $190.36Overvalued
SONOSignificantly Overvalued (-35.3%)

Margin of Safety

-35.3%

Fair Value

$12.20

Current Price

$14.43

$2.23 premium

UndervaluedFair: $12.20Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

QCOM6 strengths · Avg: 9.3/10
Return on EquityProfitability
33.5%10/10

Every $100 of equity generates 33 in profit

EPS GrowthGrowth
173.0%10/10

Earnings expanding 173.0% YoY

Altman Z-ScoreHealth
3.1710/10

Safe zone — low bankruptcy risk

Market CapQuality
$185.11B9/10

Large-cap with strong market position

Profit MarginProfitability
22.3%9/10

Keeps 22 of every $100 in revenue as profit

PEG RatioValuation
0.558/10

Growing faster than its price suggests

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

Earnings expanding 87.5% YoY

Debt/EquityHealth
0.159/10

Conservative balance sheet, low leverage

Areas to Watch

QCOM1 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-3.5%2/10

Revenue declined 3.5%

SONO4 concerns · Avg: 3.0/10
Market CapQuality
$1.81B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.2%3/10

ROE of 6.2% — below average capital efficiency

Profit MarginProfitability
1.6%3/10

1.6% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : QCOM

The strongest argument for QCOM centers on Return on Equity, EPS Growth, Altman Z-Score. Profitability is solid with margins at 22.3% and operating margin at 22.1%. PEG of 0.55 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 : QCOM

The primary concerns for QCOM are Revenue Growth.

Bear Case : SONO

The primary concerns for SONO are Market Cap, Return on Equity, Profit Margin. A P/E of 89.4x leaves little room for execution misses. Thin 1.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

QCOM profiles as a declining stock while SONO is a value play — different risk/reward profiles.

SONO carries more volatility with a beta of 1.96 — expect wider price swings.

SONO is growing revenue faster at 8.4% — sustainability is the question.

QCOM generates stronger free cash flow (495M), providing more financial flexibility.

Bottom Line

QCOM scores higher overall (70/100 vs 45/100), backed by strong 22.3% margins. 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.

Qualcomm Incorporated

TECHNOLOGY · SEMICONDUCTORS · USA

Qualcomm is an American multinational corporation headquartered in San Diego, California, and incorporated in Delaware. It creates semiconductors, software, and services related to wireless technology. It owns patents critical to the 5G, 4G, CDMA2000, TD-SCDMA and WCDMA mobile communications standards.

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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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