WallStSmart

Qualys Inc (QLYS)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sonos Inc generates 113% more annual revenue ($1.46B vs $684.86M). QLYS leads profitability with a 29.4% profit margin vs 1.6%. QLYS trades at a lower P/E of 20.0x. QLYS earns a higher WallStSmart Score of 62/100 (C+).

QLYS

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 9.5Value: 4.3Quality: 6.5
Piotroski: 5/9Altman Z: 1.98

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

Intrinsic value data unavailable for QLYS.

SONOSignificantly Overvalued (-34.6%)

Margin of Safety

-34.6%

Fair Value

$12.26

Current Price

$15.08

$2.82 premium

UndervaluedFair: $12.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

QLYS4 strengths · Avg: 9.8/10
Return on EquityProfitability
35.4%10/10

Every $100 of equity generates 35 in profit

Operating MarginProfitability
35.0%10/10

Strong operational efficiency at 35.0%

Debt/EquityHealth
0.0910/10

Conservative balance sheet, low leverage

Profit MarginProfitability
29.4%9/10

Keeps 29 of every $100 in revenue as profit

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

QLYS2 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

PEG RatioValuation
4.372/10

Expensive relative to growth rate

SONO4 concerns · Avg: 3.0/10
Market CapQuality
$1.83B3/10

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 : QLYS

The strongest argument for QLYS centers on Return on Equity, Operating Margin, Debt/Equity. Profitability is solid with margins at 29.4% and operating margin at 35.0%.

Bull Case : SONO

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

Bear Case : QLYS

The primary concerns for QLYS are Altman Z-Score, PEG Ratio.

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

QLYS profiles as a mature 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.

QLYS is growing revenue faster at 9.8% — sustainability is the question.

QLYS generates stronger free cash flow (94M), providing more financial flexibility.

Bottom Line

QLYS scores higher overall (62/100 vs 45/100), backed by strong 29.4% margins. Both earn "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.

Qualys Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Qualys, Inc. provides cloud-based information technology (IT), security, and compliance solutions in the United States and internationally. The company is headquartered in Foster City, California.

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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