Rapid7 Inc (RPD)vsSonos Inc (SONO)
RPD
Rapid7 Inc
$9.48
+0.96%
TECHNOLOGY · Cap: $798.63M
SONO
Sonos Inc
$14.43
-17.64%
TECHNOLOGY · Cap: $1.81B
Smart Verdict
WallStSmart Research — data-driven comparison
Sonos Inc generates 70% more annual revenue ($1.46B vs $859.23M). RPD leads profitability with a 2.6% profit margin vs 1.6%. RPD trades at a lower P/E of 35.1x. RPD earns a higher WallStSmart Score of 49/100 (D+).
RPD
Hold49
out of 100
Grade: D+
SONO
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+88.5%
Fair Value
$64.44
Current Price
$9.48
$54.96 discount
Margin of Safety
-35.3%
Fair Value
$12.20
Current Price
$14.43
$2.23 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 87.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
2.6% margin — thin
Operating margin of 0.0%
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 : RPD
The strongest argument for RPD centers on PEG Ratio. PEG of 0.65 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 : RPD
The primary concerns for RPD are P/E Ratio, Market Cap, Profit Margin. Debt-to-equity of 5.52 is elevated, increasing financial risk. Thin 2.6% margins leave little buffer for downturns.
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
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.
RPD generates stronger free cash flow (38M), providing more financial flexibility.
Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
RPD scores higher overall (49/100 vs 45/100). 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.
Rapid7 Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Rapid7, Inc. provides cyber security solutions. The company is headquartered in Boston, Massachusetts.
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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