Sonos' FY23 outlook fails to strike chord with Street; stock down 25%

Sonos

11/05/2023 11:26

** Shares of speaker maker Sonos Inc  SONO.O  down 25.3% at
$15.81 premarket 
    ** SONO among the top losers across all major U.S. exchanges
    ** Co lowers its 2023 rev outlook range to $1.63 bln - 1.68
bln from previous guidance of $1.7 bln - $1.8 bln 
    ** Analysts expect 2023 rev of $1.7 bln, according to
Refinitiv data 
    ** Reducing our expectations for the second half of fiscal
2023 due to softening consumer demand and channel partner
inventory tightening - SONO CEO 
    ** Jefferies says, "Believe SONO is facing pressure as
consumers shift spends from goods to services," lowers PT to $22
from $25 
    ** Such is the nature of a consumer hardware business, and
while revised guidance takes numbers lower, we have no reason to
“call the bottom” at this point - Raymond James 
    ** As of last close, SONO up ~25% YTD

 (Reporting by Vansh Agarwal in Bengaluru)
 ((Vansh.Agarwal@thomsonreuters.com;))