Sonos SONO has released its annual Listen Better Report, which includes a complete overview of the company’s ESG efforts throughout 2022.
The report includes the company’s efforts toward its Climate Action Plan to help the company become carbon neutral by 2030 and achieve net zero by 2040. Companies all over the world are focusing more and more on sustainable projects to reduce the environmental impact of their products and services.
The Climate Action Plan was first introduced in 2021, which involved collaborating with organizations using sound to improve the environment and funding cutting-edge bioacoustic research.
Sonos, Inc. Price and Consensus
Sonos, Inc. price-consensus-chart | Sonos, Inc. Quote
In fiscal 2022, the company hosted an internal Energy Efficiency Summit that drew specialists from across the company to create a plan for enhancing device efficiency. The event helped the company to develop a detailed road map for achieving minimal power consumption while upholding high customer experience.
Also, it helped the company to identify efficiency issues and develop a solid plan against its largest impact area of product energy use.
The company has established a dedicated Product Sustainability team to make sure that sustainability is incorporated into every stage of the product development process. The team is focused on making products easier to repair, utilizing eco-friendly materials and utilizing recycled resins and plastics in all of its products.
In fiscal 2022, the company’s product packaging consisted of 90% sustainably sourced paper, which will help the company to achieve its goal of 100% by 2025.
The company also conducted a product life cycle assessment to understand the impact of its products on climate, water usage and waste.
Sonos operates as a consumer electronics company primarily involved in manufacturing smart speakers with immersive sound experiences. The company continues to struggle owing to rising supply constraints and unfavorable forex movements.
The company reported a non-GAAP loss of 32 cents per share for the fiscal fourth quarter against earnings of 8 cents per share in the prior-year quarter. The Zacks Consensus Estimate is pegged at a loss of 43 cents per share.
Quarterly revenues declined 12% year over year to $316.3 million. However, it beat the Zacks Consensus Estimate by 4.6%.
The company currently carries a Zacks Rank #3 (Hold). Shares of the company have lost 46% compared with the industry’s decline of 31.1% in the past year.
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Stocks to Consider
Some better-ranked stocks from the broader consumer discretionary sector are RCI Hospitality RICK, Swedish Match SWMAY and Lululemon Athletica LULU. RCI Hospitality, Swedish Match and Lululemon Athletica are currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks.
The Zacks Consensus Estimate for RCI Hospitality’s 2022 earnings is pegged at $5.27 per share, up 2.3% in the past 60 days. The long-term earnings growth rate is anticipated to be 12%.
RCI Hospitality’s earnings beat the Zacks Consensus Estimate in three of the last four quarters, the average being 39.4%. Shares of RICK have increased 43.8% in the past year.
The Zacks Consensus Estimate for Swedish Match’s 2022 earnings is pegged at 46 cents per share, unchanged in the past 60 days.
Swedish Match’s earnings beat the Zacks Consensus Estimate in the last four quarters, the average being 8%. Shares of SWMAY have increased 50.2% in the past year.
The Zacks Consensus Estimate for Lululemon’s 2022 earnings is pegged at $9.89 per share, up 0.2% in the past 60 days. The long-term earnings growth rate is anticipated to be 20%.
Lululemon’s earnings beat the Zacks Consensus Estimate in the last four quarters, the average being 10.4%. Shares of LULU have decreased 20.1% in the past year.
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