Sonos OZ Struggles With Profits As Insiders Sell Down Their Stock Holdings
What do Sonos insiders know? According to analysts Sonos insiders have decreased the amount of stock they own where it now only makes up 0.50%.
It was only last week that we wrote about how investors and analysts like the 34% of or $2.1 billion dollars’ worth of stock that Harvey Norman insiders own, these are the people who work every day at the coalface making the decisions about the future of the business they own shares in.
Globally Sonos is stumbling with their stock falling -20.30% during the past 12 months.
In Australia, the US Company turned over $56.7 Million last year which was up $2.59 Million on the prior year.
Profits at the local operation came in at a mere $1.3 Million Vs $1.1 Million previously.
Back when Sonos floated we tipped that the exercise was more about early investors in the Company getting their money out of a Company that is struggling to make a profit in a brutally competitive market.
Analysts claim that investors will be closely tracking the stock market movements of Sonos stock over the next few months as they desperately look for new ways to prop up their flagging performance.
Some analysts claim that recent market action may have investors questioning if a major pullback is on the horizon as the Company struggles to deliver stock to retailers.
University of Michigan professor and noted insider trading researcher, Nejat Seyhun, discovered that when insiders bought shares of their own companies, the stocks outperformed the total market by 8.9% over the following year while when they sold shares, the stock underperformed 5.4% over the same period.