Nokia vs Sonos Which Is More Lucrative?

Nokia and Sonos are two prominent companies in the technology industry, but their stocks have experienced contrasting trajectories. Nokia, once a dominant force in the mobile phone market, has struggled in recent years due to increased competition and technological shifts. In contrast, Sonos, a leading manufacturer of wireless speakers and home audio systems, has seen steady growth and success. Investors may be faced with the decision of which stock to choose based on their performance and future prospects in the market.

Nokia or Sonos?

When comparing Nokia and Sonos, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Nokia and Sonos.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Nokia has a dividend yield of 3.28%, while Sonos has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Nokia reports a 5-year dividend growth of 0.00% year and a payout ratio of 173.43%. On the other hand, Sonos reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Nokia P/E ratio at 55.40 and Sonos's P/E ratio at -46.33. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Nokia P/B ratio is 1.10 while Sonos's P/B ratio is 4.12.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Nokia has seen a 5-year revenue growth of -0.02%, while Sonos's is -0.25%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Nokia's ROE at 1.97% and Sonos's ROE at -7.70%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $4.36 for Nokia and $14.27 for Sonos. Over the past year, Nokia's prices ranged from $3.17 to $4.95, with a yearly change of 56.15%. Sonos's prices fluctuated between $10.23 and $19.76, with a yearly change of 93.16%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.