Sleep Number Corporation [NASDAQ:SNBR]: Analyst Rating and Earnings
Stock market traders oftentimes pay a lot of attention to what top analysts say regarding a potential investment. Regarding Sleep Number Corporation [SNBR], the latest average analyst recommendation we can see is from the quarter closing in December. On average, stock market experts give SNBR an Hold rating. Its stock price has been found in the range of 4.65 to 9.56. This is compared to its latest closing price of $35.13.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Sleep Number Corporation [SNBR] is sitting at 3.11. This is compared to 1 month ago, when its average rating was 3.12.
For the quarter ending in Sep-18 Sleep Number Corporation [SNBR] generated $0.41 billion in sales. That’s 0.89% higher than the average estimate of $0.41 billion as provided by Wall Street analysts. The three indicators above suggest that the company is performing better than market experts expected, boosting its appeal as a solid investment.
Pay attention for this company’s financial results, of which the next release is scheduled to happen on Wed 13 Feb (In 3 Days).
Fundamental Analysis of Sleep Number Corporation [SNBR]
Now let’s turn to look at profitability: with a current Operating Margin for Sleep Number Corporation [SNBR] sitting at +6.36 and its Gross Margin at +62.97, this company’s Net Margin is now 3.90%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 55.61, and its Return on Invested Capital has reached 56.50%. Its Return on Equity is 52.17, and its Return on Assets is 13.63. These metrics all suggest that Sleep Number Corporation is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Sleep Number Corporation [SNBR] has generated a Total Debt to Total Equity ratio of 61.13. Similarly, its Total Debt to Total Capital is 37.94, while its Total Debt to Total Assets stands at 10.94.
What about valuation? This company’s Enterprise Value to EBITDA is 7.85 and its Total Debt to EBITDA Value is 0.36. The Enterprise Value to Sales for this firm is now 0.81, and its Total Debt to Enterprise Value stands at 0.03. Sleep Number Corporation [SNBR] has a Price to Book Ratio of 16.36, a Price to Cash Flow Ratio of 9.17 and P/E Ratio of 22.62. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, Sleep Number Corporation [SNBR] earns $352,402 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 74.04 and its Total Asset Turnover is 3.02. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.16 and its Current Ratio is 0.44. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Let’s now turn our attention to trading performance: Sleep Number Corporation [SNBR] has 33.64M shares outstanding, amounting to a total market cap of $1.17B. Its stock price has been found in the range of 26.22 to 41.05. At its current price, it has moved by -15.49% from its 52-week high, and it has moved 32.30% from its 52-week low.
This stock’s Beta value is currently 1.23, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 47.38. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Sleep Number Corporation [SNBR] a Reliable Buy?
Shares of Sleep Number Corporation [SNBR], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.