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SonosFRA:8SO -9.46%61 3-Year ROIIC % is 201.11 as of Sep. 2025, which is 244% above its 10-year median of 58.46. GuruFocus rates FRA:8SO with a GF Score™ of 61/100 and a GF Value™ of €14.27 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 2,375 Hardware companies, Sonos ranks better than 95.16% on this metric.
3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year.
Sonos's 3-Year ROIIC % for the quarter that ended in Sep. 2025 was 201.11%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Sonos's 3-Year ROIIC % or its related term are showing as below:
FRA:8SO's 3-Year ROIIC % is ranked better than 95.16% of 2375
companies
in the Hardware industry
Industry Median: 2.34
vs FRA:8SO: 201.11
Sonos (FRA:8SO) 3-Year ROIIC % Explanation
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
Sonos 3-Year ROIIC % Related Terms
Sonos 3-Year ROIIC % Historical Data
* Premium members only.
The historical data trend for Sonos's 3-Year ROIIC % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
FRA:8SO vs TBCH, VUZI, GPRO: 3-Year ROIIC % Comparison
For the Consumer Electronics subindustry, Sonos's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Sonos 3-Year ROIIC % vs Hardware Industry
For the Hardware industry and Technology sector, Sonos's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Sonos's 3-Year ROIIC % falls into.
Sonos's 3-Year ROIIC % for the quarter that ended in Sep. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( -28.076 (Sep. 2025) - 88.6546308 (Sep. 2022) )
/
( 348.001 (Sep. 2025) - 473.17 (Sep. 2022) )
=
-116.7306308
/
-125.169
=
93.26%***
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
Sonos (FRA:8SO) has a 3-Year ROIIC % of 201.11 as of Sep. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Sonos and its competitors. This is 244% above median its historical median of 58.46. According to the industry distribution chart, Sonos ranks #115 out of 2375 companies in the Hardware industry, placing it in the top 4.8%.
Is Sonos' 3-Year ROIIC % too high?
Sonos' current 3-Year ROIIC % of 201.11 is 244% above median its 10-year median of 58.46. The Hardware industry median 3-Year ROIIC % is 2.34. Sonos' value of 201.11 is 8494.4% above this industry median. Based on the distribution chart, Sonos ranks #115 out of 2375 companies in the Hardware industry, which is in the top quartile — a strong position relative to peers. Overall, Sonos has a GF Score™ of 61/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sonos' 3-Year ROIIC % compare to TBCH and VUZI?
According to the Hardware industry distribution chart, Sonos ranks #115 out of 2375 companies for 3-Year ROIIC %. This places Sonos in the top 5% of its industry — outperforming the majority of peers. The industry median 3-Year ROIIC % is 2.34. Sonos' value of 201.11 is 8494.4% above this benchmark. While the company's 10-year median is 58.46 vs. the industry median of 2.34, Sonos has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for a Hardware company?
The median 3-Year ROIIC % among Hardware companies is 2.34, based on 2,375 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sonos's current 3-Year ROIIC % of 201.11 is 8494.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Sonos and its competitors. For the Hardware industry, the median 3-Year ROIIC % is 2.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sonos's current 3-Year ROIIC % is 201.11, which is 244% above median its own 10-year median of 58.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sonos stock overvalued right now?
Based on GuruFocus' analysis, Sonos (FRA:8SO) is currently considered Modestly Undervalued. The stock's GF Value™ is €14.27, compared to a current price of €12.16 — trading 14.8% below its estimated fair value. The current 3-Year ROIIC % is 201.11, which is 244% above median its 10-year median of 58.46 and 8494.4% above the Hardware industry median of 2.34. Sonos' overall GF Score™ is 61/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Sonos (FRA:8SO), the current 3-Year ROIIC % is 201.11 as of Sep. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Sonos (FRA:8SO) Overvalued in 2026?
Based on GuruFocus' analysis, Sonos stock appears to be undervalued.
The current stock price of €12.16 is trading 14.8% below its estimated GF Value™ of €14.27.
GuruFocus considers Sonos to be Modestly Undervalued.
Key valuation signals for FRA:8SO:
3-Year ROIIC %: 201.11 (244% above median its 10-year median of 58.46)
GF Value™: €14.27 vs. price of €12.16 (14.8% below fair value)
Industry Position: 8494.4% above the Hardware median (#115 of 2375)
No single metric tells the full story. See the FRA:8SO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Sonos Inc is an audio company dedicated to elevating life through sound, offering a connected platform that brings together music, movies, stories, and conversations. Its portfolio includes home theater speakers, components, plug-in and portable speakers and headphones, known for exceptional sound, thoughtful design, ease of use and seamless access to audio content. Its partner products and other revenue categories include accessories for home integration, such as custom-designed stands, mounts, and shelving units, along with partnerships for architectural speakers and automotive sound systems, as well as licensing, advertising revenue, and subscription-based services. The company operates in the United States and other countries, with the majority of revenue coming from the United States.
61GF Score
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