Here's What You May Have Missed About Sovos Brands (SOVO)

After moving -0.4% during today's afternoon session, Sovos Brands is now trading at a price of $22.54 per share. On average, analysts give it a target price of $22.56.

Sovos Brands, Inc., through its subsidiaries, operates as a consumer-packaged food company that manufactures and distributes consumer food products in the United States.

Potential Sovos Brands Investors Should Analyze the Following:

  • The company has a price to earnings growth (PEG) ratio of 1.99. A number between 0 and 1 could mean that the market is undervaluing Sovos Brands's estimated growth potential

  • Its Price to Book (P/B) ratio is 4.55

Understanding Sovos Brands's Operating Margins

Date Reported Total Revenue ($ k) Operating Expenses ($ k) Operating Margins (%) YoY Growth (%)
2022-12-31 878,371 191,810 6.25 -20.99
2021-12-31 719,186 163,931 7.91 18.41
2020-12-31 560,067 149,356 6.68 560.69
2019-12-31 388,004 118,251 -1.45 n/a

Over the last 4 years, Sovos Brands's operating margins have averaged only 4.8%, with a high coefficient of variability of 87.8%. On the other hand, we note that the firm's margins are growing at a 51.8% compounded average yearly rate.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.