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Synchronoss Technologies SNCR stock is trading at a significant discount, as suggested by the Value Score of A. In terms of the forward 12-month Price/Sales, SNCR is trading at 0.55X, lower than its median of 0.59X and the Zacks Computer & Technology sector’s 6.32X.
SNCR is cheaper than its peers including Microsoft MSFT and Dropbox DBX, both offering personal cloud services integrated with their respective platforms. Microsoft and Dropbox are currently trading at a P/S of 9.73X and 3.15X, respectively.
SNCR Shares Trading at Discount
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However, Synchronoss shares have dropped 4.7% year to date, underperforming the broader sector’s decline of 0.9% and Internet Software industry’s appreciation of 8.2% amid challenging macroeconomic conditions. The shares have outperformed Microsoft and Dropbox shares of which declined 6.9% and 13.5%, respectively.
SNCR Stock Lags Sector & Industry
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Synchronoss shares are trading below the 50-day and 200-day moving averages, indicating a bearish trend.
SNCR Trades Below 50-day & 200-day SMAs
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Let us dig deep to find out what investors should do with the SNCR stock.
Strong Portfolio & Rich Partner Base Aids SNCR
Synchronoss’ strong portfolio and rich partner base are expected to help the stock’s prospects. SNCR’s number of cloud subscribers grew 5.1% year over year in the third quarter of 2024, which drove 8% year-over-year growth in total revenues. Synchronoss’ 75% of revenues are under contract for at least four years, which boosts top-line visibility.
In January 2025, SNCR launched the next-generation Synchronoss Personal Cloud platform at CES 2025, offering enhanced AI-powered photo editing tools, an improved interface and advanced backup functionalities.
Available globally through carriers like AT&T T, Verizon and SoftBank, the platform now supports more than 11 million subscribers, with features like iPhone storage optimization and Android’s improved folder backup. The platform prioritizes data privacy and security, providing users with a seamless, ad-free experience and customizable options to manage and enhance its digital content.
SNCR’s rich partner base is noteworthy. In December 2024, Synchronoss announced a three-year contract extension with AT&T for its Personal Cloud solution, enabling secure backup, management, and sharing of content across devices and the cloud. In the third quarter of 2024, SNCR secured a three-year contract extension with SFR, part of Altice France, which operates high-speed fixed and mobile networks serving over 27 million users.