Sleep Number Corporation
- Open
- 0.03
- Day high
- 0.04
- Day low
- 0.02
- Prev close
- 0.03
- Volume
- 816K
- Mkt cap
- $3M
- P/E (TTM)
- —
- EPS (TTM)
- —
- P/B
- -0.0
- P/S
- 0.0
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$702K over the last 3 months (0 open-market buys, 6 sales)
- 🏛Institutions reducing (13F)
Sleep Number Corporation (SNBR) is a Consumer Cyclical company listed on NASDAQ. The stock is down 100% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 6 sales (SEC Form 4).
Sleep Number Corporation (SNBR) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 2 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
SNBR earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 12, 2026 | $-0.39 | $-2.19 | -458.6% | $319M | -0.5% |
| Mar 12, 2026 | $-0.50 | $-1.95 | -289.5% | $347M | -2.6% |
| Nov 5, 2025 | $0.15 | $0.07 | -53.3% | $343M | +4.3% |
| Jul 30, 2025 | $-0.12 | $-1.09 | -808.3% | $328M | -9.9% |
| Apr 30, 2025 | $-0.11 | $-0.38 | -245.5% | $393M | -1.2% |
| Mar 5, 2025 | $-0.22 | $-0.18 | +18.2% | $377M | -18.3% |
| Oct 30, 2024 | $-0.17 | $-0.14 | +17.6% | $427M | +9.5% |
| Jul 31, 2024 | $-0.37 | $-0.22 | +40.5% | $408M | -9.2% |
| Apr 24, 2024 | $-0.41 | $0.03 | +107.3% | $470M | -0.8% |
| Feb 22, 2024 | $-0.90 | $-0.58 | +35.6% | $430M | +2.1% |
| Jul 27, 2023 | $0.01 | $0.03 | +314.4% | $459M | -2.7% |
| Feb 22, 2023 | $-0.22 | $-0.24 | -9.1% | $498M | +0.4% |
SNBR insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 23, 2026 | HOWARD JULIEdirector | Sell | 10,585 | $0.13 |
| Jun 22, 2026 | Hellfeld Samuel Rofficer: EVP Chief Legal & Risk Officer | Sell | 7,964 | $0.31 |
| Jun 22, 2026 | MENDEZ ANGEL Ldirector | Sell | 3,020 | $0.22 |
| Jun 16, 2026 | Krusmark Christopher Dofficer: EVP, Retail & People Officer | Sell | 3,130 | $0.66 |
| Jun 1, 2026 | STADIUM CAPITAL MANAGEMENT LLC10 percent owner | Sell | 330,732 | $1.78 |
| Jun 1, 2026 | STADIUM CAPITAL MANAGEMENT LLC10 percent owner | Sell | 59,944 | $1.78 |
| May 21, 2026 | Eyler Phillipdirector | Grant | 15,067 | — |
| May 21, 2026 | MENDEZ ANGEL Ldirector | Grant | 15,067 | — |
| May 21, 2026 | Macadam Stephen E.director | Grant | 15,067 | — |
| May 21, 2026 | KILPATRICK DEBORAH L.director | Grant | 15,067 | — |
| May 21, 2026 | HOWARD JULIEdirector | Grant | 15,067 | — |
| May 18, 2026 | Minson Amberofficer: EVP, Chief Marketing Officer | Tax | 2,949 | $1.60 |
| Mar 16, 2026 | O'Keefe Amy Kofficer: EVP & Chief Financial Officer | Grant | 66,965 | — |
| Dec 15, 2025 | O'Keefe Amy Kofficer: EVP & Chief Financial Officer | Grant | 69,742 | — |
| Nov 6, 2025 | GULIS STEPHEN L JRdirector | Grant | 49,746 | — |
Source: SNBR SEC Form 4 filings, latest Jun 23, 2026. For informational purposes only — not investment advice.
See the full SNBR insider & 13F page →Sleep Number Corporation company profile
Overview
Sleep Number Corporation (NASDAQ:SNBR) is a Minneapolis-based specialty retailer and manufacturer of sleep solutions founded in 1987. Originally known as Select Comfort Corporation, the company rebranded to Sleep Number in 2017 and went public in 1998. Sleep Number has evolved from a traditional mattress manufacturer into a technology-driven sleep wellness company, operating approximately 648 retail stores across 50 states and maintaining a significant direct-to-consumer presence through e-commerce channels.
Business
Sleep Number operates in the specialty bedding industry, focusing on smart sleep technology and personalized sleep solutions. The company's core offering revolves around Sleep Number beds, which are adjustable air mattresses that allow users to customize firmness levels on each side of the bed using a numerical scale from 1 to 100. This technology enables couples to have different firmness preferences while sharing the same mattress. The company's flagship product line includes Sleep Number 360 smart beds, which incorporate advanced sensors and connectivity features to track sleep patterns, automatically adjust firmness and temperature throughout the night, and provide personalized sleep insights through the SleepIQ app. These beds can detect movement, snoring, and sleep stages, making real-time adjustments to optimize sleep quality. Recent innovations include the ClimateCool technology, which actively cools the mattress surface up to 15 degrees on each side. Beyond mattresses, Sleep Number offers complementary products including FlexFit adjustable bases that can raise and lower the head and foot sections of the bed, pillows, sheets, and other bedding accessories. The company has also expanded into lifestyle furniture with circadian rhythm lighting and embedded speakers. Sleep Number's ecosystem includes nearly 3 million connected sleepers who engage with their digital platform at an 80% monthly rate, creating a substantial database of sleep behavior data. The business operates as a single segment focused on sleep solutions, with revenue primarily derived from bed sales (estimated 80-85% of revenue) and complementary accessories and bases comprising the remainder.
Revenue model
Sleep Number generates revenue primarily through direct product sales to consumers, operating both physical retail stores and e-commerce channels. The company sells directly to end consumers rather than through wholesale distribution, maintaining control over pricing and customer experience. Revenue streams include mattress sales, adjustable bases, pillows, sheets, and extended warranties. The company's customers are primarily middle-to-upper-middle-class consumers willing to pay premium prices for personalized sleep solutions, with beds typically priced between $1,000 to $5,000 or more. Sleep Number's Average Revenue Unit (ARU) has shown resilience, with recent quarters showing 3-4% increases despite overall volume declines, indicating successful premium positioning. Several factors significantly impact Sleep Number's margins and profitability. Positive margin drivers include the company's direct-to-consumer model eliminating wholesale markups, premium pricing for smart technology features, ongoing cost reduction initiatives that have saved over $150 million in recent years, and improved product mix toward higher-margin smart beds. The company has also benefited from reduced commodity costs and improved supply chain efficiency. Negative margin pressures include the cyclical nature of the mattress industry, which is highly sensitive to consumer confidence and housing market activity. Inflationary pressures on materials and labor, semiconductor chip supply constraints affecting smart bed production, and increased marketing costs to maintain brand awareness in a competitive market all weigh on profitability. The company faces potential tariff impacts of approximately $30 million annually, though management believes roughly $17 million may be mitigable through supplier partnerships. Additionally, the mattress industry is experiencing what management describes as a "historic recession," with U.S. mattress volumes at their lowest level since 2015.
Competitive moat
Sleep Number's competitive moat is moderately strong but faces increasing challenges. The company's primary moat stems from its proprietary adjustable air technology and extensive patent portfolio of over 800 patents and patent applications. This intellectual property creates barriers to direct replication of their core air-based firmness adjustment system. The company has built a substantial data moat through its ecosystem of nearly 3 million connected sleepers, generating valuable sleep behavior data that informs product development and creates switching costs for customers invested in the Sleep Number ecosystem. The 80% monthly engagement rate with their digital platform demonstrates strong customer stickiness once users adopt the technology. Sleep Number's direct-to-consumer retail model provides some protection by controlling the customer experience and maintaining higher margins compared to wholesale-dependent competitors. The company's brand recognition, reinforced by partnerships like their 5-year NFL sponsorship, creates some consumer preference advantages. However, the moat faces significant threats. The mattress industry has low barriers to entry for basic products, and online competitors like Casper, Purple, and Tuft & Needle have disrupted traditional retail models with direct-to-consumer sales and aggressive pricing. Traditional manufacturers like Tempur Sealy and Serta Simmons have also introduced smart bed features, eroding Sleep Number's technological differentiation. The company's premium pricing strategy becomes vulnerable during economic downturns when consumers gravitate toward value options. Additionally, the cyclical nature of mattress purchases (typically every 7-10 years) limits recurring revenue opportunities, making the business susceptible to prolonged demand slumps like the current industry recession.
Risks & safety
Sleep Number's margin of safety appears concerning with significant financial stress indicators across multiple metrics. • Liquidity Crisis: Current ratio of 0.19 indicates severe short-term liquidity constraints, with current liabilities of $904 million vastly exceeding current assets of $175 million • Cash Position: Minimal cash reserves of only $1.7 million with negative free cash flow of $7.2 million in Q1 2025 • Debt Burden: Debt-to-equity ratio of -2.05 reflects an overleveraged balance sheet with total liabilities of $1.29 billion exceeding total assets of $837 million • Valuation Metrics: Trading at negative book value with P/B ratio of -0.32, though low EV/EBITDA of 16.2x suggests some operational value remains • Covenant Risk: Company has already amended bank covenants for flexibility and is actively exploring debt restructuring options • Operating Performance: Negative net income of $8.6 million in Q1 2025 with declining revenues across multiple quarters
Recent development
Sleep Number has undergone significant strategic transformation over the past few years, driven by both market pressures and leadership changes. The company implemented a comprehensive cost reduction program targeting $80-100 million in annualized savings, with 35% from fixed costs, 50% from marketing efficiency improvements, and 15% from volume-driven reductions. This initiative has already delivered over $150 million in cost savings since 2022. Leadership transition marked a pivotal change with longtime CEO Shelly Ibach retiring after 18 years and Linda Findley taking over as President and CEO in April 2025. The new leadership has streamlined the corporate structure, reducing management by 21% and centralizing technology teams while appointing a new Chief Marketing Officer. Product innovation has focused on smart bed technology advancement, with the introduction of the ClimateCool smart bed featuring active cooling capabilities up to 15 degrees on each side. The company also launched the c1 Smart Bed at a more affordable price point to capture broader market segments. Sleep Number has maintained its technology leadership through continued R&D investment, though the new leadership is redirecting focus toward core technologies rather than adjacent opportunities. The company has restructured its marketing approach, shifting toward more efficient digital strategies and benefits-focused messaging while reducing overall marketing spend. This includes leveraging their NFL partnership more strategically and optimizing their media mix for better ROI. Financial restructuring has been necessary, with Sleep Number amending bank covenants for flexibility and exploring debt restructuring options. The company has also been selectively closing underperforming retail stores while maintaining favorable transfer rates to nearby locations.
SNBR company profile · for informational purposes only — not investment advice.
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