DA Davidson Expects Lower Earnings for Build-A-Bear Workshop

Build-A-Bear Workshop, Inc. (NYSE:BBW - Free Report) - Investment analysts at DA Davidson dropped their FY2026 earnings per share estimates for shares of Build-A-Bear Workshop in a report issued on Friday, December 6th. DA Davidson analyst M. Baker now forecasts that the specialty retailer will post earnings per share of $3.99 for the year, down from their previous estimate of $4.00. DA Davidson has a "Buy" rating and a $50.00 price objective on the stock. The consensus estimate for Build-A-Bear Workshop's current full-year earnings is $3.72 per share.

Several other analysts have also commented on BBW. Northland Securities increased their price objective on Build-A-Bear Workshop from $38.00 to $55.00 and gave the company an "outperform" rating in a report on Friday. StockNews.com upgraded Build-A-Bear Workshop from a "hold" rating to a "buy" rating in a report on Tuesday, December 3rd.

Build-A-Bear Workshop Price Performance

NYSE BBW traded down $0.46 during midday trading on Monday, hitting $40.56. 530,218 shares of the company traded hands, compared to its average volume of 236,314. The company has a market cap of $548.37 million, a PE ratio of 10.91 and a beta of 1.54. The company's 50-day simple moving average is $37.18 and its 200-day simple moving average is $31.09. Build-A-Bear Workshop has a 52 week low of $21.24 and a 52 week high of $47.01.

Build-A-Bear Workshop (NYSE:BBW - Get Free Report) last announced its earnings results on Thursday, December 5th. The specialty retailer reported $0.73 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.70 by $0.03. Build-A-Bear Workshop had a return on equity of 38.40% and a net margin of 10.58%. During the same quarter in the previous year, the firm posted $0.53 EPS.

Build-A-Bear Workshop Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, January 9th. Investors of record on Wednesday, November 27th will be paid a $0.20 dividend. The ex-dividend date of this dividend is Wednesday, November 27th. This represents a $0.80 dividend on an annualized basis and a yield of 1.97%. Build-A-Bear Workshop's dividend payout ratio (DPR) is 21.28%.

Build-A-Bear Workshop announced that its board has initiated a share repurchase plan on Wednesday, September 11th that authorizes the company to repurchase $100.00 million in shares. This repurchase authorization authorizes the specialty retailer to purchase up to 23.2% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling

In other news, Director George Carrara sold 2,500 shares of the business's stock in a transaction dated Tuesday, October 15th. The stock was sold at an average price of $36.27, for a total value of $90,675.00. Following the completion of the transaction, the director now owns 18,421 shares of the company's stock, valued at $668,129.67. The trade was a 11.95 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CAO Eric R. Fencl sold 17,274 shares of the business's stock in a transaction dated Monday, October 7th. The shares were sold at an average price of $35.05, for a total value of $605,453.70. Following the completion of the transaction, the chief accounting officer now directly owns 137,078 shares of the company's stock, valued at approximately $4,804,583.90. This trade represents a 11.19 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 80,734 shares of company stock worth $2,844,217 in the last 90 days. Insiders own 7.90% of the company's stock.

Hedge Funds Weigh In On Build-A-Bear Workshop

Institutional investors and hedge funds have recently modified their holdings of the stock. Fortitude Family Office LLC increased its stake in shares of Build-A-Bear Workshop by 705.8% in the 3rd quarter. Fortitude Family Office LLC now owns 1,104 shares of the specialty retailer's stock valued at $38,000 after purchasing an additional 967 shares in the last quarter. Quarry LP increased its stake in Build-A-Bear Workshop by 346.6% during the 3rd quarter. Quarry LP now owns 1,295 shares of the specialty retailer's stock worth $45,000 after buying an additional 1,005 shares in the last quarter. Allspring Global Investments Holdings LLC increased its stake in Build-A-Bear Workshop by 211.8% during the 2nd quarter. Allspring Global Investments Holdings LLC now owns 4,889 shares of the specialty retailer's stock worth $124,000 after buying an additional 3,321 shares in the last quarter. Nisa Investment Advisors LLC increased its stake in Build-A-Bear Workshop by 17.6% during the 3rd quarter. Nisa Investment Advisors LLC now owns 5,812 shares of the specialty retailer's stock worth $201,000 after buying an additional 871 shares in the last quarter. Finally, Quest Partners LLC grew its position in shares of Build-A-Bear Workshop by 209.8% in the second quarter. Quest Partners LLC now owns 8,098 shares of the specialty retailer's stock valued at $205,000 after purchasing an additional 5,484 shares in the last quarter. Institutional investors and hedge funds own 79.30% of the company's stock.

Build-A-Bear Workshop Company Profile

Build-A-Bear Workshop, Inc operates as a multi-channel retailer of plush animals and related products in the United States, Canada, the United Kingdom, Ireland, and internationally. The company operates through three segments: Direct-to-Consumer, Commercial, and International Franchising. Its merchandise comprises various styles of plush products to be stuffed, pre-stuffed plush products, and sounds and scents that can be added to the stuffed animals, as well as range of clothing, shoes and accessories, and other toy and novelty items, including family sleepwear.