Build-A-Bear Workshop (NYSE:BBW) Lowered to “Hold” at StockNews.com

StockNews.com cut shares of Build-A-Bear Workshop (NYSE:BBW) from a buy rating to a hold rating in a research note released on Thursday.

Separately, Northland Securities lifted their price target on shares of Build-A-Bear Workshop from $36.00 to $38.00 and gave the stock an “outperform” rating in a research note on Friday, August 30th.

Build-A-Bear Workshop Price Performance

Build-A-Bear Workshop stock opened at $37.73 on Thursday. Build-A-Bear Workshop has a 12-month low of $21.24 and a 12-month high of $37.97. The company has a market capitalization of $520.86 million, a price-to-earnings ratio of 10.81 and a beta of 1.55. The firm’s fifty day moving average price is $31.57 and its 200 day moving average price is $28.81.

Build-A-Bear Workshop (NYSE:BBW) last announced its earnings results on Thursday, August 29th. The specialty retailer reported $0.64 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.57 by $0.07. The business had revenue of $111.80 million for the quarter, compared to analyst estimates of $107.90 million. Build-A-Bear Workshop had a return on equity of 37.81% and a net margin of 10.36%. During the same period in the previous year, the company earned $0.57 earnings per share. Analysts forecast that Build-A-Bear Workshop will post 3.72 earnings per share for the current fiscal year.

Build-A-Bear Workshop Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 10th. Stockholders of record on Thursday, September 26th were paid a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.12%. The ex-dividend date of this dividend was Thursday, September 26th. Build-A-Bear Workshop’s dividend payout ratio is presently 22.92%.

Build-A-Bear Workshop declared that its board has initiated a share repurchase program on Wednesday, September 11th that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the specialty retailer to repurchase up to 23.2% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other news, Director George Carrara sold 2,500 shares of the firm’s stock in a transaction dated Tuesday, October 15th. The shares were sold at an average price of $36.27, for a total transaction of $90,675.00. Following the completion of the transaction, the director now owns 18,421 shares in the company, valued at approximately $668,129.67. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. In other Build-A-Bear Workshop news, Director George Carrara sold 2,500 shares of the company’s stock in a transaction on Tuesday, October 15th. The stock was sold at an average price of $36.27, for a total value of $90,675.00. Following the transaction, the director now owns 18,421 shares of the company’s stock, valued at approximately $668,129.67. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Sharon Price John sold 48,325 shares of the firm’s stock in a transaction on Tuesday, October 8th. The stock was sold at an average price of $35.19, for a total value of $1,700,556.75. Following the sale, the chief executive officer now directly owns 416,679 shares of the company’s stock, valued at approximately $14,662,934.01. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 130,734 shares of company stock valued at $4,510,217 over the last three months. Company insiders own 7.90% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Pacifica Capital Investments LLC increased its holdings in shares of Build-A-Bear Workshop by 54.1% in the 1st quarter. Pacifica Capital Investments LLC now owns 996,166 shares of the specialty retailer’s stock valued at $29,755,000 after purchasing an additional 349,752 shares during the period. Wellington Management Group LLP raised its stake in shares of Build-A-Bear Workshop by 81.4% in the 4th quarter. Wellington Management Group LLP now owns 360,329 shares of the specialty retailer’s stock valued at $8,284,000 after acquiring an additional 161,700 shares in the last quarter. American Century Companies Inc. boosted its holdings in shares of Build-A-Bear Workshop by 17.2% during the 2nd quarter. American Century Companies Inc. now owns 320,832 shares of the specialty retailer’s stock worth $8,107,000 after buying an additional 47,096 shares during the period. SkyView Investment Advisors LLC bought a new stake in Build-A-Bear Workshop during the first quarter valued at about $917,000. Finally, Maverick Capital Ltd. bought a new stake in Build-A-Bear Workshop during the 2nd quarter valued at approximately $740,000. 79.30% of the stock is currently owned by institutional investors and hedge funds.

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.