Arhaus (NASDAQ:ARHS) Issues Earnings Results

Key Points

• Arhaus reported a quarterly earnings per share (EPS) of $0.25, exceeding analysts' expectations of $0.15, with revenues of $358.44 million, a 15.6% increase compared to the previous year.
• Despite the positive earnings report, Arhaus stock fell 6.4% to $11.22 following the announcement, with a trading volume significantly higher than its average.
• Analysts have mixed opinions on Arhaus, with a consensus "Hold" rating and various price targets ranging from $8.00 to $12.00.

Arhaus (NASDAQ:ARHS - Get Free Report) released its quarterly earnings results on Thursday. The company reported $0.25 EPS for the quarter, topping analysts' consensus estimates of $0.15 by $0.10, Zacks reports. Arhaus had a return on equity of 20.79% and a net margin of 5.33%. The company had revenue of $358.44 million for the quarter, compared to analysts' expectations of $333.39 million. During the same period in the prior year, the firm earned $0.16 earnings per share. The firm's revenue was up 15.6% compared to the same quarter last year. Arhaus updated its Q3 2025 guidance to EPS and its FY 2025 guidance to EPS.

Arhaus Stock Down 6.4%

Shares of ARHS stock traded down $0.77 on Friday, reaching $11.22. 3,604,558 shares of the stock were exchanged, compared to its average volume of 2,126,925. Arhaus has a twelve month low of $6.61 and a twelve month high of $13.97. The company has a market capitalization of $1.58 billion, a price-to-earnings ratio of 22.44, a PEG ratio of 7.56 and a beta of 2.56. The company has a current ratio of 1.26, a quick ratio of 0.57 and a debt-to-equity ratio of 0.15. The business's 50 day moving average price is $9.04 and its 200 day moving average price is $9.35.

Analyst Ratings Changes

Several research firms have recently commented on ARHS. Raymond James Financial began coverage on shares of Arhaus in a research note on Monday, June 9th. They issued a "market perform" rating for the company. Loop Capital lowered their price objective on shares of Arhaus from $12.00 to $8.00 and set a "hold" rating for the company in a research note on Friday, May 9th. Guggenheim lowered their price objective on shares of Arhaus from $14.00 to $12.00 and set a "buy" rating for the company in a research note on Friday, May 9th. Cowen reaffirmed a "buy" rating on shares of Arhaus in a research report on Friday. Finally, Wall Street Zen raised Arhaus from a "sell" rating to a "hold" rating in a research report on Saturday, July 12th. Twelve equities research analysts have rated the stock with a hold rating and five have given a buy rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $10.77.

Institutional Investors Weigh In On Arhaus

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Millennium Management LLC lifted its position in Arhaus by 83.8% in the first quarter. Millennium Management LLC now owns 696,690 shares of the company's stock valued at $6,061,000 after acquiring an additional 317,631 shares during the last quarter. Goldman Sachs Group Inc. lifted its position in Arhaus by 24.1% in the first quarter. Goldman Sachs Group Inc. now owns 620,508 shares of the company's stock valued at $5,398,000 after acquiring an additional 120,314 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in Arhaus by 4.5% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 30,478 shares of the company's stock valued at $265,000 after acquiring an additional 1,326 shares during the last quarter. 27.88% of the stock is owned by hedge funds and other institutional investors.

Arhaus Company Profile

Arhaus, Inc operates as a lifestyle brand and premium retailer in the home furnishings market in the United States. It provides merchandise assortments across various categories, including furniture, lighting, textiles, décor, and outdoor. The company's furniture products comprise bedroom, dining room, living room, and home office furnishings, which includes sofas, dining tables and chairs, accent chairs, console and coffee tables, beds, headboards, dressers, desks, bookcases, modular storage, and other items; and outdoor products, such as outdoor dining tables, chairs, chaises and other furniture, lighting, textiles, décor, umbrellas, and fire pits.

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