Build-A-Bear Workshop (NYSE:BBW) Releases Earnings Results, Beats Expectations By $0.27 EPS

Key Points

• Build-A-Bear Workshop reported earnings of $0.94 EPS for the quarter, exceeding expectations by $0.27.
• The company announced a quarterly dividend of $0.22, representing an annualized dividend yield of 1.5%.
• Insider transactions included significant sales by directors, with one selling 8,250 shares and another 1,755 shares recently, indicating potential shifts in shareholder sentiment.

Build-A-Bear Workshop (NYSE:BBW - Get Free Report) posted its earnings results on Thursday. The specialty retailer reported $0.94 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.67 by $0.27, Zacks reports. Build-A-Bear Workshop had a return on equity of 40.74% and a net margin of 10.91%.

Build-A-Bear Workshop Price Performance

Shares of Build-A-Bear Workshop stock opened at $58.55 on Thursday. The company has a 50-day moving average of $52.84 and a 200 day moving average of $44.35. The firm has a market cap of $773.50 million, a price-to-earnings ratio of 14.08 and a beta of 0.70. Build-A-Bear Workshop has a 1 year low of $27.44 and a 1 year high of $59.78.

Build-A-Bear Workshop Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, July 10th. Stockholders of record on Thursday, June 26th were given a $0.22 dividend. The ex-dividend date of this dividend was Thursday, June 26th. This represents a $0.88 dividend on an annualized basis and a dividend yield of 1.5%. Build-A-Bear Workshop's dividend payout ratio is currently 21.15%.

Insider Buying and Selling at Build-A-Bear Workshop

In other news, Director Craig Leavitt sold 8,250 shares of Build-A-Bear Workshop stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $50.21, for a total transaction of $414,232.50. Following the completion of the transaction, the director directly owned 72,392 shares in the company, valued at approximately $3,634,802.32. This trade represents a 10.23% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Lesli Rotenberg sold 1,755 shares of the company's stock in a transaction that occurred on Tuesday, June 24th. The stock was sold at an average price of $53.52, for a total value of $93,927.60. Following the completion of the sale, the director owned 11,825 shares in the company, valued at $632,874. The trade was a 12.92% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 48,248 shares of company stock worth $2,276,383. Insiders own 5.80% of the company's stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Balyasny Asset Management L.P. purchased a new stake in shares of Build-A-Bear Workshop in the second quarter worth $4,908,000. Qube Research & Technologies Ltd boosted its stake in Build-A-Bear Workshop by 35.8% in the 2nd quarter. Qube Research & Technologies Ltd now owns 230,777 shares of the specialty retailer's stock worth $11,899,000 after purchasing an additional 60,784 shares in the last quarter. Bank of America Corp DE boosted its stake in Build-A-Bear Workshop by 481.0% in the 2nd quarter. Bank of America Corp DE now owns 43,094 shares of the specialty retailer's stock worth $2,222,000 after purchasing an additional 35,677 shares in the last quarter. Brevan Howard Capital Management LP purchased a new stake in Build-A-Bear Workshop during the 2nd quarter valued at about $1,204,000. Finally, BNP Paribas Financial Markets increased its stake in Build-A-Bear Workshop by 60.1% during the 2nd quarter. BNP Paribas Financial Markets now owns 41,410 shares of the specialty retailer's stock valued at $2,135,000 after purchasing an additional 15,548 shares in the last quarter. Hedge funds and other institutional investors own 79.30% of the company's stock.

Wall Street Analysts Forecast Growth

BBW has been the topic of several research analyst reports. Piper Sandler boosted their target price on Build-A-Bear Workshop from $35.00 to $39.00 and gave the company an "overweight" rating in a research note on Thursday, May 15th. Wall Street Zen downgraded shares of Build-A-Bear Workshop from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 23rd. Finally, DA Davidson raised their target price on shares of Build-A-Bear Workshop from $60.00 to $64.00 and gave the stock a "buy" rating in a research report on Monday, August 4th. Three analysts have rated the stock with a Buy rating, According to MarketBeat.com, the stock currently has an average rating of "Buy" and a consensus target price of $52.67.

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.

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