Simcoe Capital LLC Takes Position in Arhaus, Inc. $ARHS

Key Points

• Simcoe Capital LLC initiated a new position in Arhaus during the fourth quarter, buying 409,660 shares worth about $4.6 million. The stake represents roughly 4.3% of Simcoe’s portfolio and makes Arhaus its sixth-largest holding.
• Arhaus reported record first-quarter revenue and met earnings estimates, while reaffirming its FY26 guidance. The company posted $0.02 EPS and $314.28 million in revenue, both essentially in line with expectations.
• Sentiment from analysts remains cautious: the stock carries a consensus “Hold” rating, and several firms recently cut price targets, including Stifel Nicolaus to $11, and TD Cowen and Piper Sandler to $8.

Simcoe Capital LLC acquired a new stake in shares of Arhaus, Inc. (NASDAQ:ARHS - Free Report) in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm acquired 409,660 shares of the company's stock, valued at approximately $4,592,000. Arhaus makes up about 4.3% of Simcoe Capital LLC's investment portfolio, making the stock its 6th largest position. Simcoe Capital LLC owned approximately 0.29% of Arhaus as of its most recent filing with the Securities and Exchange Commission.

Several other large investors also recently made changes to their positions in the business. Wasatch Advisors LP boosted its position in shares of Arhaus by 6.8% during the 2nd quarter. Wasatch Advisors LP now owns 12,703,259 shares of the company's stock valued at $110,137,000 after purchasing an additional 811,337 shares in the last quarter. Vanguard Group Inc. boosted its position in shares of Arhaus by 1.4% during the 4th quarter. Vanguard Group Inc. now owns 5,143,024 shares of the company's stock valued at $57,653,000 after purchasing an additional 72,346 shares in the last quarter. Bank of America Corp DE boosted its position in shares of Arhaus by 9.4% during the 2nd quarter. Bank of America Corp DE now owns 3,213,288 shares of the company's stock valued at $27,859,000 after purchasing an additional 275,835 shares in the last quarter. UBS Group AG boosted its position in shares of Arhaus by 43.3% during the 4th quarter. UBS Group AG now owns 1,098,150 shares of the company's stock valued at $12,310,000 after purchasing an additional 331,961 shares in the last quarter. Finally, Punch & Associates Investment Management Inc. boosted its position in shares of Arhaus by 1.1% during the 3rd quarter. Punch & Associates Investment Management Inc. now owns 1,091,153 shares of the company's stock valued at $11,599,000 after purchasing an additional 11,762 shares in the last quarter. Institutional investors own 27.88% of the company's stock.

Arhaus News Summary

Here are the key news stories impacting Arhaus this week:

• Positive Sentiment: Arhaus reported record first-quarter revenue and met earnings estimates, while also reaffirming its FY26 guidance, which suggests management remains confident in the full-year outlook. Article Title
• Neutral Sentiment: Brokerages now show a consensus rating of “Hold” on Arhaus, signaling a more cautious stance rather than a broadly bullish view. Article Title
• Neutral Sentiment: Short interest data did not provide a meaningful signal, with reported short interest effectively unchanged at zero shares.
• Negative Sentiment: Stifel Nicolaus cut its price target on Arhaus to $11.00 from $12.00, reflecting a more cautious valuation outlook despite keeping a buy rating. Article Title
• Negative Sentiment: TD Cowen lowered its target to $8.00 from $9.00, and Piper Sandler cut its target to $8.00 from $11.00, adding to the negative sentiment around ARHS. Article Title Article Title

Arhaus Price Performance

ARHS stock opened at $5.90 on Wednesday. The company has a current ratio of 1.25, a quick ratio of 0.62 and a debt-to-equity ratio of 0.14. Arhaus, Inc. has a one year low of $5.90 and a one year high of $12.98. The firm has a market capitalization of $832.62 million, a PE ratio of 12.55, a P/E/G ratio of 1.33 and a beta of 2.40. The firm has a 50-day moving average of $7.11 and a two-hundred day moving average of $9.17.

Arhaus (NASDAQ:ARHS - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The company reported $0.02 EPS for the quarter, meeting analysts' consensus estimates of $0.02. Arhaus had a net margin of 4.67% and a return on equity of 16.39%. The company had revenue of $314.28 million during the quarter, compared to analyst estimates of $313.97 million. During the same period in the prior year, the firm earned $0.03 earnings per share. The business's quarterly revenue was up .9% on a year-over-year basis. On average, analysts forecast that Arhaus, Inc. will post 0.49 earnings per share for the current year.

Arhaus Announces Dividend

The business also recently declared a special dividend, which was paid on Tuesday, March 31st. Stockholders of record on Wednesday, March 18th were given a $0.35 dividend. The ex-dividend date of this dividend was Wednesday, March 18th.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the stock. Morgan Stanley raised their price objective on shares of Arhaus from $10.50 to $12.00 and gave the company an "equal weight" rating in a research report on Thursday, January 15th. Stifel Nicolaus reduced their price objective on shares of Arhaus from $12.00 to $11.00 and set a "buy" rating for the company in a research note on Monday. Telsey Advisory Group set a $8.00 price objective on shares of Arhaus and gave the company a "market perform" rating in a research note on Friday. Robert W. Baird set a $8.00 price objective on shares of Arhaus in a research note on Friday. Finally, Piper Sandler reduced their price objective on shares of Arhaus from $11.00 to $8.00 and set a "neutral" rating for the company in a research note on Monday. Three equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat.com, Arhaus currently has a consensus rating of "Hold" and an average price target of $9.58.

Arhaus Profile

Arhaus NASDAQ: ARHS is a U.S.-based retailer specializing in high-end home furnishings and décor. Since its founding in 1986 in northeastern Ohio, the company has built a reputation for curating unique, design-forward products that blend contemporary aesthetics with artisanal craftsmanship. Headquartered in Boston Heights, Ohio, Arhaus operates a network of brick-and-mortar galleries across the United States alongside a robust e-commerce platform, serving customers from coastal metropolitan areas to interior regions.

The company’s product portfolio encompasses a wide range of furniture categories—including sofas, dining tables, bedroom pieces and storage solutions—complemented by lighting fixtures, rugs, pillows, wall art and decorative accessories.

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