Telsey Advisory Group Lowers Earnings Estimates for Arhaus

Key Points

• Telsey Advisory Group has decreased its FY2025 earnings per share estimate for Arhaus from $0.41 to $0.40, maintaining a "Market Perform" rating and a price objective of $10.00.
• The current consensus estimate for Arhaus' full-year earnings is $0.46 per share, with estimates for FY2026 earnings set at $0.46 EPS as well.
• Despite recent earnings reports reflecting a miss on expectations, the stock is showing signs of resilience, currently trading at $9.02 after a 3.9% increase.

Arhaus, Inc. (NASDAQ:ARHS - Free Report) - Equities researchers at Telsey Advisory Group dropped their FY2025 earnings per share estimates for Arhaus in a research report issued to clients and investors on Monday, August 4th. Telsey Advisory Group analyst C. Fernandez now forecasts that the company will earn $0.40 per share for the year, down from their prior estimate of $0.41. Telsey Advisory Group has a "Market Perform" rating and a $10.00 price target on the stock. The consensus estimate for Arhaus' current full-year earnings is $0.46 per share. Telsey Advisory Group also issued estimates for Arhaus' FY2026 earnings at $0.46 EPS.

Arhaus (NASDAQ:ARHS - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported $0.25 EPS for the quarter, beating analysts' consensus estimates of $0.15 by $0.10. The firm had revenue of $358.44 million during the quarter, compared to the consensus estimate of $333.39 million. Arhaus had a return on equity of 20.79% and a net margin of 5.33%. The company's quarterly revenue was up 15.6% compared to the same quarter last year. During the same period in the prior year, the company earned $0.16 EPS.

A number of other research firms also recently commented on ARHS. Raymond James Financial started coverage on Arhaus in a research report on Monday, June 9th. They set a "market perform" rating for the company. Loop Capital lowered their target price on Arhaus from $12.00 to $8.00 and set a "hold" rating for the company in a research report on Friday, May 9th. Piper Sandler increased their target price on Arhaus from $9.00 to $11.00 and gave the company a "neutral" rating in a research report on Friday. Cowen restated a "buy" rating on shares of Arhaus in a report on Friday. Finally, Guggenheim decreased their price target on Arhaus from $14.00 to $12.00 and set a "buy" rating on the stock in a report on Friday, May 9th. Twelve analysts have rated the stock with a hold rating and five have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $10.77.

Arhaus Price Performance

Shares of NASDAQ ARHS traded down $0.77 during midday trading on Tuesday, reaching $11.22. 3,604,558 shares of the stock traded hands, compared to its average volume of 2,126,925. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.26 and a quick ratio of 0.57. The stock has a market capitalization of $1.58 billion, a PE ratio of 22.44, a P/E/G ratio of 7.56 and a beta of 2.56. Arhaus has a one year low of $6.61 and a one year high of $13.97. The company's 50 day moving average is $9.04 and its 200 day moving average is $9.35.

Institutional Trading of Arhaus

Several institutional investors and hedge funds have recently made changes to their positions in ARHS. Rhumbline Advisers grew its position in shares of Arhaus by 3.2% during the 1st quarter. Rhumbline Advisers now owns 73,761 shares of the company's stock worth $642,000 after buying an additional 2,255 shares in the last quarter. Vanguard Group Inc. grew its position in shares of Arhaus by 1.0% during the 4th quarter. Vanguard Group Inc. now owns 5,062,635 shares of the company's stock worth $47,589,000 after buying an additional 50,250 shares in the last quarter. Stifel Financial Corp grew its position in shares of Arhaus by 61.0% during the 4th quarter. Stifel Financial Corp now owns 75,927 shares of the company's stock worth $714,000 after buying an additional 28,761 shares in the last quarter. ProShare Advisors LLC bought a new position in shares of Arhaus during the 4th quarter worth $136,000. Finally, Dimensional Fund Advisors LP grew its position in shares of Arhaus by 2.5% during the 4th quarter. Dimensional Fund Advisors LP now owns 844,362 shares of the company's stock worth $7,937,000 after buying an additional 20,457 shares in the last quarter. 27.88% of the stock is currently owned by institutional investors.

About Arhaus

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.