Wall Street Zen Downgrades Allbirds (NASDAQ:BIRD) to Sell

Key Points

• Wall Street Zen has downgraded Allbirds (NASDAQ:BIRD) from a "hold" to a "sell" rating, indicating a negative outlook from analysts.
• Morgan Stanley raised its price target for Allbirds from $5.00 to $8.00, maintaining an "equal weight" rating.
• Allbirds reported a quarterly EPS of ($1.92), exceeding estimates; however, it still reflects ongoing financial struggles with negative margins and return on equity.

Allbirds (NASDAQ:BIRD - Get Free Report) was downgraded by analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research report issued on Saturday.

Separately, Morgan Stanley raised their price objective on Allbirds from $5.00 to $8.00 and gave the stock an "equal weight" rating in a research note on Monday, August 11th. One equities research analyst has rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $11.00.

Allbirds Stock Performance

Shares of BIRD opened at $6.26 on Friday. Allbirds has a 12 month low of $3.93 and a 12 month high of $14.56. The stock has a fifty day moving average price of $9.05 and a 200-day moving average price of $7.48. The company has a current ratio of 2.55, a quick ratio of 1.41 and a debt-to-equity ratio of 0.07. The firm has a market cap of $51.02 million, a PE ratio of -0.59 and a beta of 1.87.

Allbirds (NASDAQ:BIRD - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The company reported ($1.92) EPS for the quarter, beating the consensus estimate of ($2.78) by $0.86. Allbirds had a negative return on equity of 87.92% and a negative net margin of 49.36%.The firm had revenue of $39.69 million during the quarter, compared to analyst estimates of $38.44 million. Allbirds has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. Equities research analysts predict that Allbirds will post -11.87 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Allbirds

A number of hedge funds have recently modified their holdings of the company. Tenzing Global Management LLC purchased a new stake in shares of Allbirds in the second quarter valued at about $3,762,000. PDT Partners LLC grew its holdings in shares of Allbirds by 30.0% in the second quarter. PDT Partners LLC now owns 15,344 shares of the company's stock valued at $163,000 after purchasing an additional 3,545 shares during the period. Jacobs Levy Equity Management Inc. grew its holdings in shares of Allbirds by 262.5% in the fourth quarter. Jacobs Levy Equity Management Inc. now owns 42,521 shares of the company's stock valued at $296,000 after purchasing an additional 30,791 shares during the period. Cubist Systematic Strategies LLC purchased a new stake in shares of Allbirds in the fourth quarter valued at about $70,000. Finally, Jane Street Group LLC purchased a new stake in shares of Allbirds in the fourth quarter valued at about $104,000. Hedge funds and other institutional investors own 44.07% of the company's stock.

About Allbirds

Allbirds, Inc manufactures and sells footwear and apparel products for men and women in the United States and internationally. The company offers a range of lifestyle and performance shoes; and apparel, including classic tees and sweats, socks, and underwear. It sells its products through its retail stores, as well as online.

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