Zacks Research Lowers Earnings Estimates for Williams-Sonoma

Key Points

• Zacks Research trimmed near‑term EPS for Q1 2027 to $1.82 (from $1.87) but raised its medium‑term outlook, boosting FY2027 to $9.25, FY2028 to $10.25 and FY2029 to $11.42, signaling an improved earnings trajectory beyond the current year.
• Williams‑Sonoma raised its quarterly dividend to $0.76 (from $0.66), a $3.04 annualized payout (yield ~1.7%) with a payout ratio near 29.8%, which may attract income investors.
• Insiders have been selling shares (88,451 shares sold in the last 90 days, including recent CFO and CEO sales), while the stock traded around $180.70 (down ~0.9%); MarketBeat shows a consensus rating of "Moderate Buy" with a $209.56 target.

Williams-Sonoma, Inc. (NYSE:WSM - Free Report) - Stock analysts at Zacks Research lowered their Q1 2027 earnings per share estimates for shares of Williams-Sonoma in a research note issued to investors on Wednesday, April 1st. Zacks Research analyst Team now forecasts that the specialty retailer will post earnings per share of $1.82 for the quarter, down from their prior forecast of $1.87. The consensus estimate for Williams-Sonoma's current full-year earnings is $8.36 per share. Zacks Research also issued estimates for Williams-Sonoma's Q2 2027 earnings at $2.01 EPS, Q3 2027 earnings at $2.12 EPS, Q4 2027 earnings at $3.29 EPS, FY2027 earnings at $9.25 EPS, Q1 2028 earnings at $1.98 EPS, Q2 2028 earnings at $2.18 EPS, Q3 2028 earnings at $2.46 EPS, Q4 2028 earnings at $3.62 EPS, FY2028 earnings at $10.25 EPS and FY2029 earnings at $11.42 EPS.

A number of other brokerages also recently issued reports on WSM. Weiss Ratings upgraded shares of Williams-Sonoma from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Wednesday, February 18th. Evercore set a $215.00 target price on shares of Williams-Sonoma in a research report on Tuesday, February 10th. Telsey Advisory Group reiterated an "outperform" rating and set a $220.00 price target on shares of Williams-Sonoma in a research report on Thursday, March 12th. Royal Bank Of Canada lifted their price objective on shares of Williams-Sonoma from $206.00 to $214.00 and gave the company an "outperform" rating in a research note on Thursday, March 19th. Finally, Citigroup boosted their price objective on shares of Williams-Sonoma from $188.00 to $208.00 and gave the company a "neutral" rating in a research report on Friday, March 6th. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and nine have assigned a Hold rating to the company's stock. According to MarketBeat, Williams-Sonoma presently has an average rating of "Moderate Buy" and a consensus target price of $209.56.

Williams-Sonoma Stock Down 0.9%

WSM stock opened at $180.70 on Thursday. The company has a market cap of $21.51 billion, a PE ratio of 20.42, a price-to-earnings-growth ratio of 2.31 and a beta of 1.58. The business has a 50-day simple moving average of $198.93 and a 200 day simple moving average of $193.75. Williams-Sonoma has a 52 week low of $130.07 and a 52 week high of $222.00.

Williams-Sonoma (NYSE:WSM - Get Free Report) last released its earnings results on Wednesday, March 18th. The specialty retailer reported $3.04 earnings per share for the quarter, beating analysts' consensus estimates of $2.90 by $0.14. The firm had revenue of $2.36 billion during the quarter, compared to the consensus estimate of $2.41 billion. Williams-Sonoma had a return on equity of 51.45% and a net margin of 13.94%.The company's revenue was down 4.3% compared to the same quarter last year. During the same period in the prior year, the company posted $3.28 EPS.

Williams-Sonoma Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, May 22nd. Shareholders of record on Friday, April 17th will be paid a dividend of $0.76 per share. The ex-dividend date of this dividend is Friday, April 17th. This is a positive change from Williams-Sonoma's previous quarterly dividend of $0.66. This represents a $3.04 annualized dividend and a yield of 1.7%. Williams-Sonoma's payout ratio is presently 29.83%.

Insider Transactions at Williams-Sonoma

In other news, CFO Jeffrey Howie sold 32,684 shares of the stock in a transaction dated Thursday, March 26th. The shares were sold at an average price of $180.64, for a total value of $5,904,037.76. Following the completion of the transaction, the chief financial officer owned 34,138 shares of the company's stock, valued at approximately $6,166,688.32. This represents a 48.91% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Laura Alber sold 35,000 shares of the firm's stock in a transaction that occurred on Thursday, January 15th. The shares were sold at an average price of $207.39, for a total transaction of $7,258,650.00. Following the completion of the sale, the chief executive officer owned 806,537 shares in the company, valued at approximately $167,267,708.43. The trade was a 4.16% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 88,451 shares of company stock valued at $16,980,845. 1.10% of the stock is currently owned by insiders.

Institutional Trading of Williams-Sonoma

Hedge funds have recently added to or reduced their stakes in the stock. Caitong International Asset Management Co. Ltd acquired a new position in shares of Williams-Sonoma during the fourth quarter worth $25,000. Atlantic Union Bankshares Corp boosted its holdings in shares of Williams-Sonoma by 51.5% during the 4th quarter. Atlantic Union Bankshares Corp now owns 147 shares of the specialty retailer's stock valued at $26,000 after acquiring an additional 50 shares in the last quarter. True Wealth Design LLC boosted its holdings in shares of Williams-Sonoma by 111.8% during the 3rd quarter. True Wealth Design LLC now owns 144 shares of the specialty retailer's stock valued at $28,000 after acquiring an additional 76 shares in the last quarter. MidFirst Bank bought a new stake in Williams-Sonoma during the 4th quarter worth $30,000. Finally, DV Equities LLC bought a new stake in Williams-Sonoma during the 4th quarter worth $31,000. Institutional investors and hedge funds own 99.29% of the company's stock.

More Williams-Sonoma News

Here are the key news stories impacting Williams-Sonoma this week:

• Positive Sentiment: Zacks Research raised several forward quarterly and full‑year EPS estimates for WSM — including FY2027 (to $9.25), FY2028 (to $10.25) and FY2029 (to $11.42) — signaling an improved earnings trajectory beyond the current year. This is supportive for the stock over the medium term.
• Positive Sentiment: Multiple individual quarter upgrades from Zacks (Q1–Q4 2028 and Q3 2027/Q4 2027 increases) suggest analysts expect stronger seasonal and product performance later in the forecast window.
• Positive Sentiment: WSM was noted among companies that recently boosted dividends, which can attract income investors and signal confidence from management on cash flow. These 3 Stocks Just Rewarded Investors With Big Dividend Bumps (WSM)
• Neutral Sentiment: Pottery Barn Kids (a WSM brand) launched a collaboration with Tutu du Monde — a branding/merchandising positive that can help product differentiation and marketing but is unlikely to move near‑term revenue materially. POTTERY BARN KIDS LAUNCHES COLLABORATION WITH TUTU DU MONDE
• Neutral Sentiment: A Zacks feature compared WSM to peer Lovesac (LOVE) for value investors; useful for relative valuation context but not an immediate catalyst. LOVE or WSM: Which Is the Better Value Stock Right Now?
• Negative Sentiment: Zacks trimmed near‑term estimates for Q1 2027 (to $1.82 from $1.87) and Q2 2027 (to $2.01 from $2.02). These small cuts to near‑term quarters create some short‑term downward pressure on the stock and reflect caution about upcoming periods.

Williams-Sonoma Company Profile

Williams‑Sonoma, Inc is a specialty retailer focused on the home and culinary markets, best known for premium cookware, kitchen tools and home furnishings. The company traces its roots to a single cookware store founded by Chuck Williams in 1956 in Sonoma, California, and has evolved into a multi‑brand home furnishings and housewares business. Its merchandise mix spans cookware and kitchen electrics, tabletop and food prep items, furniture, bedding, lighting and decorative accessories designed for both everyday use and higher‑end interiors.

The company operates a portfolio of consumer brands that target distinct segments of the home market.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.