Build-A-Bear Workshop (NYSE:BBW) Upgraded to Buy at StockNews.com

StockNews.com upgraded shares of Build-A-Bear Workshop (NYSE:BBW) from a hold rating to a buy rating in a research note issued to investors on Wednesday.

Separately, Northland Securities raised their price target on Build-A-Bear Workshop from $36.00 to $38.00 and gave the stock an “outperform” rating in a research report on Friday, August 30th.

Build-A-Bear Workshop Stock Down 0.1 %

BBW stock opened at $38.07 on Wednesday. The business has a fifty day moving average of $33.91 and a two-hundred day moving average of $29.53. The stock has a market cap of $514.71 million, a price-to-earnings ratio of 10.69 and a beta of 1.55. Build-A-Bear Workshop has a 52-week low of $21.24 and a 52-week high of $39.42.

Build-A-Bear Workshop (NYSE:BBW) last posted its earnings results on Thursday, August 29th. The specialty retailer reported $0.64 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.57 by $0.07. The company had revenue of $111.80 million during the quarter, compared to analysts’ expectations of $107.90 million. Build-A-Bear Workshop had a return on equity of 37.81% and a net margin of 10.36%. During the same quarter last year, the firm earned $0.57 earnings per share. As a group, sell-side analysts anticipate that Build-A-Bear Workshop will post 3.72 EPS for the current year.

Build-A-Bear Workshop declared that its board has approved a stock repurchase program on Wednesday, September 11th that permits the company to buyback $100.00 million in shares. This buyback authorization permits the specialty retailer to purchase up to 23.2% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Build-A-Bear Workshop Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, October 10th. Stockholders of record on Thursday, September 26th were given a dividend of $0.20 per share. The ex-dividend date was Thursday, September 26th. This represents a $0.80 annualized dividend and a dividend yield of 2.10%. Build-A-Bear Workshop’s dividend payout ratio is currently 22.47%.

Insider Transactions at Build-A-Bear Workshop

In related news, Director George Carrara sold 2,500 shares of Build-A-Bear Workshop stock in a transaction on Tuesday, October 15th. The stock was sold at an average price of $36.27, for a total value of $90,675.00. Following the completion of the transaction, the director now directly owns 18,421 shares in the company, valued at approximately $668,129.67. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. In related news, Director George Carrara sold 2,500 shares of Build-A-Bear Workshop stock in a transaction on Tuesday, October 15th. The stock was sold at an average price of $36.27, for a total value of $90,675.00. Following the completion of the transaction, the director now directly owns 18,421 shares in the company, valued at approximately $668,129.67. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Sharon Price John sold 50,000 shares of Build-A-Bear Workshop stock in a transaction on Tuesday, September 3rd. The shares were sold at an average price of $33.32, for a total value of $1,666,000.00. Following the completion of the transaction, the chief executive officer now owns 465,004 shares of the company’s stock, valued at approximately $15,493,933.28. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 130,734 shares of company stock worth $4,510,217 over the last ninety days. Company insiders own 7.90% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of BBW. Pacifica Capital Investments LLC boosted its holdings in Build-A-Bear Workshop by 54.1% in the first quarter. Pacifica Capital Investments LLC now owns 996,166 shares of the specialty retailer’s stock valued at $29,755,000 after purchasing an additional 349,752 shares during the period. American Century Companies Inc. lifted its holdings in Build-A-Bear Workshop by 17.2% during the 2nd quarter. American Century Companies Inc. now owns 320,832 shares of the specialty retailer’s stock worth $8,107,000 after buying an additional 47,096 shares during the last quarter. SkyView Investment Advisors LLC purchased a new stake in Build-A-Bear Workshop during the 1st quarter worth about $917,000. Maverick Capital Ltd. purchased a new stake in Build-A-Bear Workshop during the 2nd quarter worth about $740,000. Finally, Inspire Investing LLC purchased a new stake in Build-A-Bear Workshop during the 3rd quarter worth about $892,000. 79.30% of the stock is currently owned by hedge funds and other institutional investors.

About Build-A-Bear Workshop

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.