Build-A-Bear Workshop (NYSE:BBW) Hits New 12-Month High – Time to Buy?

Build-A-Bear Workshop, Inc. (NYSE:BBW) hit a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $39.63 and last traded at $39.63, with a volume of 1363 shares trading hands. The stock had previously closed at $37.77.

Analyst Ratings Changes

A number of research firms have issued reports on BBW. Northland Securities increased their price target on Build-A-Bear Workshop from $36.00 to $38.00 and gave the company an “outperform” rating in a research report on Friday, August 30th. StockNews.com raised shares of Build-A-Bear Workshop from a “hold” rating to a “buy” rating in a report on Wednesday, October 30th.

Build-A-Bear Workshop Price Performance

The company has a market capitalization of $526.33 million, a price-to-earnings ratio of 10.61 and a beta of 1.54. The stock has a 50 day simple moving average of $34.28 and a two-hundred day simple moving average of $29.70.

Build-A-Bear Workshop (NYSE:BBW) last issued its earnings results on Thursday, August 29th. The specialty retailer reported $0.64 earnings per share for the quarter, topping the consensus estimate of $0.57 by $0.07. The business had revenue of $111.80 million for the quarter, compared to analyst estimates 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 company earned $0.57 EPS. Equities research analysts predict that Build-A-Bear Workshop, Inc. will post 3.72 EPS for the current year.

Build-A-Bear Workshop Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, October 10th. Stockholders of record on Thursday, September 26th were issued a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 2.05%. The ex-dividend date was Thursday, September 26th. Build-A-Bear Workshop’s payout ratio is 22.47%.

Build-A-Bear Workshop announced that its Board of Directors has authorized a share repurchase plan on Wednesday, September 11th that authorizes the company to repurchase $100.00 million in shares. This repurchase authorization authorizes the specialty retailer to purchase up to 23.2% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling

In other news, Director George Carrara sold 2,500 shares of the stock in a transaction that occurred 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 sale, the director now directly owns 18,421 shares of the company’s stock, valued at approximately $668,129.67. This represents a 0.00 % 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 this hyperlink. In other Build-A-Bear Workshop news, Director George Carrara sold 2,500 shares of Build-A-Bear Workshop stock in a transaction on Tuesday, October 15th. The shares were sold at an average price of $36.27, for a total value of $90,675.00. Following the transaction, the director now directly owns 18,421 shares in the company, valued at approximately $668,129.67. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Sharon Price John sold 48,325 shares of the company’s stock in a transaction dated Tuesday, October 8th. The shares were sold at an average price of $35.19, for a total transaction of $1,700,556.75. Following the completion of the sale, the chief executive officer now directly owns 416,679 shares of the company’s stock, valued at $14,662,934.01. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 130,734 shares of company stock worth $4,510,217 in the last quarter. 7.90% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the stock. Pacifica Capital Investments LLC lifted its stake in shares of Build-A-Bear Workshop by 23.4% in the 2nd quarter. Pacifica Capital Investments LLC now owns 1,229,006 shares of the specialty retailer’s stock worth $31,057,000 after acquiring an additional 232,840 shares during the period. American Century Companies Inc. grew its stake in shares of 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 purchasing an additional 47,096 shares during the period. SkyView Investment Advisors LLC acquired a new stake in shares of Build-A-Bear Workshop in the first quarter valued at about $917,000. Maverick Capital Ltd. acquired a new position in Build-A-Bear Workshop during the second quarter worth about $740,000. Finally, Inspire Investing LLC acquired a new stake in shares of Build-A-Bear Workshop during the 3rd quarter valued at approximately $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.