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

StockNews.com upgraded shares of Build-A-Bear Workshop (NYSE:BBW) from a hold rating to a buy rating in a research report sent to investors on Tuesday morning.

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

Build-A-Bear Workshop Trading Down 1.6 %

Shares of BBW stock opened at $38.14 on Tuesday. The company’s fifty day simple moving average is $36.46 and its 200-day simple moving average is $30.78. Build-A-Bear Workshop has a 52 week low of $21.24 and a 52 week high of $40.13. The company has a market cap of $515.65 million, a PE ratio of 10.71 and a beta of 1.53.

Build-A-Bear Workshop Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, January 9th. Investors of record on Wednesday, November 27th will be paid a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a yield of 2.10%. The ex-dividend date of this dividend is Wednesday, November 27th. Build-A-Bear Workshop’s dividend payout ratio (DPR) is 22.47%.

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

Insiders Place Their Bets

In other Build-A-Bear Workshop news, CAO Eric R. Fencl sold 17,274 shares of the firm’s stock in a transaction on Monday, October 7th. The shares were sold at an average price of $35.05, for a total transaction of $605,453.70. Following the completion of the transaction, the chief accounting officer now directly owns 137,078 shares of the company’s stock, valued at $4,804,583.90. This trade represents a 11.19 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Sharon Price John sold 48,325 shares of the firm’s stock in a transaction on Tuesday, October 8th. The stock was sold at an average price of $35.19, for a total transaction of $1,700,556.75. Following the transaction, the chief executive officer now directly owns 416,679 shares of the company’s stock, valued at approximately $14,662,934.01. This represents a 10.39 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 80,734 shares of company stock valued at $2,844,217 in the last ninety days. Corporate insiders own 7.90% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of BBW. Pacifica Capital Investments LLC lifted its position in 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 valued at $31,057,000 after purchasing an additional 232,840 shares during the last quarter. De Lisle Partners LLP lifted its position in Build-A-Bear Workshop by 25.9% in the 3rd quarter. De Lisle Partners LLP now owns 732,911 shares of the specialty retailer’s stock valued at $25,187,000 after purchasing an additional 150,619 shares during the last quarter. State Street Corp lifted its position in Build-A-Bear Workshop by 34.3% in the 3rd quarter. State Street Corp now owns 372,168 shares of the specialty retailer’s stock valued at $12,863,000 after purchasing an additional 94,986 shares during the last quarter. Maverick Capital Ltd. lifted its position in Build-A-Bear Workshop by 261.3% in the 3rd quarter. Maverick Capital Ltd. now owns 105,847 shares of the specialty retailer’s stock valued at $3,638,000 after purchasing an additional 76,551 shares during the last quarter. Finally, American Century Companies Inc. lifted its position in Build-A-Bear Workshop by 17.2% in the 2nd quarter. American Century Companies Inc. now owns 320,832 shares of the specialty retailer’s stock valued at $8,107,000 after purchasing an additional 47,096 shares during the last quarter. 79.30% of the stock is owned by institutional investors and hedge funds.

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.