Build-A-Bear Workshop (NYSE:BBW) Trading Down 5.5% – Time to Sell?

Build-A-Bear Workshop, Inc. (NYSE:BBW) traded down 5.5% during mid-day trading on Friday . The company traded as low as $43.50 and last traded at $43.91. 193,076 shares were traded during trading, a decline of 17% from the average session volume of 232,950 shares. The stock had previously closed at $46.49.

Analyst Upgrades and Downgrades

Several research analysts have weighed in on BBW shares. DA Davidson boosted their price target on Build-A-Bear Workshop from $40.00 to $50.00 and gave the company a “buy” rating in a report on Friday. StockNews.com upgraded shares of Build-A-Bear Workshop from a “hold” rating to a “buy” rating in a report on Tuesday. Finally, Northland Securities upped their price objective on Build-A-Bear Workshop from $38.00 to $55.00 and gave the stock an “outperform” rating in a report on Friday.

Build-A-Bear Workshop Trading Down 10.3 %

The firm has a market cap of $563.97 million, a PE ratio of 11.76 and a beta of 1.53. The stock’s 50 day moving average price is $37.02 and its 200 day moving average price is $30.99.

Build-A-Bear Workshop (NYSE:BBW) last posted its earnings results on Thursday, December 5th. The specialty retailer reported $0.73 EPS for the quarter, topping analysts’ consensus estimates of $0.70 by $0.03. Build-A-Bear Workshop had a net margin of 10.36% and a return on equity of 37.81%. During the same quarter in the previous year, the company earned $0.53 EPS. Analysts forecast that Build-A-Bear Workshop, Inc. will post 3.72 earnings per share for the current year.

Build-A-Bear Workshop Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, January 9th. Stockholders of record on Wednesday, November 27th will be given a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 1.92%. The ex-dividend date of this dividend is Wednesday, November 27th. Build-A-Bear Workshop’s payout ratio is currently 22.47%.

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

Insider Activity

In other Build-A-Bear Workshop news, 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 value 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 approximately $14,662,934.01. This represents a 10.39 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Eric R. Fencl sold 17,274 shares of the company’s stock in a transaction on Monday, October 7th. The shares were sold at an average price of $35.05, for a total value of $605,453.70. Following the sale, the chief accounting officer now directly owns 137,078 shares of the company’s stock, valued at approximately $4,804,583.90. This represents a 11.19 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 80,734 shares of company stock worth $2,844,217. 7.90% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Build-A-Bear Workshop

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Pacifica Capital Investments LLC increased its stake 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 buying an additional 232,840 shares during the period. De Lisle Partners LLP lifted its stake in Build-A-Bear Workshop by 25.9% in the third quarter. De Lisle Partners LLP now owns 732,911 shares of the specialty retailer’s stock valued at $25,187,000 after acquiring an additional 150,619 shares during the last quarter. State Street Corp raised its holdings in shares of Build-A-Bear Workshop by 34.3% during 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 in the last quarter. Maverick Capital Ltd. boosted its holdings in Build-A-Bear Workshop by 261.3% in the third quarter. Maverick Capital Ltd. now owns 105,847 shares of the specialty retailer’s stock worth $3,638,000 after purchasing an additional 76,551 shares in the last quarter. Finally, American Century Companies Inc. lifted its position in shares of Build-A-Bear Workshop by 17.2% in the second 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. 79.30% of the stock is currently owned by hedge funds and other institutional investors.

Build-A-Bear Workshop Company Profile

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.