Why Build-A-Bear Workshop Shares Are Gaining After Q4 Results
Portfolio Pulse from Nabaparna Bhattacharya
Build-A-Bear Workshop, Inc. (NYSE:BBW) shares surged after reporting Q4 earnings of $1.34 per share, surpassing Wall Street expectations of $1.32. However, revenue of $149.278 million slightly missed the forecast of $150.45 million. The company saw a 2.9% year-over-year sales increase but a 8.8% decline in e-commerce demand. It added 14 new locations, ended the year with 525 global locations, and declared an initial quarterly dividend of $0.20 per share. FY24 outlook includes low-to-mid single-digit revenue growth and at least 50 new experience locations.
March 14, 2024 | 3:57 pm
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Build-A-Bear Workshop reported higher-than-expected Q4 earnings but slightly missed revenue forecasts. The company announced an initial quarterly dividend and has a positive outlook for FY24.
The positive earnings surprise and the announcement of an initial quarterly dividend are likely to boost investor confidence in the short term, despite the slight miss on revenue forecasts. The optimistic outlook for FY24, including revenue growth and expansion plans, further supports a positive short-term impact on BBW's stock price.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100