Build-A-Bear Workshop (NYSE:BBW) Stock Price Down 3.4% – Should You Sell?

Shares of Build-A-Bear Workshop, Inc. (NYSE:BBW) traded down 3.4% during trading on Thursday . The company traded as low as $44.47 and last traded at $44.48. 52,701 shares were traded during trading, a decline of 78% from the average session volume of 240,479 shares. The stock had previously closed at $46.04.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on BBW shares. StockNews.com raised shares of Build-A-Bear Workshop from a “hold” rating to a “buy” rating in a report on Thursday, December 19th. DA Davidson raised their price objective on Build-A-Bear Workshop from $40.00 to $50.00 and gave the company a “buy” rating in a research note on Friday, December 6th. Finally, Northland Securities boosted their target price on Build-A-Bear Workshop from $38.00 to $55.00 and gave the stock an “outperform” rating in a research report on Friday, December 6th.

Build-A-Bear Workshop Stock Performance

The stock has a market capitalization of $610.98 million, a PE ratio of 12.09 and a beta of 1.53. The company’s fifty day simple moving average is $40.53 and its two-hundred day simple moving average is $33.32.

Build-A-Bear Workshop (NYSE:BBW) last issued its quarterly earnings data on Thursday, December 5th. The specialty retailer reported $0.73 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.70 by $0.03. Build-A-Bear Workshop had a return on equity of 38.40% and a net margin of 10.58%. During the same quarter in the prior year, the company posted $0.53 earnings per share. Sell-side analysts forecast that Build-A-Bear Workshop, Inc. will post 3.71 EPS for the current fiscal year.

Build-A-Bear Workshop Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, January 9th. Shareholders of record on Wednesday, November 27th will be issued a $0.20 dividend. The ex-dividend date of this dividend is Wednesday, November 27th. This represents a $0.80 dividend on an annualized basis and a yield of 1.76%. Build-A-Bear Workshop’s dividend payout ratio (DPR) is 21.28%.

Build-A-Bear Workshop announced that its board has initiated a stock repurchase program on Wednesday, September 11th that allows the company to buyback $100.00 million in outstanding shares. This buyback authorization allows the specialty retailer to buy up to 23.2% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s leadership believes its shares are undervalued.

Insider Activity at Build-A-Bear Workshop

In other news, CAO Eric R. Fencl sold 17,274 shares of the 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 completion of the sale, the chief accounting officer now owns 137,078 shares of the company’s stock, valued at $4,804,583.90. This represents a 11.19 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Craig Leavitt sold 2,500 shares of the business’s stock in a transaction dated Friday, December 13th. The stock was sold at an average price of $41.36, for a total value of $103,400.00. Following the transaction, the director now owns 78,167 shares in the company, valued at approximately $3,232,987.12. This represents a 3.10 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 82,146 shares of company stock worth $2,967,226. 7.90% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Build-A-Bear Workshop

A number of institutional investors and hedge funds have recently bought and sold shares of BBW. JPMorgan Chase & Co. boosted its stake in shares of Build-A-Bear Workshop by 322.8% in the third quarter. JPMorgan Chase & Co. now owns 24,935 shares of the specialty retailer’s stock valued at $857,000 after purchasing an additional 19,038 shares during the period. Franklin Resources Inc. purchased a new position in Build-A-Bear Workshop in the 3rd quarter valued at about $282,000. SkyView Investment Advisors LLC grew its stake in shares of Build-A-Bear Workshop by 2.4% during the third quarter. SkyView Investment Advisors LLC now owns 31,695 shares of the specialty retailer’s stock valued at $1,089,000 after acquiring an additional 734 shares in the last quarter. Barclays PLC increased its position in shares of Build-A-Bear Workshop by 311.3% during the third quarter. Barclays PLC now owns 18,246 shares of the specialty retailer’s stock worth $627,000 after acquiring an additional 13,810 shares during the last quarter. Finally, Hohimer Wealth Management LLC acquired a new position in shares of Build-A-Bear Workshop in the third quarter worth about $230,000. Hedge funds and other institutional investors own 79.30% of the company’s stock.

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.