Build-A-Bear Workshop (NYSE:BBW) to Repurchase $100.00 million in Stock

Build-A-Bear Workshop (NYSE:BBW) declared that its board has authorized a stock repurchase program on Wednesday, September 11th, RTT News reports. The company plans to repurchase $100.00 million in outstanding shares. This repurchase authorization permits the specialty retailer to buy up to 23.2% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company’s board believes its stock is undervalued.

Build-A-Bear Workshop Price Performance

BBW traded up $1.48 on Thursday, hitting $31.27. The company had a trading volume of 445,928 shares, compared to its average volume of 224,394. Build-A-Bear Workshop has a 52-week low of $21.24 and a 52-week high of $34.80. The stock has a fifty day simple moving average of $27.52 and a 200-day simple moving average of $27.58. The firm has a market capitalization of $431.68 million, a P/E ratio of 8.96 and a beta of 1.56.

Build-A-Bear Workshop (NYSE:BBW) last issued its quarterly earnings data on Thursday, August 29th. The specialty retailer reported $0.64 EPS for the quarter, topping the consensus estimate of $0.57 by $0.07. Build-A-Bear Workshop had a net margin of 10.36% and a return on equity of 38.01%. The business had revenue of $111.80 million during the quarter, compared to analyst estimates of $107.90 million. During the same period last year, the business posted $0.57 earnings per share. Equities research analysts expect that Build-A-Bear Workshop will post 3.72 earnings per share for the current fiscal year.

Build-A-Bear Workshop Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 10th. Investors of record on Thursday, September 26th will be issued a $0.20 dividend. The ex-dividend date of this dividend is Thursday, September 26th. This represents a $0.80 dividend on an annualized basis and a yield of 2.56%. Build-A-Bear Workshop’s payout ratio is currently 22.92%.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on the stock. Northland Securities upped 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 report on Friday, August 30th. StockNews.com raised Build-A-Bear Workshop from a “hold” rating to a “buy” rating in a research note on Monday, September 2nd.

Insider Buying and Selling

In other news, CEO Sharon Price John sold 50,000 shares of the business’s stock in a transaction on Tuesday, September 3rd. The shares were sold at an average price of $33.32, for a total transaction of $1,666,000.00. Following the completion of the sale, the chief executive officer now owns 465,004 shares of the company’s stock, valued at approximately $15,493,933.28. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 7.90% of the stock is owned by company insiders.

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.