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

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

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

Build-A-Bear Workshop Price Performance

BBW stock opened at $38.14 on Tuesday. The company’s 50 day simple moving average is $36.46 and its 200-day simple moving average is $30.78. The firm has a market capitalization of $515.65 million, a PE ratio of 10.71 and a beta of 1.53. Build-A-Bear Workshop has a 12 month low of $21.24 and a 12 month high of $40.13.

Build-A-Bear Workshop announced that its Board of Directors has initiated a share buyback program on Wednesday, September 11th that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the specialty retailer to reacquire up to 23.2% of its stock through open market purchases. Stock buyback programs are usually an indication that the company’s board believes its shares are undervalued.

Build-A-Bear Workshop Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, January 9th. Investors of record on Wednesday, November 27th will be given a dividend of $0.20 per share. 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 2.10%. Build-A-Bear Workshop’s dividend payout ratio (DPR) is currently 22.47%.

Insider Buying and Selling

In related news, Director George Carrara sold 2,500 shares of the firm’s stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $36.27, for a total transaction of $90,675.00. Following the sale, the director now owns 18,421 shares in the company, valued at approximately $668,129.67. This trade represents a 11.95 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Vojin Todorovic sold 12,635 shares of the stock in a transaction that occurred on Friday, October 4th. The stock was sold at an average price of $35.42, for a total transaction of $447,531.70. Following the transaction, the chief financial officer now directly owns 90,695 shares in the company, valued at approximately $3,212,416.90. This represents a 12.23 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 80,734 shares of company stock worth $2,844,217. 7.90% of the stock is owned by insiders.

Hedge Funds Weigh In On Build-A-Bear Workshop

A number of large investors have recently bought and sold shares of BBW. Fortitude Family Office LLC raised its stake in Build-A-Bear Workshop by 705.8% during the third quarter. Fortitude Family Office LLC now owns 1,104 shares of the specialty retailer’s stock worth $38,000 after purchasing an additional 967 shares during the period. Quarry LP raised its stake in Build-A-Bear Workshop by 346.6% during the third quarter. Quarry LP now owns 1,295 shares of the specialty retailer’s stock worth $45,000 after purchasing an additional 1,005 shares during the period. Allspring Global Investments Holdings LLC raised its stake in Build-A-Bear Workshop by 211.8% during the second quarter. Allspring Global Investments Holdings LLC now owns 4,889 shares of the specialty retailer’s stock worth $124,000 after purchasing an additional 3,321 shares during the period. Nisa Investment Advisors LLC raised its stake in Build-A-Bear Workshop by 17.6% during the third quarter. Nisa Investment Advisors LLC now owns 5,812 shares of the specialty retailer’s stock worth $201,000 after purchasing an additional 871 shares during the period. Finally, Quest Partners LLC raised its stake in Build-A-Bear Workshop by 209.8% during the second quarter. Quest Partners LLC now owns 8,098 shares of the specialty retailer’s stock worth $205,000 after purchasing an additional 5,484 shares during the period. Hedge funds and other institutional investors own 79.30% of the company’s stock.

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.