Shares of 1-800-FLOWERS (FLWS, Financial) experienced a decline of 6.46% in response to disappointing financial results. The company's revenue and EPS failed to meet analysts' forecasts, contributing to investor unease. Additionally, the full-year EBITDA guidance fell short of Wall Street expectations, further exacerbating concerns.
1-800-FLOWERS (FLWS, Financial) currently trades at $8.26 and holds a market capitalization of $527.41 million. Despite the recent downturn, the stock is considered "Fairly Valued" with a GF Value estimate of $8.45. For more details on this valuation, you can visit the GF Value page.
Analyzing the financial health of FLWS, the company exhibits a Piotroski F-Score of 7, indicating a strong financial situation. Moreover, recent insider buying activity, with 494,301 shares acquired, reflects potential confidence from insiders in the company's future performance.
However, the company faces significant challenges. The Altman Z-Score of 2.75 places it in the grey area, suggesting some financial stress. Declines in revenue per share and gross margin over recent years point to long-term strategic issues. These financial strains are further underscored by a declining operating margin, with a marked contraction of 28.6% per year over the past five years.
Looking at growth metrics, the company has struggled with a negative EBITDA growth over the past three years, averaging -32.7%, which starkly contrasts with the positive industry median. Yet, the company's revenue growth over a decade of 9.3% indicates some strength in core operations.
Investors must weigh the mixed signals: strong insider confidence and fair market valuation against a backdrop of operational and financial challenges. As the company navigates a weaker consumer market and reduced corporate gifting orders, strategic pivots and market conditions will play critical roles in future performance.
