Sheets Smith Wealth Management lessened its stake in shares of Williams-Sonoma, Inc. (NYSE:WSM – Free Report) by 49.3% in the 2nd quarter, HoldingsChannel.com reports. The firm owned 7,037 shares of the specialty retailer’s stock after selling 6,855 shares during the period. Sheets Smith Wealth Management’s holdings in Williams-Sonoma were worth $1,640,000 as of its most recent filing with the SEC.
Several other institutional investors and hedge funds have also recently modified their holdings of the company. BlackRock Inc. bought a new stake in Williams-Sonoma during the 2nd quarter valued at approximately $2,656,062,000. Aristotle Capital Management LLC increased its holdings in shares of Williams-Sonoma by 22.0% in the 1st quarter. Aristotle Capital Management LLC now owns 11,140,471 shares of the specialty retailer’s stock worth $2,031,242,000 after buying an additional 2,009,032 shares during the last quarter. Norges Bank purchased a new stake in Williams-Sonoma during the fourth quarter valued at approximately $316,920,000. Boston Partners bought a new stake in Williams-Sonoma in the third quarter worth $254,778,000. Finally, Bank of America Corp DE bought a new stake in shares of Williams-Sonoma in the 2nd quarter worth about $264,441,000. 99.29% of the stock is currently owned by institutional investors.
Wall Street Analyst Weigh In
WSM has been the subject of several research analyst reports. Wells Fargo & Company lifted their price target on shares of Williams-Sonoma from $190.00 to $240.00 and gave the company an “equal weight” rating in a research note on Tuesday, August 11th. Argus set a $230.00 target price on shares of Williams-Sonoma in a research report on Friday, May 29th. Credit Suisse Group set a $261.00 price objective on shares of Williams-Sonoma in a report on Monday, August 24th. Morgan Stanley boosted their price target on Williams-Sonoma from $210.00 to $240.00 and gave the company an “equal weight” rating in a research note on Thursday. Finally, Jefferies Financial Group set a $275.00 target price on shares of Williams-Sonoma in a research report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat, Williams-Sonoma currently has an average rating of “Moderate Buy” and an average price target of $244.44.
Key Stories Impacting Williams-Sonoma
Here are the key news stories impacting Williams-Sonoma this week:
- Positive Sentiment: Williams-Sonoma exceeded expectations with adjusted earnings of $2.10 per share versus the $2.08 consensus and revenue of $1.96 billion versus estimates of $1.93 billion. Comparable sales increased 6.2%, reflecting broad-based growth across its brands, including Pottery Barn and West Elm. Williams-Sonoma Fiscal Q2 Earnings Snapshot
- Positive Sentiment: Management raised its full-year revenue and earnings outlook, signaling confidence that market-share gains and improving comparable-sales trends can continue in the second half. Analysts highlighted that the company has moved beyond its most difficult year-over-year margin comparison, while comps are accelerating. Williams-Sonoma’s Most Difficult Margin Comparison Is Behind It
- Positive Sentiment: Several analysts raised their price targets following the results. KeyBanc increased its target to $270, RBC reaffirmed an Outperform rating with a $260 target, and Morgan Stanley lifted its target to $240 while maintaining an Equal Weight rating. Jim Cramer also argued that the post-earnings selloff did not reflect the strength of the report. Analysts Increase Forecasts on Williams-Sonoma
- Neutral Sentiment: Citigroup raised its price target from $248 to $252 but retained a Neutral rating, while Guggenheim also maintained Neutral. This reflects continued confidence in the business but limited conviction that the current valuation offers substantial upside. Analyst Insights on Williams-Sonoma
- Negative Sentiment: Gross margin declined because of tariffs, creating a key risk to earnings if higher costs cannot be offset through pricing, sourcing, or operating efficiencies. The company also remains exposed to a weak housing market and cautious discretionary spending. Williams-Sonoma Grew Comps 6.2% and Raised Guidance
- Negative Sentiment: The muted market reaction suggests investors may have been positioned for an even stronger report, or may be taking profits after a substantial rally. At roughly 24 times earnings and near its 52-week high, WSM’s valuation leaves less room for execution disappointments.
Insider Activity at Williams-Sonoma
In other news, EVP Karalyn Yearout sold 522 shares of the company’s stock in a transaction on Friday, August 7th. The shares were sold at an average price of $246.39, for a total transaction of $128,615.58. Following the transaction, the executive vice president directly owned 20,195 shares of the company’s stock, valued at $4,975,846.05. This represents a 2.52% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 3,156 shares of company stock valued at $738,699. 1.10% of the stock is owned by company insiders.
Williams-Sonoma Stock Down 1.4%
WSM opened at $235.07 on Friday. Williams-Sonoma, Inc. has a 52 week low of $165.51 and a 52 week high of $254.89. The business has a fifty day simple moving average of $233.48 and a 200-day simple moving average of $208.49. The firm has a market cap of $27.68 billion, a P/E ratio of 24.06, a P/E/G ratio of 2.55 and a beta of 1.50.
Williams-Sonoma (NYSE:WSM – Get Free Report) last announced its quarterly earnings data on Wednesday, August 26th. The specialty retailer reported $2.10 EPS for the quarter, topping analysts’ consensus estimates of $2.08 by $0.02. Williams-Sonoma had a return on equity of 53.48% and a net margin of 14.73%.The business had revenue of $1.96 billion during the quarter, compared to the consensus estimate of $1.93 billion. During the same period in the previous year, the company posted $2.00 earnings per share. The business’s revenue for the quarter was up 6.7% on a year-over-year basis. Sell-side analysts expect that Williams-Sonoma, Inc. will post 9.45 earnings per share for the current year.
Williams-Sonoma Announces Dividend
The company also recently disclosed a quarterly dividend, which was paid on Friday, August 21st. Shareholders of record on Friday, July 17th were given a dividend of $0.76 per share. The ex-dividend date was Friday, July 17th. This represents a $3.04 dividend on an annualized basis and a yield of 1.3%. Williams-Sonoma’s dividend payout ratio is presently 31.12%.
Williams-Sonoma Profile
Williams‑Sonoma, Inc is a specialty retailer focused on the home and culinary markets, best known for premium cookware, kitchen tools and home furnishings. The company traces its roots to a single cookware store founded by Chuck Williams in 1956 in Sonoma, California, and has evolved into a multi‑brand home furnishings and housewares business. Its merchandise mix spans cookware and kitchen electrics, tabletop and food prep items, furniture, bedding, lighting and decorative accessories designed for both everyday use and higher‑end interiors.
The company operates a portfolio of consumer brands that target distinct segments of the home market.
Featured Articles
- Five stocks we like better than Williams-Sonoma
- From SaaS-pocalypse to Perfect Storm: Workday’s AI Growth Story Strengthens
- These 3 GARP Stocks Show Why Growth and Value Do Not Have to Clash
- Venture Into High-Volatility Corners of the Market With These 3 ETFs
- 3 Retail Stocks to Watch After a Big Consumer Earnings Week
Want to see what other hedge funds are holding WSM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Williams-Sonoma, Inc. (NYSE:WSM – Free Report).
Receive News & Ratings for Williams-Sonoma Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Williams-Sonoma and related companies with MarketBeat.com's FREE daily email newsletter.
