Williams-Sonoma (NYSE:WSM – Free Report) had its price target lifted by Citigroup from $248.00 to $252.00 in a research note issued to investors on Thursday morning,Benzinga reports. They currently have a neutral rating on the specialty retailer’s stock.
Several other research firms have also issued reports on WSM. Piper Sandler began coverage on Williams-Sonoma in a research report on Monday, July 27th. They set an “overweight” rating and a $253.00 target price for the company. Credit Suisse Group set a $261.00 price target on shares of Williams-Sonoma in a research report on Monday, August 24th. KeyCorp reissued an “overweight” rating and set a $270.00 price objective (up from $250.00) on shares of Williams-Sonoma in a research note on Thursday. Guggenheim restated a “neutral” rating on shares of Williams-Sonoma in a report on Thursday. Finally, Telsey Advisory Group set a $260.00 price objective on shares of Williams-Sonoma and gave the company an “outperform” rating in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and nine have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $244.44.
Get Our Latest Research Report on Williams-Sonoma
Williams-Sonoma Stock Down 1.4%
Williams-Sonoma (NYSE:WSM – Get Free Report) last released its quarterly earnings data on Wednesday, August 26th. The specialty retailer reported $2.10 EPS for the quarter, beating 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 quarter in the prior year, the company posted $2.00 earnings per share. The firm’s revenue was up 6.7% on a year-over-year basis. As a group, equities research analysts expect that Williams-Sonoma will post 9.45 earnings per share for the current year.
Williams-Sonoma Announces Dividend
The firm also recently announced a quarterly dividend, which was paid on Friday, August 21st. Shareholders of record on Friday, July 17th were paid a $0.76 dividend. This represents a $3.04 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date of this dividend was Friday, July 17th. Williams-Sonoma’s payout ratio is presently 31.12%.
Insider Activity
In other news, EVP Karalyn Yearout sold 522 shares of the firm’s stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $246.39, for a total transaction of $128,615.58. Following the sale, the executive vice president owned 20,195 shares of the company’s stock, valued at $4,975,846.05. This trade represents a 2.52% decrease in their ownership of the stock. 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. Insiders sold 3,156 shares of company stock valued at $738,699 in the last ninety days. 1.10% of the stock is owned by corporate insiders.
Hedge Funds Weigh In On Williams-Sonoma
Several institutional investors and hedge funds have recently modified their holdings of the business. California State Teachers Retirement System raised its holdings in Williams-Sonoma by 21,796.7% during the 2nd quarter. California State Teachers Retirement System now owns 36,913,716 shares of the specialty retailer’s stock worth $8,604,587,000 after buying an additional 36,745,135 shares during the period. BlackRock Inc. acquired a new position in shares of Williams-Sonoma in the second quarter valued at approximately $2,656,062,000. Aristotle Capital Management LLC boosted its holdings in shares of Williams-Sonoma by 22.0% in the first quarter. Aristotle Capital Management LLC now owns 11,140,471 shares of the specialty retailer’s stock valued at $2,031,242,000 after buying an additional 2,009,032 shares during the period. Norges Bank acquired a new position in shares of Williams-Sonoma in the fourth quarter valued at approximately $316,920,000. Finally, Boston Partners bought a new stake in shares of Williams-Sonoma during the third quarter worth $254,778,000. 99.29% of the stock is currently owned by institutional investors and hedge funds.
Williams-Sonoma News Summary
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.
About Williams-Sonoma
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.
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