Build-A-Bear Workshop, Inc (NYSE:BBW) Technicals Point To Near-Term Pullback Before Stabilizing

The nameplate retail brand carries a bearish technical bias while fundamentals show mixed momentum and WMDST’s valuation sits at fair-valued; near-term price action likely remains choppy as seasonal product cadence and leadership changes play out.

Recent News

Jun. 12, 2026 — Chris Hurt assumed the role of Chief Executive Officer following a planned succession. Jun. 15, 2026 — the company launched a “Summer of Mystery Deals” promotion with one-day offers beginning June 17. Jul. 30, 2026 — a Harry Potter-themed collection and fan giveaway ran. Aug. 6, 2026 — Build-A-Bear announced its 2026 Halloween “Spooky Stuff You Love” collection for rollout in workshops and online. Aug. 28, 2026 — the company debuted an exclusive Sanrio Lloromannic plush as part of a new Sanrio Halloween collection. Sep. 9, 2026 — the company posted a quarterly cash dividend announcement.

Technical Analysis

Directional indicators (ADX / DI+ / DI-): ADX at 32.87 registers a strong directional reading; DI+ stands at 17.51 and is decreasing, while DI- sits at 29.87 and is increasing, indicating a dominant bearish directional trend that strengthens near-term downside bias.

MACD: MACD reads -1.65 and trends lower, trading below its signal line (-0.84), which confirms bearish momentum and suggests momentum remains in the sellers’ favor.

MRO: MRO shows -33.68 and is decreasing; that negative value signals the current price lies below the implied target, implying mean-reversion potential should buying interest reappear.

Price vs. moving averages and bands: Last close at $28.18 sits below the 20-day average ($32.09), 50-day average ($33.93) and 200-day average ($42.60), with the 12-day EMA falling at $30.78; the quote resides near the lower 1x Bollinger band ($26.92), reinforcing downward pressure but leaving room for a volatility-driven bounce.

Momentum breadth: RSI at 46.96 and decreasing indicates weakening upside participation and ongoing downward pressure without an oversold extreme. Short-term volume recently registered below the 10-day average (current 502,632 vs. 1,379,496 10-day avg) while remaining above the 200-day average, suggesting episodic interest but weaker conviction on recent moves.

 


Fundamental Analysis

Earnings and EPS: Reported EPS of $0.70 exceeded the $0.63 estimate by $0.07, a +11.11% earnings surprise. Reported forward EPS sits at $0.95 and forward PE at 36.91.

Earnings growth: Quarter-over-quarter earnings growth stands at +75.52% and year-over-year earnings growth at +62.98%; the aggregate earnings-growth metric provided reads -32.04% (reporting differences reflect distinct measurement bases within company disclosures).

Revenue and cash flow: Trailing revenue growth reads 0.0%; the reported QoQ and YoY revenue-growth fields each show -100.00% in the supplied metrics. Cash conversion cycle reference for peers places the industry peer mean at 68.01 days; invested capital totals $99,443,000 and reported cash-flow margin equals 0.0% with cash-flow-to-earnings at 0.0%.

Valuation ratios: Reported trailing PE equals 51.53 and forward PE equals 36.91. WMDST’s current valuation designates the stock as fair-valued. The company’s PE of 51.53 sits below the industry peer mean of 58.74 and below the industry peer median of 42.74 in absolute terms relative to the peer list provided; the reported PEG ratio equals -1.61, which falls below the industry peer mean PEG of 0.53 and the industry peer median of 0.34.

Additional metrics: Cost of debt registers at 0.066% and invested capital at $99,443,000. Analyst price targets supplied show a mean target of $20.55, a high of $50.60 and a low of $15.58, placing the current market price above the mean target in the supplied consensus.

Valuation summary: Fundamentals show an EPS beat and strong QoQ/YoY EPS acceleration, while revenue metrics in the supplied fields do not show positive growth; valuation metrics result in WMDST’s assessment of fair-valued given the mix of elevated trailing PE, lower forward PE, negative PEG, and analyst target dispersion.

MOST-RECENT QUARTERLY REPORT
REPORT PERIOD ENDING: 2026-07-31
REPORT DATE: 2026-08-27
NEXT REPORT DATE: 2026-11-26
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INCOME STATEMENT REVENUE
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PROFITABILITY
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EARNINGS
 EPS Estimate $ 0.63
 EPS Actual $ 0.70
 EPS Difference $ 0.07
 EPS Surprise 11.111 %
 Forward EPS $ 0.95
 
BALANCE SHEET ASSETS
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EQUITY
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VALUATION & PER-SHARE METRICS EQUITY & PER-SHARE METRICS
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VALUATION
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CAPITAL STRUCTURE
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PRICE-BASED VALUATION
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Price To Book IPRWA —
 Price To Earnings (P/E) 51.534
Price To Earnings QoQ 31.277 %
Price To Earnings YoY -5.104 %
Price To Earnings IPRWA high: 79.781
mean: 58.738
BBW: 51.534
median: 42.744
low: -42.49
 PE/G Ratio -1.608
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FORWARD MULTIPLES
Forward P/E 36.906
Forward PE/G -1.152
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EFFICIENCY OPERATIONAL
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ASSET & SALES
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CASH CYCLE
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Cash Conversion Cycle Days IPRWA high: 189.448
median: 80.492
mean: 68.009
low: 13.536
BBW: 0
CAPITAL DEPLOYMENT
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CAPITAL, LIQUIDITY & COVERAGE CAPITAL STRUCTURE
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 Invested Capital $ 99.4 M
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LIQUIDITY
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COVERAGE & LEVERAGE
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 Cost Of Debt 0.066 %
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TIMING / LIQUIDITY
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DIVIDENDS
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PERFORMANCE GROWTH
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 Revenue Growth 0.0 %
Revenue Growth QoQ -100.0 %
Revenue Growth YoY -100.0 %
Revenue Growth IPRWA high: 31.102 %
median: 8.546 %
mean: 5.968 %
BBW: 0.0 %
low: -8.328 %
 Earnings Growth -32.039 %
Earnings Growth QoQ 75.518 %
Earnings Growth YoY 62.982 %
Earnings Growth IPRWA high: 464.286 %
mean: 46.954 %
median: -10.0 %
BBW: -32.039 %
low: -470.0 %
MARGINS
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 Cash Flow Margin 0.0 %
 Cash Flow To Earnings 0.0
VALUE & RETURNS
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Six-Week Outlook

Near term, expect continued choppy action with a downside bias: strong ADX plus rising DI- and falling MACD favor further consolidation below short-term moving averages. Countervailing MRO negativity suggests the position lies below WMDST’s target price and raises the probability of mean-reversion rallies off lower volatility bands. Seasonal product drops and the recent leadership transition support event-driven intraperiod swings; the most likely path over the next six weeks involves range-bound trading with intermittent rebounds that meet resistance in the low-$30s before any sustained trend reversal.

About Build-A-Bear Workshop, Inc.

Build-A-Bear Workshop, Inc. (NYSE:BBW) creates personalized plush toys, offering a unique retail experience that combines creativity and customization. Founded in 1997 and headquartered in Saint Louis, Missouri, the company provides customers with the opportunity to design their own stuffed animals. With locations across the United States, Canada, the United Kingdom, Ireland, and other regions, Build-A-Bear Workshop delivers a multi-channel shopping experience through its physical stores, online platforms, and international franchises. At Build-A-Bear Workshop, customers select from a variety of plush animal styles, sounds, and scents, crafting a unique companion. The company extends customization options with an extensive range of clothing, shoes, and accessories. Beyond traditional bears, Build-A-Bear Workshop offers themed collections and novelty items, including family sleepwear, catering to all ages. Build-A-Bear Workshop emphasizes customer engagement and creativity, inviting individuals to participate in an interactive and memorable experience. Whether shopping in-store or online, customers enjoy crafting plush friends that hold sentimental value, making Build-A-Bear Workshop a cherished brand worldwide.



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