The 1-800-FLOWERS.COM, Inc. (NASDAQ:FLWS) Third-Quarter Results Are Out And Analysts Have Published New Forecasts

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Shareholders might have noticed that 1-800-FLOWERS.COM, Inc. (NASDAQ:FLWS) filed its third-quarter result this time last week. The early response was not positive, with shares down 4.1% to US$8.90 in the past week. 1-800-FLOWERS.COM reported revenues of US$379m, in line with expectations, but it unfortunately also reported (statutory) losses of US$0.26 per share, which were slightly larger than expected. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for 1-800-FLOWERS.COM

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Taking into account the latest results, 1-800-FLOWERS.COM's four analysts currently expect revenues in 2025 to be US$1.84b, approximately in line with the last 12 months. 1-800-FLOWERS.COM is also expected to turn profitable, with statutory earnings of US$0.37 per share. Before this earnings report, the analysts had been forecasting revenues of US$1.90b and earnings per share (EPS) of US$0.42 in 2025. From this we can that sentiment has definitely become more bearish after the latest results, leading to lower revenue forecasts and a substantial drop in earnings per share estimates.

Despite the cuts to forecast earnings, there was no real change to the US$12.25 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. There are some variant perceptions on 1-800-FLOWERS.COM, with the most bullish analyst valuing it at US$14.00 and the most bearish at US$9.00 per share. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

Another way we can view these estimates is in the context of the bigger picture, such as how the forecasts stack up against past performance, and whether forecasts are more or less bullish relative to other companies in the industry. These estimates imply that revenue is expected to slow, with a forecast annualised decline of 1.1% by the end of 2025. This indicates a significant reduction from annual growth of 9.9% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 4.9% annually for the foreseeable future. It's pretty clear that 1-800-FLOWERS.COM's revenues are expected to perform substantially worse than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Unfortunately, they also downgraded their revenue estimates, and our data indicates underperformance compared to the wider industry. Even so, earnings per share are more important to the intrinsic value of the business. The consensus price target held steady at US$12.25, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple 1-800-FLOWERS.COM analysts - going out to 2026, and you can see them free on our platform here.

You can also view our analysis of 1-800-FLOWERS.COM's balance sheet, and whether we think 1-800-FLOWERS.COM is carrying too much debt, for free on our platform here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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