Build-A-Bear Workshop Inc

Zacks Equity Research named Generac Holdings as its Bull of the Day and Build-A-Bear Workshop as its Bear of the Day, while also providing analysis on NVIDIA and Sandisk. Generac, a Zacks Rank #1 Strong Buy, reported second quarter adjusted earnings of $2.91 per share against a Zacks Consensus Estimate of $1.95, with revenue of $1.17 billion up 11%, and its Commercial & Industrial product sales jumped 29% to $556.5 million. The company's data center backlog has grown to about $1.6 billion after roughly $1 billion in new orders in 90 days, and on September 16 it disclosed a long-term supply agreement to provide backup generators for Amazon data centers with initial deliveries expected to total $2.4 billion across 2027 and 2028, alongside a warrant for up to 1.69 million shares at $200.93 per share. Build-A-Bear, a Zacks Rank #5 Strong Sell, posted second quarter earnings of 70 cents per share on revenue that dropped 7.2% to $115.3 million, missing the $122 million estimate, and cut its fiscal 2026 revenue forecast to $500 million to $525 million from $530 million to $550 million. The retailer also lowered pre-tax income guidance to $60 million to $68 million from $72 million to $78 million and slashed its Commercial segment outlook to roughly flat from growth of at least 20%.

Zacks Investment Research added three stocks to its Zacks Rank #5 Strong Sell List for September 10th. Build-A-Bear Workshop, ticker BBW, the leading and only national company providing a make your own stuffed animal interactive retail-entertainment experience, saw its Zacks Consensus Estimate for current year earnings revised almost 11.6% downward over the last 60 days. Barrett Business Services, ticker BBSI, which provides light industrial, clerical and technical employees through staff leasing, contract staffing, site management and temporary staffing arrangements, had its current year consensus estimate revised almost 10.6% downward over the same period. BUZZI SPA, ticker BZZUF, which manufactures, distributes and sells cement, ready-mix concrete and aggregates, saw its current year consensus estimate revised 8% downward over the last 60 days.

Build-A-Bear (NYSE:BBW) cut its full-year guidance after a rough second quarter, but executives pointed to a Halloween launch that delivered the highest non-fourth quarter sales week in company history. Total revenue fell 7.2% to $115.3 million, and pre-tax income dropped 24.1% to $11.6 million, as domestic store traffic lagged and summer trend products underperformed. Management reduced fiscal 2026 revenue guidance to $500 million to $525 million from $530 million to $550 million, and pre-tax income guidance to $60 million to $68 million from $72 million to $78 million. CEO J. Christopher Hurt said the Halloween assortment, featuring a reintroduced Poseable Bat and a new Jumping Spider, produced the company's third-highest US e-commerce sales week ever, trailing only Black Friday weeks in 2020 and 2025. The company ended the quarter with 674 locations across 37 countries and still expects at least 50 net new openings this year, while buying back $8.5 million in stock during the quarter. Short interest sits at 27.59% of float, and the stock trades at a forward P/E of 7.26 as of August 31.