Ethan Allen Hit By Traffic Slowdown, Cuts 2025 Outlook

Core Viewpoint - Ethan Allen Interiors Inc experienced a 2.5% decline in fiscal third-quarter sales, attributed to significant drops in order intake during January and February, with an 11% decline in order intake following a 14% increase in the previous quarter [1][2]. Group 1: Financial Performance - The company reported earnings of 38 cents per share, which fell short of the consensus estimate of 46 cents per share [2]. - Fiscal 2025 earnings estimates have been reduced from $2.32 per share to $2.00 per share, which is lower than the current consensus of $2.36 per share [2]. - Sales are expected to decline by 6.6%, an increase from the previous estimate of 3.5% [2]. Group 2: Analyst Insights - Telsey Advisory Group's Cristina Fernández maintained a Market Perform rating and lowered the price target from $32 to $30 [1]. - Concerns were raised regarding deteriorating traffic and sales trends, despite confidence in managing incremental costs from tariffs [3]. Group 3: Market Reaction - Shares of Ethan Allen fell by 9.82% to $26.27 at the time of publication [3].