Bull of the Day: Build-A-Bear Workshop (BBW)

Core Viewpoint - The earnings report from American Eagle Outfitters indicates a resurgence in the retail sector, prompting significant market activity and highlighting the importance of identifying stocks with strong earnings trends [1] Company Summary: Build-A-Bear (BBW) - Build-A-Bear is currently rated Zacks Rank 1 (Strong Buy), reflecting its positive reception in the market and its transformation into a multi-channel retail growth story [2] - The company has seen a series of upward earnings estimate revisions, with current year estimates rising from $3.84 to $4.03 and next year's from $4.25 to $4.45 due to three analysts raising forecasts for the current year and two for the next [3] - Build-A-Bear has consistently outperformed earnings expectations, with last quarter's earnings reported at 94 cents, which was 40% higher than the expected 67 cents [4] - Revenue growth remains robust as Build-A-Bear leverages e-commerce, licensing, and adult nostalgia, with analysts projecting EPS growth exceeding 10% for the next year [5] - The company has adapted to market changes by enhancing digital channels and engaging in pop-culture partnerships, positioning itself as a growth story rather than just a novelty retailer [6]