Build-A-Bear Workshop(US:BBW) Yahoo Finance·2025-10-23 13:00Core Insights - Build-A-Bear Workshop (BBW) has successfully transformed from a penny stock during the retail collapse to a profitable and sustainable company [1] Financial Performance - BBW's stock price has increased from approximately $3 five years ago to around $56 today, with a market capitalization of $736 million and a P/E ratio of 13.55x [2] - The company reported Q2 2025 earnings per share (EPS) of $0.94, exceeding estimates by 42.4%, and revenue of $124.2 million, surpassing estimates with an 11.1% year-over-year growth [4] - Net retail sales grew by 10.8%, e-commerce sales surged by 15.1%, and commercial revenue increased by 15.2% [4] Future Outlook - CEO Sharon Price John anticipates record results for the fifth consecutive year in fiscal 2025, with the second quarter being the most profitable in the company's history [5] - Analysts are optimistic, with three out of four rating BBW as a "Strong Buy" and a mean price target of $80, indicating potential upside [5] Operational Efficiency - BBW boasts a return on equity of 37%, significantly higher than the industry average of 17%, indicating exceptional operational efficiency [6] - Over the past five years, BBW's net income has grown by 38%, compared to just 7.8% for the industry [6]