Short Interest in Arhaus, Inc. (NASDAQ:ARHS) Grows By 32.1%

Arhaus, Inc. (NASDAQ:ARHS) was the target of a significant growth in short interest in the month of December. As of December 31st, there was short interest totalling 7,700,000 shares, a growth of 32.1% from the December 15th total of 5,830,000 shares. Based on an average daily volume of 1,410,000 shares, the short-interest ratio is currently 5.5 days. Currently, 15.2% of the shares of the company are sold short.

Institutional Investors Weigh In On Arhaus

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ARHS. Wasatch Advisors LP boosted its holdings in Arhaus by 26.6% in the third quarter. Wasatch Advisors LP now owns 12,059,711 shares of the company’s stock valued at $148,455,000 after purchasing an additional 2,536,075 shares during the period. JPMorgan Chase & Co. increased its position in shares of Arhaus by 1,808.2% during the third quarter. JPMorgan Chase & Co. now owns 1,962,232 shares of the company’s stock worth $24,155,000 after purchasing an additional 1,859,398 shares in the last quarter. Wellington Management Group LLP increased its position in Arhaus by 107.0% in the 3rd quarter. Wellington Management Group LLP now owns 1,231,556 shares of the company’s stock valued at $15,160,000 after acquiring an additional 636,691 shares during the period. Divisadero Street Capital Management LP acquired a new position in Arhaus in the 2nd quarter valued at about $7,641,000. Finally, Hunter Perkins Capital Management LLC purchased a new position in shares of Arhaus during the 3rd quarter worth approximately $4,943,000. Institutional investors and hedge funds own 27.88% of the company’s stock.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on the company. Craig Hallum lowered Arhaus from a “buy” rating to a “hold” rating and cut their price objective for the company from $14.00 to $10.00 in a report on Tuesday, October 15th. Jefferies Financial Group upped their target price on Arhaus from $9.50 to $10.00 and gave the stock a “hold” rating in a research note on Friday, January 10th. Bank of America downgraded Arhaus from a “buy” rating to a “neutral” rating and lowered their target price for the stock from $15.00 to $11.00 in a research note on Thursday, November 7th. Barclays lowered their price target on Arhaus from $15.00 to $13.00 and set an “overweight” rating on the stock in a research report on Friday, November 8th. Finally, Piper Sandler increased their price target on Arhaus from $14.00 to $15.00 and gave the stock an “overweight” rating in a research report on Friday, January 10th. Four analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $12.20.

Arhaus Price Performance

Shares of NASDAQ:ARHS traded up $0.04 during midday trading on Friday, hitting $11.45. The company had a trading volume of 342,746 shares, compared to its average volume of 1,732,504. Arhaus has a twelve month low of $8.30 and a twelve month high of $19.81. The company has a debt-to-equity ratio of 0.17, a current ratio of 1.23 and a quick ratio of 0.52. The stock has a market cap of $1.61 billion, a price-to-earnings ratio of 20.44, a price-to-earnings-growth ratio of 12.34 and a beta of 2.58. The business’s 50-day simple moving average is $10.00 and its 200-day simple moving average is $11.53.

Arhaus (NASDAQ:ARHS) last posted its quarterly earnings results on Thursday, November 7th. The company reported $0.07 EPS for the quarter, missing the consensus estimate of $0.08 by ($0.01). The company had revenue of $319.13 million during the quarter, compared to analyst estimates of $328.94 million. Arhaus had a net margin of 6.18% and a return on equity of 24.92%. Arhaus’s revenue for the quarter was down 2.2% compared to the same quarter last year. During the same period in the prior year, the business posted $0.14 EPS. On average, research analysts predict that Arhaus will post 0.44 earnings per share for the current year.

About Arhaus

Arhaus, Inc operates as a lifestyle brand and premium retailer in the home furnishings market in the United States. It provides merchandise assortments across various categories, including furniture, lighting, textiles, décor, and outdoor. The company's furniture products comprise bedroom, dining room, living room, and home office furnishings, which includes sofas, dining tables and chairs, accent chairs, console and coffee tables, beds, headboards, dressers, desks, bookcases, modular storage, and other items; and outdoor products, such as outdoor dining tables, chairs, chaises and other furniture, lighting, textiles, décor, umbrellas, and fire pits.