Williams-Sonoma (NYSE:WSM) Sets New 52-Week High – Time to Buy?

Shares of Williams-Sonoma, Inc. (NYSE:WSM) hit a new 52-week high during mid-day trading on Friday. The company traded as high as $255.33 and last traded at $253.2960, with a volume of 117,113 shares. The stock had previously closed at $252.03.

Analysts Set New Price Targets

A number of brokerages have recently commented on WSM. UBS Group reiterated a “neutral” rating on shares of Williams-Sonoma in a research report on Monday. KeyCorp reiterated an “overweight” rating and set a $270.00 price target (up from $250.00) on shares of Williams-Sonoma in a research note on Thursday, August 27th. TD Cowen reissued a “buy” rating on shares of Williams-Sonoma in a research report on Monday, August 10th. Guggenheim reissued a “neutral” rating on shares of Williams-Sonoma in a research report on Thursday, August 27th. Finally, Wells Fargo & Company lifted their price target on shares of Williams-Sonoma from $190.00 to $240.00 and gave the stock an “equal weight” rating in a research note on Tuesday, August 11th. Ten equities research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $245.56.

Williams-Sonoma Trading Down 0.3%

The stock has a market capitalization of $29.59 billion, a price-to-earnings ratio of 25.80, a PEG ratio of 2.63 and a beta of 1.48. The stock’s 50 day moving average is $234.11 and its 200 day moving average is $216.71.

Williams-Sonoma (NYSE:WSM) last released its earnings results on Wednesday, August 26th. The specialty retailer reported $2.10 EPS for the quarter, beating the consensus estimate of $2.08 by $0.02. The firm had revenue of $1.96 billion during the quarter, compared to analyst estimates of $1.93 billion. Williams-Sonoma had a return on equity of 53.48% and a net margin of 14.73%. The business’s quarterly revenue was up 6.7% compared to the same quarter last year. During the same period in the prior year, the firm posted $2.00 earnings per share. On average, sell-side analysts anticipate that Williams-Sonoma, Inc. will post 9.51 EPS for the current year.

Williams-Sonoma Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, November 20th. Stockholders of record on Friday, October 16th will be issued a $0.76 dividend. The ex-dividend date is Friday, October 16th. This represents a $3.04 annualized dividend and a dividend yield of 1.2%. Williams-Sonoma’s dividend payout ratio (DPR) is 31.12%.

Insider Buying and Selling

In other Williams-Sonoma news, EVP Karalyn Yearout sold 1,000 shares of Williams-Sonoma stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $250.00, for a total transaction of $250,000.00. Following the transaction, the executive vice president owned 20,717 shares of the company’s stock, valued at $5,179,250. The trade was a 4.60% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Laura Alber sold 35,000 shares of the business’s stock in a transaction that occurred on Wednesday, September 16th. The stock was sold at an average price of $221.20, for a total value of $7,742,000.00. Following the completion of the sale, the chief executive officer owned 853,524 shares of the company’s stock, valued at approximately $188,799,508.80. This trade represents a 3.94% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 40,089 shares of company stock valued at $8,917,319. Company insiders own 1.10% of the company’s stock.

Institutional Investors Weigh In On Williams-Sonoma

Several institutional investors and hedge funds have recently made changes to their positions in the company. BlackRock Inc. acquired a new position in shares of Williams-Sonoma in the 2nd quarter worth approximately $2,656,062,000. Aristotle Capital Management LLC lifted its position in shares of Williams-Sonoma by 22.0% in the first quarter. Aristotle Capital Management LLC now owns 11,140,471 shares of the specialty retailer’s stock valued at $2,031,242,000 after buying an additional 2,009,032 shares during the last quarter. Bank of America Corp DE bought a new position in shares of Williams-Sonoma in the second quarter valued at about $264,441,000. Bank of New York Mellon Corp bought a new stake in shares of Williams-Sonoma during the second quarter worth approximately $188,603,000. Finally, Deutsche Bank AG acquired a new position in Williams-Sonoma in the 2nd quarter valued at $166,622,000. Institutional investors and hedge funds own 99.29% of the company’s stock.

Williams-Sonoma Company Profile

Williams-Sonoma, Inc is an omnichannel specialty retailer focused on home furnishings, décor, kitchenware and related lifestyle products. The company operates a portfolio of brands that includes Williams Sonoma, Pottery Barn, Pottery Barn Kids, Pottery Barn Teen, West Elm, Williams Sonoma Home and Mark & Graham.

Its products include cookware, cutlery, appliances, tabletop goods, furniture, bedding, bath products, lighting, rugs, textiles, decorative accessories, gifts and personalized items.