Monday, March 21, 2022
1-800-Flowers.com (FLWS)
In For A Rough Spell
1-800-FLOWERS.COM, Inc. is the leading provider of gourmet and floral gifts for all occasions. For nearly 40 years, 1-800-FLOWERS® has been helping deliver smiles for customers with gifts for every occasion, including fresh flowers, premium, gift-quality fruits, and other gourmet items from Harry & David®, popcorn and specialty treats from The Popcorn Factory®; cookies and baked gifts from Cheryl’s®; premium chocolates and confections from Fannie May®; gift baskets and towers from 1-800-Baskets.com®; premium English muffins and other breakfast treats from Wolferman’s; carved fresh fruit arrangements from FruitBouquets.com; and top quality steaks and chops from Stock Yards®. The Company’s BloomNet® international floral wire service provides a broad range of quality products and value-added services designed to help professional florists grow their businesses profitably.
Michael Kupinski, Director of Research, Noble Capital Markets, Inc.
Patrick McCann, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Outlook takes a turn. Consumer confidence has waned, there is worsening inflation, and continued supply chain disruptions, all indicate that the company has entered into a challenging operating environment. As such, we are lowering our revenue and adj. EBITDA expectations for the company for fiscal 2022 and taking a sobering view of fiscal 2023.
Cost reductions provide benefit. The company continues to automate its operations where possible to lower costs. Recently the company reduced its labor force by 40% at an Ohio facility as a result of automation. We believe such steps are especially important for the company during the current economic environment, which is expected to impact margins …
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
