Arhaus (NASDAQ:ARHS) Shares Down 7.9% – Here’s Why

Arhaus, Inc. (NASDAQ:ARHS)’s stock price was down 7.9% during trading on Monday . The stock traded as low as $6.97 and last traded at $7.04. Approximately 343,830 shares changed hands during mid-day trading, a decline of 73% from the average daily volume of 1,288,804 shares. The stock had previously closed at $7.64.

Analyst Upgrades and Downgrades

ARHS has been the topic of several research analyst reports. Weiss Ratings reiterated a “hold (c)” rating on shares of Arhaus in a research report on Monday, December 29th. Stifel Nicolaus set a $12.00 target price on Arhaus in a research report on Monday, March 2nd. Morgan Stanley lifted their price target on Arhaus from $10.50 to $12.00 and gave the company an “equal weight” rating in a report on Thursday, January 15th. TD Cowen dropped their price target on Arhaus from $13.00 to $12.00 and set a “buy” rating on the stock in a research report on Friday, February 27th. Finally, Jefferies Financial Group restated a “hold” rating and set a $9.50 price objective on shares of Arhaus in a research report on Thursday, February 26th. Three analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company. Based on data from MarketBeat.com, Arhaus presently has a consensus rating of “Hold” and an average target price of $11.00.

Arhaus Stock Up 0.4%

The business’s 50 day simple moving average is $9.85 and its 200-day simple moving average is $10.36. The company has a debt-to-equity ratio of 0.13, a quick ratio of 0.62 and a current ratio of 1.37. The company has a market cap of $1.04 billion, a price-to-earnings ratio of 15.42, a price-to-earnings-growth ratio of 1.53 and a beta of 2.54.

Arhaus (NASDAQ:ARHS) last posted its quarterly earnings results on Thursday, February 26th. The company reported $0.11 earnings per share for the quarter, topping analysts’ consensus estimates of $0.10 by $0.01. Arhaus had a net margin of 4.88% and a return on equity of 17.32%. The business had revenue of $364.85 million for the quarter, compared to the consensus estimate of $351.53 million. During the same period in the prior year, the business posted $0.15 earnings per share. Arhaus’s revenue for the quarter was up 5.1% compared to the same quarter last year. Sell-side analysts expect that Arhaus, Inc. will post 0.46 earnings per share for the current year.

Arhaus Announces Dividend

The company also recently announced a special dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Wednesday, March 18th will be given a $0.35 dividend. The ex-dividend date of this dividend is Wednesday, March 18th.

Institutional Investors Weigh In On Arhaus

Several institutional investors have recently made changes to their positions in ARHS. Voya Investment Management LLC increased its holdings in Arhaus by 10,207.1% in the third quarter. Voya Investment Management LLC now owns 1,512,367 shares of the company’s stock worth $16,076,000 after buying an additional 1,497,694 shares during the last quarter. Balyasny Asset Management L.P. acquired a new stake in Arhaus in the fourth quarter valued at approximately $10,962,000. Wasatch Advisors LP grew its position in Arhaus by 6.8% in the second quarter. Wasatch Advisors LP now owns 12,703,259 shares of the company’s stock worth $110,137,000 after acquiring an additional 811,337 shares in the last quarter. CenterBook Partners LP grew its position in Arhaus by 207.9% in the third quarter. CenterBook Partners LP now owns 1,056,367 shares of the company’s stock worth $11,229,000 after acquiring an additional 713,324 shares in the last quarter. Finally, Nuveen LLC increased its stake in shares of Arhaus by 616.6% during the 4th quarter. Nuveen LLC now owns 751,950 shares of the company’s stock worth $8,429,000 after purchasing an additional 647,020 shares during the last quarter. 27.88% of the stock is currently owned by institutional investors and hedge funds.

About Arhaus

Arhaus (NASDAQ:ARHS) is a U.S.-based retailer specializing in high-end home furnishings and décor. Since its founding in 1986 in northeastern Ohio, the company has built a reputation for curating unique, design-forward products that blend contemporary aesthetics with artisanal craftsmanship. Headquartered in Boston Heights, Ohio, Arhaus operates a network of brick-and-mortar galleries across the United States alongside a robust e-commerce platform, serving customers from coastal metropolitan areas to interior regions.

The company’s product portfolio encompasses a wide range of furniture categories—including sofas, dining tables, bedroom pieces and storage solutions—complemented by lighting fixtures, rugs, pillows, wall art and decorative accessories.