Key Takeaways From Williams-Sonoma Analyst Ratings

In the last three months, 7 analysts have published ratings on Williams-Sonoma WSM, offering a diverse range of perspectives from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Williams-Sonoma, revealing an average target of $249.43, a high estimate of $280.00, and a low estimate of $220.00. Marking an increase of 19.69%, the current average surpasses the previous average price target of $208.40.

Decoding Analyst Ratings: A Detailed Look

A comprehensive examination of how financial experts perceive Williams-Sonoma is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Williams-Sonoma. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Williams-Sonoma compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Williams-Sonoma's stock. This examination reveals shifts in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Williams-Sonoma's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Williams-Sonoma analyst ratings.

Discovering Williams-Sonoma: A Closer Look

With a retail and direct-to-consumer presence, Williams-Sonoma is a player in the $300 billion domestic home category, focused on expanding its exposure in the B2B, marketplace, and franchise areas. Namesake Williams-Sonoma (163 stores) offers high-end cooking essentials, while Pottery Barn (191) provides casual home accessories. Brand extensions include Pottery Barn Kids (46) and PBteen. West Elm (123) is an emerging concept for young professionals, and Rejuvenation (10) offers lighting and house parts. Williams-Sonoma also has a business-to-business team that supports projects that range from residential to large-scale commercial.

Williams-Sonoma's Economic Impact: An Analysis

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Negative Revenue Trend: Examining Williams-Sonoma's financials over 3 months reveals challenges. As of 31 October, 2023, the company experienced a decline of approximately -15.46% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Williams-Sonoma's net margin is impressive, surpassing industry averages. With a net margin of 12.8%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 13.82%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Williams-Sonoma's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 5.02% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: With a below-average debt-to-equity ratio of 0.77, Williams-Sonoma adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Significance of Analyst Ratings Explained

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

This article was generated by Benzinga's automated content engine and reviewed by an editor.