What Happened?

Shares of e-commerce florist and gift retailer 1-800-FLOWERS (NASDAQ: FLWS) fell 17.3% in the pre-market session after the company reported weak fourth quarter results, with its revenue and EPS fallin below analysts' expectations. Adding to the bad news, the company's full-year EBITDA guidance missed Wall Street's estimates significantly. Management expressed displeasure at the results, which were marred by "a softer than anticipated and highly promotional consumer environment, along with a pullback in corporate gifting orders." Overall, this was a weaker quarter.

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What The Market Is Telling Us

1-800-FLOWERS’s shares are very volatile and have had 20 moves greater than 5% over the last year. But moves this big are rare even for 1-800-FLOWERS and indicate this news significantly impacted the market’s perception of the business. 

The biggest move we wrote about over the last year was 5 months ago when the stock dropped 12.7% on the news that the company reported weak second-quarter earnings results. Its revenue and EPS fell short of Wall Street's estimates, and its full-year EBITDA guidance was underwhelming. Notably, demand for its offerings was impacted by what management considered a weak consumer environment. Overall, this was a weaker quarter.

1-800-FLOWERS is up 4.7% since the beginning of the year, but at $8.17 per share, it is still trading 26.3% below its 52-week high of $11.09 from March 2024. Investors who bought $1,000 worth of 1-800-FLOWERS’s shares 5 years ago would now be looking at an investment worth $507.68.

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