Lovesac (NASDAQ:LOVE) Share Price Crosses Below 200 Day Moving Average – Should You Sell?

The Lovesac Company (NASDAQ:LOVE)’s share price passed below its 200-day moving average during trading on Friday. The stock has a 200-day moving average of $15.19 and traded as low as $15.03. Lovesac shares last traded at $15.14, with a volume of 120,310 shares.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on LOVE. Canaccord Genuity Group decreased their price target on Lovesac from $22.00 to $20.00 and set a “buy” rating for the company in a report on Thursday, September 10th. Weiss Ratings downgraded shares of Lovesac from a “hold (c)” rating to a “hold (c-)” rating in a research report on Monday. Roth Capital reiterated a “buy” rating on shares of Lovesac in a research note on Friday, September 11th. Wall Street Zen raised shares of Lovesac from a “hold” rating to a “buy” rating in a research report on Saturday, October 31st. Finally, DA Davidson decreased their target price on shares of Lovesac from $20.00 to $18.00 and set a “buy” rating for the company in a research note on Friday, September 11th. Three analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $21.33.

Lovesac Trading Down 0.6%

The business’s 50-day simple moving average is $15.14 and its two-hundred day simple moving average is $15.19. The company has a market capitalization of $218.32 million, a PE ratio of 12.41, a PEG ratio of 0.40 and a beta of 2.12.

Lovesac (NASDAQ:LOVE) last announced its earnings results on Thursday, September 10th. The company reported $0.51 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.36) by $0.87. Lovesac had a return on equity of 2.57% and a net margin of 2.56%. The business had revenue of $161.25 million for the quarter, compared to analyst estimates of $161.55 million. During the same period in the previous year, the company earned ($0.45) earnings per share. The company’s revenue for the quarter was up .5% compared to the same quarter last year. Lovesac has set its Q3 2027 guidance at 0.620-0.830 EPS and its FY 2027 guidance at 0.980-1.260 EPS. On average, analysts forecast that The Lovesac Company will post 1.08 EPS for the current year.

Institutional Investors Weigh In On Lovesac

Several hedge funds and other institutional investors have recently bought and sold shares of the business. BlackRock Inc. acquired a new position in shares of Lovesac in the 2nd quarter valued at approximately $20,250,000. Senvest Management LLC boosted its stake in shares of Lovesac by 36.7% during the 1st quarter. Senvest Management LLC now owns 1,025,393 shares of the company’s stock valued at $15,145,000 after buying an additional 275,252 shares during the last quarter. AWM Investment Company Inc. acquired a new stake in shares of Lovesac during the second quarter worth approximately $10,188,000. Kanen Wealth Management LLC acquired a new stake in shares of Lovesac during the first quarter worth approximately $8,064,000. Finally, Bastion Asset Management Inc. grew its position in shares of Lovesac by 193.6% during the first quarter. Bastion Asset Management Inc. now owns 356,097 shares of the company’s stock worth $5,290,000 after buying an additional 234,812 shares in the last quarter. 91.32% of the stock is currently owned by hedge funds and other institutional investors.

About Lovesac

Lovesac Company designs, manufactures and sells furniture and related home furnishings. Its products include Sactionals, a modular seating system that customers can configure and reconfigure, and Sacs, oversized foam-filled chairs. The company also offers accessories such as washable covers, pillows and tables. Founded by Shawn Nelson in 1995, Lovesac sells primarily through its e-commerce platform and company-operated showrooms, with additional sales through other channels. Its business and retail presence are focused mainly on the United States.