
Williams-Sonoma (WSM) Stock Forecast & Price Target
Williams-Sonoma (WSM) Analyst Ratings
Bulls say
Williams-Sonoma demonstrates a robust financial outlook as its B2B segment is projected to generate $1 billion in sales for 2024, reflecting a 10% increase, and its brand Pottery Barn Kids/Teen achieved a 5.3% sales growth. The company has successfully expanded its operating margin by 232 basis points year-over-year to 17.9%, significantly surpassing market averages. Additionally, with projected EPS growth from $8.90 to $9.20 by 2026, alongside a notable sales growth forecast of 4.4%, Williams-Sonoma showcases strong financial health and a strategic focus on mitigating tariff impacts while maintaining operational efficiency.
Bears say
Williams-Sonoma has experienced an increase in comparable store sales of 3.7%, outperforming the broader industry, which reveals a concerning trend given that the industry is down year-over-year. The company's heavy reliance on China is troubling, as the percentage of goods sourced from this market is projected to decrease from 23% in 2024 to 10% by 2026, potentially impacting supply chains and profitability. Additionally, the anticipated gross margin pressure of 90 basis points, resulting in a decrease to 44.5%, alongside a contraction in operating margin of 40 basis points to 16.5%, raises significant concerns about the company's financial health moving forward.
This aggregate rating is based on analysts' research of Williams-Sonoma and is not a guaranteed prediction by Public.com or investment advice.
Williams-Sonoma (WSM) Analyst Forecast & Price Prediction
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