Williams-Sonoma stock price target raised to $213 from $212 at RBC Capital

Published 28/08/2025, 11:52
Williams-Sonoma stock price target raised to $213 from $212 at RBC Capital

Investing.com - RBC Capital raised its price target on Williams-Sonoma (NYSE:WSM) to $213.00 from $212.00 on Thursday, while maintaining an Outperform rating on the home furnishings retailer. The company, currently trading at $192.17 with a market cap of $23.7 billion, appears overvalued according to InvestingPro analysis.

The firm noted that Williams-Sonoma posted its third consecutive quarter of positive comparable sales growth, despite housing fundamentals remaining virtually unchanged. The company maintains strong financial health with a "Good" overall score from InvestingPro, supported by a healthy current ratio of 1.51 and robust gross profit margins of 45.7%.

RBC Capital raised its third-quarter comparable sales estimate to 1.2% growth, up from a previous estimate of 0.6%, while slightly lowering its adjusted earnings per share estimate to $1.80 from $1.85 previously.

For fiscal years 2025 and 2026, the firm now models comparable sales growth of 1.9% and 2.6%, respectively, compared to prior estimates of 1.7% and 2.6%.

The new price target is based on approximately 23 times RBC’s revised 2026 adjusted earnings per share estimate of $9.24, which equates to about 21 times its 2027 adjusted earnings per share estimate of $10.19.

In other recent news, Williams-Sonoma Inc . reported strong financial results for the second quarter of 2025. The company achieved a net revenue of $1.84 billion, showcasing its robust performance in the market. Additionally, Williams-Sonoma experienced a nearly 20% increase in diluted earnings per share, reaching $2.00. These results reflect the company’s effective strategic initiatives and solid execution. While the stock price movement was not detailed, the financial outcomes suggest a positive reception from investors. The recent earnings report underscores Williams-Sonoma’s ability to maintain growth and profitability. These developments are part of the company’s ongoing efforts to strengthen its market position.

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