Fund 1 investments acquires $71,658 of 1-800-Flowers stock

Published 28/03/2025, 22:20
Fund 1 investments acquires $71,658 of 1-800-Flowers stock

In a recent series of transactions, Fund 1 Investments, LLC has increased its stake in 1-800-Flowers.com, Inc. (NASDAQ:FLWS) by acquiring additional shares of the company’s Class A Common Stock. The acquisitions, detailed in a filing with the Securities and Exchange Commission, reveal that Fund 1 Investments purchased a total of 12,000 shares over three days, from March 26 to March 28, 2025. According to InvestingPro analysis, the stock appears undervalued, trading at just 0.75 times book value, despite showing moderate debt levels and strong liquidity metrics.

The purchases were made at prices ranging from $5.77 to $6.0144 per share, amounting to a total investment of approximately $71,658. Following these transactions, Fund 1 Investments, along with associated entities, now holds a total of 8,167,969 shares. The stock has experienced significant volatility, with InvestingPro data showing a 25% decline over the past six months. Investors seeking deeper insights can access 12 additional ProTips and comprehensive valuation metrics through InvestingPro’s detailed research reports.

The transactions were carried out for the benefit of PLP Funds Master Fund LP, with Pleasant Lake Partners LLC acting as the investment adviser. Fund 1 Investments serves as the managing member of Pleasant Lake Partners. According to the filing, the shares are held for the account of the Master Fund. With the company’s next earnings report due on May 1, 2025, investors can access detailed financial analysis and Fair Value estimates through InvestingPro’s comprehensive research reports.

In other recent news, 1-800-FLOWERS.COM reported its second-quarter fiscal year 2025 results, showing a 6% sales decline to $776 million, which missed the consensus estimate by $27 million. The company also reported an earnings per share (EPS) of $1.08, falling short of the expected $1.20, with revenue reaching $775.5 million, below the anticipated $801.9 million. Following these results, 1-800-FLOWERS.COM reduced its full-year 2025 EBITDA guidance by 22%, setting the revised midpoint at $70 million, which is lower than the pre-pandemic FY19 EBITDA of $82 million. Additionally, DA Davidson maintained a Neutral rating on the company’s stock, with a price target of $7.50, based on a valuation of five times the estimated calendar year 2026 EBITDA of $96 million. This target remains subject to review after the release of the company’s third fiscal quarter 2025 results.

In a strategic move to enhance delivery logistics, 1-800-FLOWERS.COM has partnered with Uber Technologies (NYSE:UBER) to use Uber Direct for on-demand delivery services. This collaboration will help local florists in the BloomNet network manage demand surges, especially during peak holiday seasons like Valentine’s Day. The integration with Uber Direct provides florists with immediate access to additional delivery drivers, which is expected to improve delivery efficiency and customer experience. Meanwhile, the company’s stock fell nearly 14% in premarket trading following the earnings release, reflecting investor disappointment. Despite these challenges, 1-800-FLOWERS.COM continues to focus on cost reduction and leveraging AI for personalized marketing efforts.

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