Lovesac (NASDAQ:LOVE) Updates FY 2027 Earnings Guidance

Lovesac (NASDAQ:LOVE) issued an update on its FY 2027 earnings guidance on Thursday. The company provided earnings per share guidance of 0.980-1.260 for the period, compared to the consensus EPS estimate of 1.090. The company issued revenue guidance of $690.0 million-$710.0 million, compared to the consensus revenue estimate of $716.8 million. Lovesac also updated its Q3 2027 guidance to 0.620-0.830 EPS.

Lovesac Trading Down 2.5%

Lovesac stock opened at $13.91 on Friday. Lovesac has a 12 month low of $10.33 and a 12 month high of $19.25. The business’s 50 day simple moving average is $16.80 and its 200 day simple moving average is $15.46. The company has a market cap of $203.64 million, a price-to-earnings ratio of 11.40, a PEG ratio of 0.36 and a beta of 2.03.

Lovesac (NASDAQ:LOVE) last released 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. The business had revenue of $161.25 million during the quarter, compared to the consensus estimate of $161.55 million. Lovesac had a return on equity of 2.59% and a net margin of 2.56%.The business’s revenue for the quarter was up .5% on a year-over-year basis. During the same period last year, the business posted ($0.45) earnings per share. Lovesac has set its Q3 2027 guidance at 0.620-0.830 EPS and its FY 2027 guidance at 0.980-1.260 EPS. As a group, equities research analysts forecast that Lovesac will post 1.12 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on LOVE shares. Weiss Ratings upgraded Lovesac from a “sell (d)” rating to a “hold (c)” rating in a research note on Thursday. Canaccord Genuity Group lowered their price objective on Lovesac from $22.00 to $20.00 and set a “buy” rating on the stock in a research note on Thursday. DA Davidson dropped their price objective on shares of Lovesac from $20.00 to $18.00 and set a “buy” rating on the stock in a report on Friday. Wall Street Zen upgraded shares of Lovesac from a “hold” rating to a “buy” rating in a research report on Saturday. Finally, Roth Capital reiterated a “buy” rating on shares of Lovesac in a research note on Friday. Three analysts have rated the stock with a Buy rating and one has given a Hold rating to the company’s stock. According to data from MarketBeat.com, Lovesac has an average rating of “Moderate Buy” and an average target price of $21.33.

Insider Activity

In other Lovesac news, Director Andrew Heyer purchased 30,000 shares of the company’s stock in a transaction dated Thursday, June 18th. The stock was purchased at an average price of $14.68 per share, for a total transaction of $440,400.00. Following the transaction, the director owned 293,259 shares in the company, valued at $4,305,042.12. The trade was a 11.40% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. In the last ninety days, insiders bought 33,550 shares of company stock worth $490,146. Company insiders own 7.79% of the company’s stock.

Lovesac News Roundup

Here are the key news stories impacting Lovesac this week:

• Positive Sentiment: Lovesac reported second-quarter fiscal 2027 net sales of approximately $161.2 million and EPS of $0.51, well above the consensus estimate for a loss of $0.36 per share. Revenue was roughly flat year over year, while the company said product launches remain on track for the second half of fiscal 2027. Lovesac second-quarter fiscal 2027 results
• Positive Sentiment: DA Davidson maintained a “buy” rating, although it reduced its price target from $20 to $18. The revised target still implies substantial potential upside from current trading levels.
• Neutral Sentiment: Management raised its fiscal 2027 EPS outlook to $0.98-$1.26, compared with consensus of $1.09. The guidance suggests earnings may meet or exceed expectations, but the company’s revenue outlook of $690 million-$710 million is below the roughly $716.8 million analyst forecast.
• Negative Sentiment: Fiscal third-quarter revenue guidance of $140 million-$150 million also trails the $156.7 million consensus estimate. Investors appear more concerned about the sales outlook than the current-quarter EPS beat, particularly amid choppy furniture demand. Lovesac cuts sales outlook
• Negative Sentiment: Analysts noted that the tariff refund helped lift quarterly profitability, potentially masking weaker underlying performance. Internet sales declines are also weighing on the company, adding to concerns about demand and the quality of reported earnings. Lovesac internet sales analysis

Hedge Funds Weigh In On Lovesac

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Barclays PLC increased its holdings in shares of Lovesac by 7.5% in the 4th quarter. Barclays PLC now owns 28,576 shares of the company’s stock worth $421,000 after buying an additional 1,999 shares during the last quarter. Squarepoint Ops LLC bought a new stake in shares of Lovesac during the 4th quarter worth $376,000. Russell Investments Group Ltd. lifted its holdings in shares of Lovesac by 147.5% during the 4th quarter. Russell Investments Group Ltd. now owns 21,517 shares of the company’s stock worth $317,000 after acquiring an additional 12,824 shares during the last quarter. Jain Global LLC purchased a new position in Lovesac in the fourth quarter worth $297,000. Finally, Wells Fargo & Company MN grew its position in Lovesac by 56.5% in the fourth quarter. Wells Fargo & Company MN now owns 15,937 shares of the company’s stock worth $235,000 after acquiring an additional 5,755 shares in the last quarter. Hedge funds and other institutional investors own 91.32% of the company’s stock.

About Lovesac

Lovesac, trading on NASDAQ under the symbol LOVE, is an American furniture company known for its modular seating systems and distinctive foam-filled “Sacs.” Founded in 1995 by Shawn Nelson, the company has built a reputation for innovative design that emphasizes comfort, durability and adaptability. Its core offerings include Sactionals—customizable sectional sofas assembled from individual “Sactional” cubes—and the original Lovesac Sacs, large fabric-covered bean bag chairs available in a variety of sizes and materials.

In addition to seating solutions, Lovesac has expanded into home entertainment products with the introduction of the Stage, a modular soundbar system designed to integrate seamlessly with Sactionals.