Barclays has revised its price target for Beyond (BYON, Financial), reducing it from $7 to $5, while maintaining an Equal Weight rating on the stock following the company's first-quarter report. Despite showing progress in reducing EBITDA losses, Beyond continues to encounter substantial macroeconomic challenges. The firm points out that Beyond is emerging from already low levels and might experience unique influences in the future.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 6 analysts, the average target price for Beyond Inc (BYON, Financial) is $12.83 with a high estimate of $36.00 and a low estimate of $5.00. The average target implies an upside of 209.24% from the current price of $4.15. More detailed estimate data can be found on the Beyond Inc (BYON) Forecast page.
Based on the consensus recommendation from 9 brokerage firms, Beyond Inc's (BYON, Financial) average brokerage recommendation is currently 2.7, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Beyond Inc (BYON, Financial) in one year is $12.47, suggesting a upside of 200.48% from the current price of $4.15. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Beyond Inc (BYON) Summary page.
BYON Key Business Developments
Release Date: April 29, 2025
- Revenue Decline: 39% year-over-year decrease in Q1 2025.
- Average Order Value (AOV): Increased to $194, a $21 increase year-over-year.
- Gross Margin: Achieved 25% for the quarter, a 560-basis-point improvement year-over-year.
- Sales and Marketing Expense: Decreased by $37 million, improving 430 basis points as a percent of revenue year-over-year.
- G&A and Tech Expense: Decreased by $9 million year-over-year, with a quarterly run rate expectation of $38 million.
- Adjusted EBITDA: Loss of $13 million, a 72% improvement versus Q1 2024.
- GAAP EPS: Loss of $0.74 per share for Q1 2025.
- Adjusted Diluted Loss Per Share: $0.42, an $0.80 improvement year-over-year.
- Cash and Equivalents: Ended the quarter with $166 million.
- Inventory Program: $15 million cash use for inventory program.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Beyond Inc (BYON, Financial) has successfully restructured and reimagined its business, reducing its workforce by 65% to 70% and focusing on a customer-centric approach.
- The company has achieved a gross margin of 25% for Q1 2025, a 560-basis-point improvement compared to the same period last year.
- Beyond Inc (BYON) has integrated Salesforce and improved its marketing efficiency, leading to a significant reduction in sales and marketing expenses.
- The acquisition of buybuy BABY and investment in Kirkland's are strategic moves to expand product offerings and enhance brand presence.
- The company is debt-free, providing financial flexibility to navigate macroeconomic challenges and invest in growth initiatives.
Negative Points
- Revenue declined by 39% year over year in Q1 2025 due to the elimination of non-contributory SKUs and vendors.
- The company reported an adjusted EBITDA loss of $13 million, although this is an improvement from the previous year.
- Beyond Inc (BYON) is still in the process of improving its website experience and technology, which may impact short-term performance.
- The company faces challenges in achieving a consistent positive return on ad spend (ROAS) and needs to improve its customer acquisition strategies.
- Macroeconomic conditions, including high interest rates and potential tariffs, pose risks to the company's growth and profitability.
