Xcel Brands (XELB, Financial) is joining forces with renowned supermodel and founder of the Coco Rocha Model Camp, Coco Rocha, to launch an innovative fashion brand. This collaboration aims to create a stylish and empowering collection for women who embody both strength and elegance. By blending Xcel's expertise with Rocha's distinctive vision, the partnership is set to deliver a unique fashion experience that resonates with modern women.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 2 analysts, the average target price for Xcel Brands Inc (XELB, Financial) is $13.50 with a high estimate of $15.00 and a low estimate of $12.00. The average target implies an upside of 658.43% from the current price of $1.78. More detailed estimate data can be found on the Xcel Brands Inc (XELB) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, Xcel Brands Inc's (XELB, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" 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 Xcel Brands Inc (XELB, Financial) in one year is $4.69, suggesting a upside of 163.48% from the current price of $1.78. 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 Xcel Brands Inc (XELB) Summary page.
XELB Key Business Developments
Release Date: June 04, 2025
- Total Revenue Q4 2024: $1.2 million.
- Total Revenue FY 2024: $8.3 million.
- Total Revenue Q1 2025: $1.3 million.
- Adjusted EBITDA Q4 2024: Negative $0.8 million, a 31% improvement over last year.
- Adjusted EBITDA FY 2024: Negative $3.5 million, a 40% improvement over the prior fiscal year.
- Adjusted EBITDA Q1 2025: Negative $0.7 million, a 56% improvement over the prior year quarter.
- Net Loss Q4 2024: Approximately $7.1 million or minus $3 per share on a GAAP basis.
- Net Loss FY 2024: Approximately $22.4 million or $9.84 per share on a GAAP basis.
- Net Loss Q1 2025: Approximately $2.8 million or minus $1.18 per share on a GAAP basis.
- Operating Expenses Q1 2025: Approximately $2.3 million, 40% lower than the prior year period.
- Stockholders' Equity as of March 31, 2025: Approximately $26 million.
- Unrestricted Cash as of March 31, 2025: Approximately $0.3 million.
- Long-term Debt as of March 31, 2025: $8.7 million.
- Refinanced Term Debt April 2025: Net increase of approximately $3 million in liquidity, current term debt $13.6 million.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Xcel Brands Inc (XELB, Financial) closed a strategic transaction with United Trademark Group, enhancing global distribution and supply chain capabilities.
- The partnership with UTG provided $3 million in liquidity and reduced interest and principal payments by over $1 million annually through March 2027.
- Social media reach expanded significantly from 5 million to 45 million followers, enhancing brand visibility and potential for video commerce.
- C. Wonder and Christie Brinkley brands are the fastest-growing on HSN, indicating strong market performance.
- The company has successfully reduced operating costs by nearly 50% year over year, improving financial efficiency.
Negative Points
- Total revenues for Q4 2024 and the full fiscal year were significantly lower compared to the previous year due to the sale of the Lori Goldstein brand and exit from wholesale operations.
- The company reported an adjusted EBITDA loss of $792,000 in Q4 2024, although it was an improvement over the previous year.
- Net loss for Q1 2025 was approximately $2.8 million, reflecting ongoing financial challenges.
- The impact of tariffs and the consolidation of HSN's operations into QVC's headquarters pose potential risks to future performance.
- Liquidity remains a concern with only $0.3 million in unrestricted cash as of March 31, 2025, despite recent refinancing efforts.
