One-glance verdict
Undervalued
$17.26 our estimate vs market $2.58
Wall Street consensus: $4.50 (-73.9% lower than our fair-value estimate)
85% below our estimate, below the bear case
Fundamentals snapshot
1-800-FLOWERS.COM, Inc.
FLWS · NMS · Consumer Cyclical · Specialty Retail
Current price
$2.58
52-week range
$2.33 - $5.23
Market cap
$165.28M
Balance sheet
Distressed
-4.83x Concerning
Net debt $355.09M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
3 Risks
1 rewards · 3 risks
- Reward Free cash flow was positive in 7/10 years.
- Risk Return on equity was -87.9% last year — the company lost money on shareholders' equity.
- Risk Operating margin compressed from 1.5% to -27.1% over 3 years.
- Risk Net debt grew 17.2% over 3 years.
What this company does
1-800-FLOWERS.COM, Inc.
1-800-FLOWERS.COM is an online gift company that sells flower arrangements, gourmet food baskets from brands like Harry & David, and personalized items. The company earns most of its revenue (the total money brought in from sales) during major holidays like Valentine's Day and Mother's Day. This makes its business very seasonal and dependent on people's willingness to spend on gifts during these key times of the year.
How the company got here
1-800-FLOWERS.COM, Inc. started in 1976 when its founder, James McCann, bought a single flower shop in New York City. A key turning point was in 1986 when the company acquired the phone number 1-800-FLOWERS, which became its brand name and a major part of its business strategy. It was an early adopter of e-commerce (selling things online), launching a website in 1995 and going public in 1999. Over the years, it has grown by acquiring several other companies, expanding from just flowers to a wide range of gifts like gourmet foods and personalized items.
What it actually does
The company is a multi-brand retailer that sells gifts for various occasions. Think of it as a collection of different online stores under one corporate roof. You can buy fresh flowers, gift baskets, gourmet foods like cookies and popcorn, and personalized items. It operates primarily online through its various brand websites, but also has some retail stores and partnerships.
Gourmet Foods & Gift Baskets
This is the company's largest business line, making up just over half of its sales. This segment includes well-known brands like Harry & David for premium fruit and food gifts, Cheryl's Cookies, and The Popcorn Factory. Customers for this segment are individuals and businesses buying high-quality food-related gifts for holidays, special occasions, or corporate gifting. This part of the business grew significantly through the acquisition (the act of buying another company) of Harry & David in 2014.
Consumer Floral & Gifts
This is the original and most famous part of the company, representing a little less than half of its revenue. It includes the flagship 1-800-Flowers.com brand, which sells fresh flowers, plants, and floral arrangements directly to customers online. This segment also used to include personalized gifts through brands like PersonalizationMall.com and Things Remembered, but the company has recently agreed to sell these to focus on its core offerings. Customers are everyday people sending gifts for occasions like birthdays, anniversaries, and holidays.
BloomNet
This is a smaller, but important, part of the company that operates as a business-to-business service. Instead of selling to the public, BloomNet provides services to thousands of local, independent florists across the country. These services include a network that allows florists to send and receive orders from other florists, as well as technology and products to help them run their businesses. This segment makes money from the fees and services it provides to its member florists.
What management is betting on now
The company's current strategy is focused on becoming a more modern, data-driven, and customer-focused organization. Management is investing in technology to improve the online shopping experience, making it easier for customers to find products and receive personalized recommendations. They are also working to make the company more efficient by reviewing costs and simplifying operations. A key goal is to encourage customers who buy from one of their brands, like Harry & David, to also shop at their other brands, like 1-800-Flowers.com, through loyalty programs like Celebrations Passport.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q2
$317.60M
FY2025 Q3
$-160.01M
FY2025 Q4
$-36.10M
FY2026 Q1
$-145.63M
FY2026 Q2
$302.25M
FY2026 Q3
$-136.60M
FY2026 Q4
$-32.99M
FY2027 Q1
$-129.80M
Revenue
$171.35M
Net income
$-54.34M
Diluted EPS
-0.85
Operating cash flow
$-126.08M
Free cash flow
$-129.80M
Fetching…
Sources
Revenue
$293.12M
Net income
$-52.30M
Diluted EPS
-0.82
Operating cash flow
$-24.55M
Free cash flow
$-32.99M
Fetching…
Sources
Revenue
$293.01M
Net income
$-100.06M
Diluted EPS
-1.56
Operating cash flow
$-128.05M
Free cash flow
$-136.60M
Fetching…
Sources
Revenue
$702.18M
Net income
$70.55M
Diluted EPS
1.10
Operating cash flow
$309.88M
Free cash flow
$302.25M
Fetching…
Sources
Revenue
$215.20M
Net income
$-52.96M
Diluted EPS
-0.83
Operating cash flow
$-138.97M
Free cash flow
$-145.63M
Fetching…
Sources
Revenue
$336.62M
Net income
$-51.91M
Diluted EPS
-0.80
Operating cash flow
$-27.07M
Free cash flow
$-36.10M
Fetching…
Sources
Revenue
$331.45M
Net income
$-178.24M
Diluted EPS
-2.80
Operating cash flow
$-150.60M
Free cash flow
$-160.01M
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Sources
Revenue
$775.49M
Net income
$64.35M
Diluted EPS
1.00
Operating cash flow
$328.55M
Free cash flow
$317.60M
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Sources
Is it cheap or expensive?
Fair value $17.26 vs current price $2.58
Wall Street consensus is the average analyst price target: $4.50 (-73.9% lower than our fair-value estimate).
Our most-likely fair value is $17.26 a share — about 570.2% above today's price of $2.58, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Distressed
Net debt $355.1M. Interest coverage -4.8x.
Net debt
$355.09M
Interest coverage
-4.83x
1-800-FLOWERS.COM, Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
FLWS
BASELINE
1-800-FLOWERS.COM, Inc.
Total debt $364.50M Interest coverage -4.83x This is the baseline the peer rows are being compared against.
Total debt $14.72M Interest coverage -11.10x Neither company has much profit cushion over interest right now.
What you should know
The case for and against FLWS
1 Reward
3 Risks
Rewards
-
Free cash flow was positive in 7/10 years.
Risks
-
Return on equity was -87.9% last year — the company lost money on shareholders' equity.
-
Operating margin compressed from 1.5% to -27.1% over 3 years.
-
Net debt grew 17.2% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
-20.60x
P/B
1.78x
P/S
0.11x
EV/EBITDA
-64.81x
PEG ratio
0.85x
Profitability
How much profit each dollar creates
Gross margin
37.9%
Operating margin
-27.1%
Net margin
-9.2%
ROE
-87.9%
ROA
-4.9%
Health
Liquidity and balance-sheet strength
Debt / equity
3.92x
Current ratio
0.85x
Quick ratio
0.11x
Total debt
$364.50M
Total cash
$9.40M
Growth
How the business has been compounding
Revenue TTM
$1.46B
Revenue 5Y CAGR
-9.2%
EPS TTM
-2.07
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$31.20M
Free CF TTM
$-12.97M
FCF margin
-0.9%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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