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Build-A-Bear Workshop, Inc. (BBW) Lifts Guidance After 11.5% Revenue Surge in Q2

We recently compiled a list of the 12 Best Stocks to Own for Grandchildren. Build-A-Bear Workshop, Inc. is placed tenth among them.

Build-A-Bear Workshop, Inc. (NYSE:BBW), a global retailer known for its interactive stuffed animal experiences, continues to demonstrate strong growth despite challenging retail conditions. In Q2 and the first half of fiscal 2025, the company reported revenues of $252.6 million, up 11.5% year-over-year, and pre-tax income of $34.9 million, a 31.5% increase. These results prompted an upward revision of its full-year pre-tax income guidance to $62–70 million, matching or slightly exceeding 2024 levels.

The company is expanding its footprint, reaching 627 stores in Q2 after adding 14 new locations, with a focus on international and partner-operated stores. This growth is complemented by digital initiatives and strategic partnerships that extend customer engagement beyond traditional malls, addressing traffic challenges in mature retail markets.

Amid macroeconomic pressures, including U.S. tariffs on goods from China and Vietnam, Build-A-Bear Workshop, Inc. (NYSE:BBW) has mitigated costs by sourcing materials directly and managing inventory proactively. Tariff impacts are expected to remain below $11 million in 2025, while the corporation limits price increases to maintain its value-driven, experience-focused offerings.

Build-A-Bear Workshop, Inc. (NYSE:BBW)’s experiential model, emphasis on customization, and planned-trip appeal continue to drive resilience in e-commerce and licensing channels, making it stand out among the best stocks to buy for investors seeking growth and stability. The firm also maintains shareholder value through ongoing share repurchases and a quarterly dividend of $0.22 per share, payable in October 2025.

While we acknowledge the risk and potential of BBW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than BBW and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW 

Disclosure: None.

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Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

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  • 140 Metas
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