Why Lovesac Stock Dropped 37% in December

Reported 2 days ago

Lovesac's stock plummeted by over 37% in December following disappointing quarterly earnings that revealed a 3% drop in net sales to $149.9 million and an increased net loss of $4.9 million. Analysts had anticipated better results, forecasting revenues above $155 million. Despite CEO Shawn Nelson's optimistic outlook for future product innovation and sales growth, market skepticism remains, particularly after a significant price target reduction by a leading analyst. The company is predicting a decline in annual sales for fiscal 2025.

Source: YAHOO

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