tiprankstipranks
Trending News
More News >
Allbirds, Inc. Class A (BIRD)
:BIRD
US Market
Advertisement

Allbirds (BIRD) AI Stock Analysis

Compare
317 Followers

Top Page

BIRD

Allbirds

(NASDAQ:BIRD)

Select Model
Select Model
Select Model
Neutral 45 (OpenAI - 4o)
Rating:45Neutral
Price Target:
$6.50
▲(13.24% Upside)
Allbirds' overall stock score is primarily impacted by its weak financial performance and bearish technical indicators. Despite strategic initiatives highlighted in the earnings call, ongoing financial challenges and a concerning valuation weigh heavily on the score. The company's efforts in product innovation and cost management provide some optimism, but significant risks remain.
Positive Factors
Product Innovation
Launching 19 new styles with innovative materials enhances Allbirds' product lineup, appealing to eco-conscious consumers and driving long-term growth.
International Expansion
Expanding into new international markets through distributor agreements can increase Allbirds' global footprint and revenue potential.
Cost Management
Effective cost management through SG&A reduction improves operational efficiency, potentially leading to better profitability over time.
Negative Factors
Revenue Decline
Significant revenue decline indicates challenges in market demand or competitive positioning, impacting long-term financial health.
Negative Cash Flow
Consistently negative cash flow suggests operational inefficiencies and liquidity challenges, hindering Allbirds' ability to invest in growth.
Gross Margin Decline
A declining gross margin due to increased costs and promotions can pressure profitability, affecting Allbirds' financial sustainability.

Allbirds (BIRD) vs. SPDR S&P 500 ETF (SPY)

Allbirds Business Overview & Revenue Model

Company DescriptionAllbirds, Inc. manufactures and sells footwear and apparel products for men and women. It offers shoes, such as running shoes, everyday sneakers, high-tops, slip-ons, boat shoes, flats, weather repellent shoes, and sandals. The company's apparel products include activewear, tops, bottoms, dresses, sweaters, underwear, and socks. It sells its products through its retail stores in the United States and internationally, as well as online. Allbirds, Inc. was formerly known as Bozz, Inc. Allbirds, Inc. was incorporated in 2015 and is based in San Francisco, California.
How the Company Makes MoneyAllbirds generates revenue through direct-to-consumer sales via its e-commerce platform and physical retail stores. The company offers a diverse range of products, including shoes, apparel, and socks, which cater to a growing market of consumers seeking sustainable and comfortable footwear options. Key revenue streams include online sales, which account for a significant portion of its income, as well as revenues from its brick-and-mortar locations. Additionally, Allbirds has engaged in strategic partnerships and collaborations with other brands and organizations that share its sustainability ethos, enhancing its brand visibility and market reach. The company also focuses on brand loyalty and customer retention through initiatives like its membership program and sustainable practices, which further contribute to its earnings.

Allbirds Key Performance Indicators (KPIs)

Any
Any
Revenue by Geography
Revenue by Geography
Breaks down revenue across different regions, revealing where Allbirds is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Chart InsightsAllbirds' revenue in both the U.S. and international markets has faced significant declines, particularly in 2024, reflecting challenges in sustaining growth. However, the earnings call highlights optimism for a rebound, driven by successful product launches and strategic marketing initiatives. Despite pressures from tariffs and macroeconomic uncertainties, management anticipates a return to top-line growth by Q4 2025, supported by new offerings and improved brand engagement. Investors should watch for execution on these initiatives as they could signal a turnaround in revenue trends.
Data provided by:Main Street Data

Allbirds Earnings Call Summary

Earnings Call Date:Aug 07, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 05, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted strong product innovation and cost management, with significant progress in marketing and international expansion. However, challenges in gross margin decline, store closures, and macroeconomic uncertainty were notable. Despite these challenges, the company's strategic initiatives and future product launches suggest a positive outlook.
Q2-2025 Updates
Positive Updates
Top Line Results and Adjusted EBITDA
Allbirds delivered top line results at the high end of expectations, and adjusted EBITDA exceeded guidance range.
Product Innovation and Launches
19 new styles are expected to launch this season, including new materials like Terralux and Aerie, advancing sustainability and style.
Cost Management and SG&A Reduction
SG&A was reduced by 28% compared to the prior year, reflecting lower payroll and occupancy costs.
Inventory Management
Inventories were down 21% year-over-year, indicating strong inventory management strategies.
New Marketing Strategy
A shift to producing over 100 marketing assets per month, aiming to expand reach and impact.
New Distributor Agreements
New agreements were announced for regions in Central and South America and Southern Europe, expanding international presence.
Negative Updates
Gross Margin Decline
Gross margin fell to 40.7% from 50.5% a year ago, due to planned promotional activity, inventory adjustments, and increased freight and duty costs.
Store Closures
Nine store closures year-to-date and additional closures impacted top line revenue.
Macroeconomic Uncertainty
The global macro environment remains uncertain, affecting consumer spending and sales outlook.
Revised Revenue Guidance
Full year revenue guidance was adjusted to $165 million to $180 million, reflecting store closures and macroeconomic factors.
Company Guidance
During the Allbirds Second Quarter 2025 Earnings Conference Call, the company provided guidance reflecting a robust performance with net revenue hitting $40 million, at the high end of their expectations. Adjusted EBITDA exceeded guidance, showcasing strong financial discipline. The gross margin stood at 40.7%, a decline from the previous year due to promotional activities, inventory adjustments, and increased freight costs. Despite challenges, Allbirds anticipates full-year gross margins in the mid-40s. The company has transitioned to a distributor model internationally, aiming for immediate bottom-line profitability. Allbirds plans to launch 19 new styles this season and has initiated a comprehensive marketing strategy, increasing their asset production from 5-10 assets per month to over 100, alongside a fully redesigned website to enhance customer experience. The company maintains a cautious view of the macro environment, adjusting its full-year revenue outlook to a range of $165 million to $180 million, while reiterating adjusted EBITDA guidance between negative $65 million to $55 million.

Allbirds Financial Statement Overview

Summary
Allbirds is experiencing financial difficulties characterized by declining revenues, persistent losses, and increasing leverage. The company's ability to generate cash is weak, posing ongoing liquidity and operational challenges. Despite a strong gross profit margin, the negative net profit margins and cash flow issues require strategic interventions to stabilize the financial health.
Income Statement
45
Neutral
Allbirds has faced declining revenues, with a revenue decrease from $297.8 million in 2022 to $189.8 million in 2024. The company has consistently reported negative net income, with a worsening net profit margin, currently at -49.2% for 2024. Despite a high gross profit margin of 42.7% in 2024, the EBIT and EBITDA margins are negative, indicating challenges in efficiently managing operating expenses.
Balance Sheet
50
Neutral
The balance sheet shows a concerning trend with decreasing stockholders' equity, now at $101.7 million in 2024, down from $316.8 million in 2022. The debt-to-equity ratio has increased, currently standing at 0.53. This indicates rising leverage, though the company has managed to keep a positive equity ratio of 53.8%, reflecting some stability in asset management.
Cash Flow
40
Negative
Allbirds' cash flow statement reveals significant challenges, with a negative free cash flow of $-67.96 million in 2024. The operating cash flow to net income ratio is negative, suggesting inefficiencies in operational cash generation. The free cash flow has been consistently negative, indicating ongoing liquidity concerns.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue170.65M189.76M254.06M297.77M277.47M219.30M
Gross Profit67.11M81.06M104.23M129.63M146.66M112.74M
EBITDA-82.93M-81.56M-97.85M-81.54M-34.36M-22.59M
Net Income-84.23M-93.32M-152.46M-101.35M-45.37M-25.86M
Balance Sheet
Total Assets136.82M188.88M312.70M462.36M488.43M244.04M
Cash, Cash Equivalents and Short-Term Investments33.14M66.73M130.03M167.14M288.58M126.55M
Total Debt38.14M53.67M93.95M105.85M0.00204.05M
Total Liabilities65.46M87.19M127.38M145.59M91.42M269.55M
Stockholders Equity71.36M101.69M185.33M316.77M397.00M-25.51M
Cash Flow
Free Cash Flow-61.68M-67.95M-41.09M-121.95M-75.03M-48.93M
Operating Cash Flow-58.64M-63.86M-30.22M-90.58M-50.85M-34.58M
Investing Cash Flow1.13M2.12M-7.71M-32.29M-25.64M-16.28M
Financing Cash Flow2.26M287.00K640.00K3.58M238.15M102.19M

Allbirds Technical Analysis

Technical Analysis Sentiment
Negative
Last Price5.74
Price Trends
50DMA
7.61
Negative
100DMA
8.27
Negative
200DMA
7.28
Negative
Market Momentum
MACD
-0.41
Negative
RSI
34.41
Neutral
STOCH
15.57
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BIRD, the sentiment is Negative. The current price of 5.74 is below the 20-day moving average (MA) of 6.14, below the 50-day MA of 7.61, and below the 200-day MA of 7.28, indicating a bearish trend. The MACD of -0.41 indicates Negative momentum. The RSI at 34.41 is Neutral, neither overbought nor oversold. The STOCH value of 15.57 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BIRD.

Allbirds Risk Analysis

Allbirds disclosed 77 risk factors in its most recent earnings report. Allbirds reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Allbirds Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
$13.87B90.989.73%39.16%-14.16%
64
Neutral
$342.56M-3,915.69-0.52%1.64%
57
Neutral
$129.89M-2.46-27.11%-6.13%-215.18%
55
Neutral
$610.08M-21.05-5.26%79.25%
49
Neutral
$63.39M-1.37-45.83%-11.10%-10.31%
45
Neutral
$46.76M-78.23%-22.48%39.73%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BIRD
Allbirds
5.80
-6.00
-50.85%
TLYS
Tilly's
2.00
-3.10
-60.78%
ZUMZ
Zumiez
19.83
-1.47
-6.90%
DLTH
Duluth Holdings
3.62
-0.14
-3.72%
SFIX
Stitch Fix
4.56
1.74
61.70%
ONON
On Holding AG
43.59
-6.56
-13.08%

Allbirds Corporate Events

Executive/Board ChangesRegulatory Filings and Compliance
Allbirds Faces Board Compliance Issue After Resignation
Neutral
Sep 8, 2025

On September 2, 2025, Ann Freeman announced her resignation from Allbirds‘ Board of Directors, effective September 8, 2025, to become President of Foot Locker, North America. Her departure did not stem from any disagreements with Allbirds. Consequently, Allbirds informed Nasdaq that Freeman’s resignation led to non-compliance with the Nasdaq Listing Rule requiring a majority of independent directors on the board. The company has a cure period to rectify this before the next annual meeting or within a year.

Private Placements and FinancingBusiness Operations and Strategy
Allbirds Secures $75M Credit Facility for Growth
Positive
Jul 1, 2025

On June 30, 2025, Allbirds announced a new $75 million credit facility with Second Avenue Capital Partners and a sales agreement with TD Securities to sell up to $50 million of Class A common stock. These financial strategies aim to enhance liquidity and support Allbirds’ growth plans, including new product launches and marketing initiatives. The company is focused on improving customer experience and maintaining financial discipline to drive long-term growth and shareholder value.

Executive/Board ChangesShareholder Meetings
Allbirds Elects New Director at Annual Meeting
Positive
Jun 10, 2025

On June 6, 2025, Allbirds, Inc. held its Annual Meeting of Stockholders where two major proposals were voted on. Ann Freeman was elected as a Class I director to serve until the 2028 Annual Meeting, and Deloitte & Touche LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2025. These decisions are expected to impact the company’s governance and financial oversight positively.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 19, 2025