Kirkland's (KIRK) AI Stock Analysis

• Market Cap: $26.95M
• Dividend Yield: N/A
• Average Volume (3M): 181.28K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.33
• Revenue Growth: -7.00%
• EPS Growth: 14.22%
• Country: US
• Employees: 835
• Sector: Consumer Cyclical
• Sector Strength: 68
• Industry: Specialty Retail
• EPS (TTM): -0.54
• Shares Outstanding: 22,461,384
• 10 Day Avg. Volume: 87,472
• 30 Day Avg. Volume: 181,280
• PEG Ratio: -0.12
• Price to Book (P/B): -1.57
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.39
• Enterprise Value/Market Cap: 7.08
• Enterprise Value/Revenue: 0.11
• Enterprise Value/Gross Profit: 1.66
• Enterprise Value/Ebitda: -6.72
• 1Y Price Target: $1.00
• Price Target Upside: -45.65% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 43 Neutral
• Price Target: $1.50 ▼(-18.48%Downside)

Kirkland's faces significant financial challenges with declining revenues and negative profitability margins, heavily impacting its stock score. While recent corporate events suggest strategic efforts to improve performance, technical indicators also caution against potential near-term risks due to overbought conditions. Valuation remains unattractive, further weighing down the overall score.

Kirkland's Business Overview & Revenue Model

Company Description

Kirkland's, Inc. is a leading specialty retailer of home decor in the United States. The company operates in the retail sector, primarily focusing on offering a wide range of stylish and affordable home furnishings and accessories. Kirkland's product assortment includes furniture, lighting, textiles, wall decor, decorative accessories, and seasonal items, catering to a diverse customer base seeking to enhance their living spaces with unique and trendy designs.

How the Company Makes Money

Kirkland's generates revenue primarily through the sale of its home decor products via its network of physical retail locations and its e-commerce platform. The company's key revenue streams include in-store sales, online sales, and seasonal promotions that attract customers seeking decor for various occasions and holidays. By offering an extensive range of products at competitive prices, Kirkland's aims to appeal to budget-conscious consumers. Additionally, the company leverages its brand reputation and customer loyalty programs to drive repeat purchases, while strategic marketing campaigns and collaborations with designers or influencers help to boost brand visibility and attract new customers.

Kirkland's Financial Statement Overview

Summary

Kirkland's financial performance is weak, with declining revenues, negative profitability margins, and high leverage. The company's negative equity and reliance on debt for financing raise concerns about its financial stability and future solvency.

Income Statement

Kirkland's has seen a consistent decline in total revenue over recent periods, with a significant drop from $558 million in early 2022 to $431 million in TTM 2025. The gross profit margin stands at 26.73% TTM, which is reasonable but has been decreasing. Both EBIT and net profit margins are negative, indicating operational and profitability challenges. The continuing negative net income and decreasing revenue growth highlight ongoing financial difficulties.

Balance Sheet

The balance sheet reveals a negative stockholders' equity of $-16.22 million in TTM 2025, indicating potential solvency issues. The debt-to-equity ratio cannot be calculated due to negative equity, further emphasizing financial instability. Additionally, the equity ratio is negative, reflecting more liabilities than assets. These metrics suggest high financial leverage and a weak equity base.

Cash Flow

Kirkland's cash flow statements show negative operating cash flow and free cash flow, which have worsened over time, with TTM free cash flow at $-10.86 million. The operating cash flow to net income ratio is also negative, indicating poor cash generation relative to net losses. The company has been financing its operations primarily through debt, raising concerns about long-term sustainability.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	441.36M	468.69M	498.82M	558.18M	543.50M
Gross Profit	122.01M	126.99M	119.79M	188.43M	172.38M
EBITDA	-7.12M	-11.94M	-25.89M	46.12M	31.92M
Net Income	-23.13M	-27.75M	-44.69M	22.03M	16.64M
Balance Sheet
Total Assets	242.19M	250.57M	274.25M	331.19M	389.42M
Cash, Cash Equivalents and Short-Term Investments	3.82M	3.81M	5.17M	25.00M	100.34M
Total Debt	193.64M	173.79M	171.11M	152.29M	196.41M
Total Liabilities	261.20M	247.45M	244.47M	250.06M	294.89M
Stockholders Equity	-19.02M	3.12M	29.77M	81.13M	94.53M
Cash Flow
Free Cash Flow	-21.64M	-19.25M	-26.27M	-37.91M	69.86M
Operating Cash Flow	-19.25M	-14.48M	-18.15M	-30.79M	78.56M
Investing Cash Flow	-2.35M	-4.63M	-8.06M	-7.06M	-8.49M
Financing Cash Flow	21.62M	17.74M	6.38M	-37.49M	131.00K

Kirkland's Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.84
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KIRK, the sentiment is Positive. The current price of 1.84 is above the 20-day moving average (MA) of 1.20, above the 50-day MA of 1.18, and above the 200-day MA of 1.47, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 84.93 is Negative, neither overbought nor oversold. The STOCH value of 85.70 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KIRK.

Kirkland's Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$17.14B	11.11	-7.24%	3.14%	1.68%	-25.43%
DTC	51 Neutral	$48.69M	―	-67.84%	―	-9.23%	-3.69%
LVLU	47 Neutral	$11.53M	―	-179.00%	―	-11.33%	-183.52%
RENT	44 Neutral	$22.40M	―	47.49%	―	0.60%	36.38%
KIRK	43 Neutral	$26.95M	―	77.02%	―	-7.00%	14.22%

Kirkland's Corporate Events

Kirkland’s Announces Strategic Leadership Changes for Transformation

On July 1, 2025, Kirkland’s, Inc. announced strategic leadership changes as part of its transformation into The Brand House Collective. Andrea K. Courtois will join as Senior Vice President and Chief Financial Officer on July 21, 2025, succeeding W. Michael Madden, who will remain in an advisory role until August 15, 2025. The leadership changes, including the appointment of Michael Sheridan as SVP, General Counsel & Corporate Secretary, and the promotion of Mandy Gauldin to VP, Talent & Culture, are aimed at advancing Kirkland’s multi-brand operating model and enhancing its market positioning. These appointments reflect the company’s commitment to scaling profitability and driving meaningful outcomes in its operations.

The most recent analyst rating on (KIRK) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on Kirkland’s stock, see the KIRK Stock Forecast page.

Kirkland’s Appoints New Directors Amid Reorganization

On June 17, 2025, Kirkland’s announced the appointment of four new directors to its board, effective June 24, 2025, as part of a broader corporate reorganization and transformation strategy. The company also reported its first-quarter fiscal 2025 results, highlighting a net sales decline to $81.5 million and an operating loss of $10.5 million, attributed to decreased e-commerce sales and store closures. Kirkland’s plans to rebrand as The Brand House Collective, aiming to drive performance and profitability through strategic partnerships and operational realignment.

The most recent analyst rating on (KIRK) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on Kirkland’s stock, see the KIRK Stock Forecast page.

Kirkland’s Appoints New COO Amid Board Changes

On June 2, 2025, Kirkland’s, Inc. appointed James E. Schisler as Chief Operating Officer, bringing his extensive experience in merchandising and product development from companies like Express, Inc. and Abercrombie & Fitch Co. This strategic appointment is accompanied by a competitive compensation package, indicating a focus on strengthening leadership within the company. Additionally, Kirkland’s received a nomination from Beyond, Inc. on June 3, 2025, to appoint Steve Woodward and Tamara Ward as directors, necessitating the resignation of two current board members. These changes reflect a significant shift in the company’s governance structure, potentially impacting its strategic direction and stakeholder relations.

The most recent analyst rating on (KIRK) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Kirkland’s stock, see the KIRK Stock Forecast page.

Kirkland’s Expands Partnership with Beyond, Inc.

On May 7, 2025, Kirkland’s, Inc. expanded its strategic partnership with Beyond, Inc., closing a $5.2 million credit agreement expansion to support its store conversion strategy and enhance financial flexibility. The agreement allows Beyond to convert debt into Kirkland’s stock and includes amendments to existing collaboration and investor rights agreements, aiming to leverage brand synergies and improve operational efficiencies. Despite receiving waivers for prior defaults, Kirkland’s management acknowledges ongoing material uncertainty regarding its ability to continue as a going concern.

The most recent analyst rating on (KIRK) stock is a Buy with a $7.0000 price target. To see the full list of analyst forecasts on Kirkland’s stock, see the KIRK Stock Forecast page.