AkA Brands Holding Corp. Receives Reiterated 'Buy' Rating and $30 Price Target

Analyst Eric Beder from Small Cap Consumer Research reiterated a "Buy" rating for a.k.a. Brands Holding (AKA) with a $30.00 price target. The rating aligns with the historical trend of multiple reiterations of the "Buy" rating. AKA is an online fashion retailer focused on acquiring and accelerating the growth of next-generation, digitally native fashion brands.

a.k.a. Brands Holding Corp (NYSE: AKA) reported its Q2 2025 earnings on Aug 6, 2025, with net sales exceeding expectations. The company's CEO, Ciaran Long, highlighted the strong momentum, reporting a 9.5% growth in net sales on a constant currency basis, reaching $160.5 million. U.S. net sales grew by 14%, and Princess Polly's expansion, including the opening of three new stores, contributed significantly to the growth. The company also reported a 60% year-over-year increase in TikTok Shop revenue, with a total of 10 stores and plans to open 8 to 10 more in 2026 [2].

The company's CFO, Kevin Grant, noted that the adjusted EBITDA for the quarter was $7.5 million, in line with expectations. The company raised its full-year net sales guidance to between $608 million and $612 million, representing a 5% to 7% growth, up from the prior 4% to 6% range. Adjusted EBITDA outlook was increased to between $24.5 million and $27.5 million. Gross margin is anticipated to be between 57% and 57.4% for 2025 [2].

Analyst Eric Beder from Small Cap Consumer Research reiterated a "Buy" rating for AKA with a $30.00 price target. This rating aligns with the historical trend of multiple reiterations of the "Buy" rating. Beder praised the company's execution of its omnichannel and supply chain diversification strategies, which have driven strong growth and improved financial discipline. The analyst highlighted the company's ability to navigate current market challenges and expressed confidence in its future prospects [1].

The company's stock price was up by 59.54% following the earnings release, demonstrating investor confidence in the company's performance. The average target price for AKA from 4 analysts is $19.75, with a high estimate of $30.00 and a low estimate of $9.00, implying an average upside of 71.29% from the current price of $11.53 [1].

References:
[1] https://finance.yahoo.com/news/k-brands-holding-corp-aka-143137632.html
[2] https://seekingalpha.com/news/4480986-a-k-a-brands-raises-2025-net-sales-outlook-to-608m-612m-while-advancing-omnichannel-and