$FLWS Due Diligence + Updated Position
Fuck Reddit.
I hate how they think every picture I post is not mine.
As a result, my very detailed DD post was lost and below is a curtailed version, without much regard to formatting and limited pictures.
Position
Support and Resistance + Activity
We can see that the 100SMA held today, which is the red line.
The stock has historically had trouble to keep its head above the 200sma (yellow line).
So long as the 100SMA acts as a support, we are in good shape.
Also, look at how crazy these spikes are.
We've seen this behavior is many stocks that have went through their own short squeeze.
I will not attempt to place arrows anywhere because Reddit has issues with me pasting modified pictures.
Shares Available For Borrow
One thing I've noticed is that the shorts will borrow ~3 million shares in the morning, then return the same amount by end of day.
However they did not do so yesterday or today.
https://www.iborrowdesk.com/report/flws
Right now there are only 650K shares available for borrow.
Dilution Concerns
The great thing about FLWS leadership is that they have never done an S-3 shelf offering or major dilution event.
In fact I go back to the earliest 10K annual filing available on their IR website to show they only had ~40 million Class A shares in 1999!
The existing Class A share count is ~60 million as per their most recent 10-Q filing.
The increase of 20 million shares can be attributed to stock based compensation, etc...
This is an increase of only 20 million shares in 27 years.
Yes this is a 50% increase, but given how it is standard operating procedure for companies to dilute and increase the float in multiples... I'd say this is damn good.
Squeezes get killed due to dilution when management skeets on retail, I do not have the same fear on this play.
Financial Statement Analysis: Income Statement
This one kills me because I spent such an inordinate amount of time on.
Top line revenue has been decreasing around 10-12% on all avenues (QoQ, YoY, 9 Months Ended).
Expenses have been reduced about the same percentage wise, which is their path to profitability if they can keep their revenues stable.
EPS has trending massively in a positive trend.
QoQ March 2026
Revenues declined ~12%
Expenses reduced ~14%
EPS went from (2.80) --> (1.56); which is a 44% decrease in EPS losses.Nine-Months Ended
Revenues declined ~10%
Expenses reduced ~10%
EPS went from (2.32) --> (1.29); which is a 45% decrease in EPS losses.
Free Cash Flow
Positive free cash flow for the nine months ended in March compared to last year.
Financial Statement Analysis: Balance Sheet
Decent amount of assets, but lots of debt.
I'm not re-writing this part, see for yourself below.
Artificial Intelligence
There are a few AI intern roles open.
https://myjobs.adp.com/800flowerscareers/cx/job-listing?keyword=AI
What they plan to do is leverage their decades of eCommerce data to help maximize their revenue.
AI is total bullshit in the enterprise space, they're just re-branding the same processes as AI.
For example, reporting is now called AI.
Analytics and big data is now called AI.
However we don't really care about that.
All a company needs to do is whisper AI in the next earnings call and the stock will pull a BIRD.
We need the CEO to become a spin doctor to say buzzwords and how this can help top line revenue grow.
TL;DR
FLWS is on a path to profitability
CEO can use the word AI transformation for a huge catalyst
Price Movement, Volume, Borrows + Support/Resistance
Do not sell covered calls on this stock, you will regret it
I will load up next month with even more shares, I'll post my updated position once available.
