Why is Birkenstock stock surging today?

Birkenstock Holding plc (NYSE:BIRK) reported Q3 revenue of €720M, up 13%, exceeding expectations. Adjusted EPS was €0.74, slightly below consensus. The company raised full-year guidance, targeting 15% revenue growth and €710M in adjusted EBITDA. Shares rose up to 20% on August 13. Strength was driven by full-price demand from affluent buyers, with all regions showing growth. The company also executed a €230M share buyback program. Management noted currency and tariff pressures on margins.

BMO Capital initiated coverage on Birkenstock (NYSE:BIRK) with a Market Perform rating and a $35.00 price target. The stock has fallen 16.9% year-to-date, trading near its 52-week low. BMO acknowledges Birkenstock's strong brand and supply chain but expresses caution due to maturing growth in key markets. Analysts have revised earnings downward, though revenue grew 11.8% over the last year. Recent developments include a secondary share offering and price target increases from other analysts.

Birkenstock (BIRK) shares fell 9.4% after raising 2026 revenue guidance to 15%, targeting EUR 2.3-2.35B. The company announced a $1B equity offering and $500M share buyback. Despite higher sales, profits softened, and shares are down over 30% year-to-date.

Birkenstock (BIRK) reported Q3 2026 revenue of EUR 720M, up 15% in constant currency, and raised full-year guidance. Adjusted EBITDA grew 11% to EUR 242M, while adjusted EPS increased 19% to EUR 0.74. DTC sales outpaced B2B for the first time in eight quarters. The company issued EUR 900M in senior notes and repurchased EUR 230M in shares. Management cited strong demand in APAC, particularly China, and noted risks from Middle East conflicts and closed-toe product margin drag.

Birkenstock's adjusted EBITDA margin slipped to 33.7% due to FX and tariff headwinds. Operating cash flow was $250M, but net leverage rose to 1.8x. A $1B secondary offering by L Catterton, not Birkenstock, caused a 4% stock drop. Birkenstock's buyback offsets dilution. Analysts rate BIRK a Moderate Buy with a $53.91 target.

Birkenstock Holding (BIRK) raised its fiscal 2026 revenue guidance to 15% constant-currency growth, citing stronger-than-expected Q3 sales and an updated adjusted EBITDA outlook. The stock was $39.35, down 11.29% over 30 days and up 21.08% over 90 days. Simply Wall St’s model values it at $43.11, about 9% undervalued.