Solo Brands (SBDS)
Market Price (1/21/2026): $6.98 | Market Cap: $11.4 MilSector: Consumer Discretionary | Industry: Broadline Retail
Solo Brands (SBDS)
Market Price (1/21/2026): $6.98Market Cap: $11.4 MilSector: Consumer DiscretionaryIndustry: Broadline Retail
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -46% | Weak multi-year price returns2Y Excs Rtn is -101%, 3Y Excs Rtn is -129% | Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -21 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -5.8% |
| Megatrend and thematic driversMegatrends include E-commerce & Digital Retail, and Experience Economy & Premiumization. Themes include Direct-to-Consumer Brands, and Luxury Consumer Goods. | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 2198% | |
| Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -23%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -8.9%, Rev Chg QQuarterly Revenue Change % is -44% | ||
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -11%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -14% | ||
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -708% | ||
| High stock price volatilityVol 12M is 146% | ||
| Key risksSBDS key risks include [1] declining consumer demand and excess inventory in its Solo Stove division, Show more. |
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -46% |
| Megatrend and thematic driversMegatrends include E-commerce & Digital Retail, and Experience Economy & Premiumization. Themes include Direct-to-Consumer Brands, and Luxury Consumer Goods. |
| Weak multi-year price returns2Y Excs Rtn is -101%, 3Y Excs Rtn is -129% |
| Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -21 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -5.8% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 2198% |
| Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -23%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -8.9%, Rev Chg QQuarterly Revenue Change % is -44% |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -11%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -14% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -708% |
| High stock price volatilityVol 12M is 146% |
| Key risksSBDS key risks include [1] declining consumer demand and excess inventory in its Solo Stove division, Show more. |
Why The Stock Moved
Qualitative Assessment
AI Analysis | Feedback
Solo Brands (SBDS) experienced a significant stock price decline of approximately -51.4% during the period from October 31, 2025, to January 20, 2026, primarily due to the following key factors:
1. Poor Third Quarter 2025 Financial Results: On November 6, 2025, Solo Brands announced its third-quarter 2025 financial results, which significantly underperformed expectations. The company reported a 43.7% year-over-year decrease in consolidated net sales, amounting to $53.0 million. This substantial decline was largely attributed to lower sales within its Solo Stove segment, as retail partners reduced excess inventory and promotional activities were reset.
2. Negative Adjusted EBITDA and Net Loss: The third quarter of 2025 also saw Solo Brands report a negative adjusted EBITDA of $5.1 million and a net loss of $22.9 million. These figures highlighted ongoing challenges in achieving profitability and indicated significant operational difficulties, contributing to investor concern.
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Stock Movement Drivers
Fundamental Drivers
The -52.5% change in SBDS stock from 10/31/2025 to 1/20/2026 was primarily driven by a -43.0% change in the company's P/S Multiple.| 10312025 | 1202026 | Change | |
|---|---|---|---|
| Stock Price ($) | 14.25 | 6.77 | -52.49% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 407.19 | 366.08 | -10.09% |
| P/S Multiple | 0.05 | 0.03 | -42.96% |
| Shares Outstanding (Mil) | 1.51 | 1.63 | -7.95% |
| Cumulative Contribution | -52.79% |
Market Drivers
10/31/2025 to 1/20/2026| Return | Correlation | |
|---|---|---|
| SBDS | -52.5% | |
| Market (SPY) | -0.7% | 15.6% |
| Sector (XLY) | -0.7% | 17.2% |
Fundamental Drivers
The -54.2% change in SBDS stock from 7/31/2025 to 1/20/2026 was primarily driven by a -38.3% change in the company's P/S Multiple.| 7312025 | 1202026 | Change | |
|---|---|---|---|
| Stock Price ($) | 14.78 | 6.77 | -54.19% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 446.48 | 366.08 | -18.01% |
| P/S Multiple | 0.05 | 0.03 | -38.29% |
| Shares Outstanding (Mil) | 1.47 | 1.63 | -10.47% |
| Cumulative Contribution | -54.70% |
Market Drivers
7/31/2025 to 1/20/2026| Return | Correlation | |
|---|---|---|
| SBDS | -54.2% | |
| Market (SPY) | 7.5% | 12.7% |
| Sector (XLY) | 7.8% | 17.7% |
Fundamental Drivers
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Market Drivers
1/31/2025 to 1/20/2026| Return | Correlation | |
|---|---|---|
| SBDS | ||
| Market (SPY) | 13.6% | 12.6% |
| Sector (XLY) | 3.3% | 18.3% |
Fundamental Drivers
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Market Drivers
1/31/2023 to 1/20/2026| Return | Correlation | |
|---|---|---|
| SBDS | ||
| Market (SPY) | 72.9% | 12.6% |
| Sector (XLY) | 64.0% | 18.3% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| SBDS Return | - | - | - | - | -63% | 15% | -57% |
| Peers Return | 16% | -31% | 22% | 12% | -3% | 2% | 9% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 1% | 85% |
Monthly Win Rates [3] | |||||||
| SBDS Win Rate | - | - | - | - | 17% | 100% | |
| Peers Win Rate | 62% | 28% | 60% | 47% | 42% | 40% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 100% | |
Max Drawdowns [4] | |||||||
| SBDS Max Drawdown | - | - | - | - | -64% | -0% | |
| Peers Max Drawdown | -7% | -52% | -23% | -20% | -46% | -2% | |
| S&P 500 Max Drawdown | -1% | -25% | -1% | -2% | -15% | 0% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: YETI, DECK, VFC, COLM, AEO.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 1/20/2026 (YTD)
How Low Can It Go
SBDS has limited trading history. Below is the Consumer Discretionary sector ETF (XLY) in its place.
| Event | XLY | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -40.3% | -25.4% |
| % Gain to Breakeven | 67.4% | 34.1% |
| Time to Breakeven | 680 days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -33.9% | -33.9% |
| % Gain to Breakeven | 51.3% | 51.3% |
| Time to Breakeven | 82 days | 148 days |
| 2018 Correction | ||
| % Loss | -21.9% | -19.8% |
| % Gain to Breakeven | 28.1% | 24.7% |
| Time to Breakeven | 105 days | 120 days |
| 2008 Global Financial Crisis | ||
| % Loss | -60.1% | -56.8% |
| % Gain to Breakeven | 150.8% | 131.3% |
| Time to Breakeven | 779 days | 1,480 days |
Compare to YETI, DECK, VFC, COLM, AEO
In The Past
SPDR Select Sector Fund's stock fell -40.3% during the 2022 Inflation Shock from a high on 11/19/2021. A -40.3% loss requires a 67.4% gain to breakeven.
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AI Analysis | Feedback
Here are 1-3 brief analogies for Solo Brands (SBDS):
- Solo Brands is like the Yeti of backyard living, offering premium fire pits, outdoor cooking, and other leisure products.
- Solo Brands is a house of direct-to-consumer (DTC) outdoor lifestyle brands, similar to a smaller VF Corporation (Vans, North Face) focused on backyard leisure and adventure gear.
- Solo Brands is like a modern, DTC L.L.Bean or REI for the backyard and casual outdoor adventurer.
AI Analysis | Feedback
- Solo Stove Fire Pits: Innovative, low-smoke fire pits designed for backyard ambiance and outdoor gatherings.
- Solo Stove Pizza Ovens: Portable outdoor ovens for making gourmet pizzas quickly and efficiently.
- Chubbies Apparel: A brand offering men's casual wear, primarily known for its distinctive shorts, swim trunks, and shirts.
- ISLE Paddleboards: A range of stand-up paddleboards (SUPs) and accessories for water recreation and fitness.
- ORCA Coolers and Drinkware: High-performance coolers and insulated drinkware designed for superior ice retention and outdoor durability.
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Solo Brands (SBDS) Major Customers
Solo Brands (SBDS) primarily sells its products directly to individuals through its e-commerce websites for brands such as Solo Stove, Chubbies, Oru Kayak, and ISLE Paddleboards. While the company also has a wholesale channel, no single wholesale customer accounts for 10% or more of its net revenue, indicating a diversified wholesale business. Therefore, Solo Brands' major customers are individuals, and they can be categorized as follows:-
Outdoor Living & Recreation Seekers
This category includes individuals who prioritize spending time outdoors, whether in their backyard, on a camping trip, or on the water. They seek products that enhance their outdoor experiences, comfort, and entertainment. This group often includes families, active adventurers, and social individuals who value innovative and high-quality gear for their outdoor pursuits, such as smokeless fire pits, portable kayaks, or stand-up paddleboards.
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Active & Casual Lifestyle Consumers
This segment comprises individuals who value comfort, style, and functionality in their apparel and gear for active and leisure pursuits. They are often younger, fashion-conscious, and engage in a variety of recreational activities, from relaxing at home to casual outdoor excursions. They are drawn to brands that embody a relaxed, adventurous, and comfortable lifestyle, exemplified by casual apparel and recreational accessories.
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Home & Social Enhancers
These customers are typically homeowners looking to upgrade or create inviting and functional social spaces in their homes, particularly their backyards or patios. They invest in products that foster gatherings, relaxation, and a premium outdoor ambiance. They prioritize design, durability, and features that enhance their home environment and facilitate social interaction with friends and family.
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John P. Larson, President and Chief Executive Officer
Mr. Larson has served as President and Chief Executive Officer of Solo Brands since February 2025, and as a board member since December 2024. He previously held the role of Chief Executive Officer at Bestop, Inc., a manufacturer of Jeep vehicle accessories, and at Escort Inc., an automobile electronics manufacturer. Earlier in his career, he held various senior management positions at General Motors Company.
Laura Coffey, Chief Financial Officer
Ms. Coffey was appointed Chief Financial Officer of Solo Brands in February 2024. Prior to joining Solo Brands, she was the Executive Vice President and Chief Financial Officer for The Vitamin Shoppe from 2020 to 2023. Ms. Coffey also spent 23 years at Pier 1 Imports, where she served in various financial capacities, including interim Chief Financial Officer, Executive Vice President of Planning & Allocations, and Executive Vice President of E-Commerce and Business Development. She began her career at KPMG.
Mike Murray, Chief Information Officer
Mr. Murray has served as Solo Brands' Chief Information Officer since April 2024. Before his tenure at Solo Brands, Mr. Murray led technology initiatives at The Container Store, where he oversaw IT governance, infrastructure, PMO, operations, and support. He also held diverse senior leadership roles at Pier 1 Imports, Inc., notably as VP of Technology with a focus on IT, E-commerce, and Business Development.
AI Analysis | Feedback
The key risks to Solo Brands (SBDS) are primarily centered on declining consumer demand, challenges in retail partnerships, and ongoing financial performance concerns including significant debt.
- Declining Consumer Demand and Excess Inventory: Solo Brands has experienced "continued pressure on consumer demand" and issues with "excess retailer inventory," particularly within its Solo Stove division. This has directly led to significant decreases in net sales and overall profitability. The company is actively working to reduce this excess inventory and adjust its cost structure to align with current demand levels.
- Challenges with Retail Partner Relationships and Promotional Strategy: Earlier in 2025, Solo Brands faced "temporary delisting and uncertainty" which strained relationships with its retail partners. The company is in the process of rebuilding these relationships and is shifting away from a highly promotional sales model to coordinating promotional calendars with partners. This strategic shift has contributed to "top-line headwinds" for the Solo Stove segment.
- Financial Performance and Debt Burden: Solo Brands has reported a significant decline in net sales and has experienced net losses, with adjusted EBITDA being negative in the third quarter of 2025. The company carries a substantial debt burden, with outstanding borrowings under its term loan totaling $247.1 million as of September 30, 2025. This level of indebtedness "constrains flexibility until deleveraging or sustained positive EBITDA occurs." Although a debt refinancing in June 2025 and a reverse stock split helped the company regain NYSE listing compliance and eliminated "substantial doubt about the Company's ability to continue as a going concern" as of Q2 2025, the heavy debt and negative profitability remain significant concerns.
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Solo Brands (symbol: SBDS) operates several distinct brands, each with its own addressable market:
-
Solo Stove (Fire Pits, Camp Stoves, Outdoor Cooking Equipment):
- The global outdoor cooking equipment market was valued at USD 6.46 billion in 2024 and is projected to reach USD 13.04 billion by 2032.
- The global fire pits market size was USD 6.8 billion in 2022 and is projected to grow at a compound annual growth rate of 6.5% through the end of the decade.
- The North America fire pits market is valued at USD 3.27 billion in 2025 and is expected to reach USD 4.30 billion by 2030.
- The total addressable U.S. market for Solo Stove, especially with the inclusion of urban dwellers via products like Mesa, is estimated at approximately 100 million households.
-
Chubbies (Apparel, Activewear, Athleisure):
- The global activewear market size was estimated at USD 406.83 billion in 2024 and is projected to reach USD 677.26 billion by 2030.
- Another estimate places the global activewear market size at USD 404 billion in 2024, growing to USD 786.6 billion by 2034.
- North America held a 38.46% revenue share in the global activewear market in 2024.
- The athleisure market is projected to expand at approximately a 7% compound annual growth rate globally from 2024 to 2028.
-
Oru Kayak (Folding Kayaks):
- The global canoe and kayak market size is anticipated to be valued at USD 755.17 million in 2024, with a projected growth to USD 947.21 million by 2033.
- The global portable kayak market, which Oru Kayak falls under, was valued at approximately USD 150 million in 2025.
- ISLE (Paddle Boards): null
- TerraFlame (Indoor Fire Products): null
- IcyBreeze Cooling (Portable Cooling): null
AI Analysis | Feedback
Solo Brands (NYSE: SBDS) anticipates several key drivers for future revenue growth over the next two to three years, focusing on strategic initiatives amidst ongoing restructuring efforts.
- New Product Innovation and Launches: Solo Brands is prioritizing the introduction of new, differentiated, and margin-accretive products. For instance, the company reported a favorable initial response to its new Summit 24” and Infinity Flame firepits, which contributed to improved year-over-year sales trends in October 2025 within the Solo Stove segment. This focus on product newness and quality is expected to drive demand and enhance profitability.
- Expansion and Optimization of Retail Strategic Partnerships: As an omnichannel lifestyle brand company, Solo Brands leverages strategic retail relationships to reach consumers. The Chubbies brand has demonstrated strong growth through these retail strategic partnerships. Expanding and deepening these partnerships across its brand portfolio is a significant avenue for future revenue growth.
- Targeted Growth of Key Brands: While the company has faced broader challenges, certain brands within its portfolio show potential. The Chubbies segment, for example, has exhibited sales momentum in both retail and direct-to-consumer (DTC) channels. Solo Brands will likely focus resources and strategies on accelerating the growth of its stronger-performing brands.
- Direct-to-Consumer (DTC) Channel Optimization and Engagement: Solo Brands emphasizes its omnichannel approach, including a robust e-commerce presence. Despite some recent declines in DTC sales within the Solo Stove segment, the company aims to optimize this channel through efficient marketing, differentiated product offerings, and enhanced customer engagement to drive future sales.
AI Analysis | Feedback
Share Repurchases
- Solo Brands completed stock buybacks amounting to $28.03 million as of June 30, 2023.
- On July 18, 2023, the company repurchased 627,286 shares of its Class A common stock in a private transaction at $5 per share.
Share Issuance
- A 1-for-40 reverse stock split became effective on July 8, 2025.
- As of November 3, 2025, following the reverse stock split, there were 1,647,827 Class A shares and 827,326 Class B shares outstanding.
- Equity was issued to a lender in June 2025 as a non-cash consent fee related to a refinancing.
Inbound Investments
- In June 2025, Solo Brands completed a refinancing that included a new $240 million term loan and a $90 million revolving credit facility, both set to mature on June 30, 2028.
Capital Expenditures
- Capital expenditures totaled approximately -$12.21 million over the last 12 months (as of November 2025).
- For the fiscal year ending December 31, 2024, capital expenditures were -$14.5 million.
- Capital expenditures specifically for software were -$4.99 million in the third quarter of 2025.
Research & Analysis
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Peer Comparisons for Solo Brands
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 36.88 |
| Mkt Cap | 4.1 |
| Rev LTM | 4,274 |
| Op Inc LTM | 273 |
| FCF LTM | 176 |
| FCF 3Y Avg | 296 |
| CFO LTM | 341 |
| CFO 3Y Avg | 410 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 0.7% |
| Rev Chg 3Y Avg | 1.2% |
| Rev Chg Q | 1.8% |
| QoQ Delta Rev Chg LTM | 0.5% |
| Op Mgn LTM | 6.5% |
| Op Mgn 3Y Avg | 7.7% |
| QoQ Delta Op Mgn LTM | -0.1% |
| CFO/Rev LTM | 7.4% |
| CFO/Rev 3Y Avg | 10.4% |
| FCF/Rev LTM | 3.9% |
| FCF/Rev 3Y Avg | 7.5% |
Segment Financials
Revenue by Segment| $ Mil | 2024 | 2023 | 2022 |
|---|---|---|---|
| Solo Stove | 352 | ||
| Chubbies | 102 | ||
| All Other | 42 | ||
| Single Segment | 518 | 404 | |
| Total | 495 | 518 | 404 |
| $ Mil | 2024 | 2023 | 2022 |
|---|---|---|---|
| Solo Stove | 80 | ||
| Chubbies | 14 | ||
| All Other | 2 | ||
| Depreciation and amortization expenses | -27 | ||
| Corporate and other non-segment operating expenses | -47 | ||
| Restructuring, contract termination and impairment charges | -249 | ||
| Total | -228 |
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 11/6/2025 | -31.4% | -8.2% | -36.9% |
| 8/6/2025 | -20.0% | -21.0% | -21.4% |
| SUMMARY STATS | |||
| # Positive | 0 | 0 | 0 |
| # Negative | 2 | 2 | 2 |
| Median Positive | |||
| Median Negative | -25.7% | -14.6% | -29.2% |
| Max Positive | |||
| Max Negative | -31.4% | -21.0% | -36.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2025 | 11/06/2025 | 10-Q (09/30/2025) |
| 06/30/2025 | 08/06/2025 | 10-Q (06/30/2025) |
| 03/31/2025 | 05/12/2025 | 10-Q (03/31/2025) |
| 12/31/2024 | 03/12/2025 | 10-K (12/31/2024) |
| 09/30/2024 | 11/07/2024 | 10-Q (09/30/2024) |
| 06/30/2024 | 08/07/2024 | 10-Q (06/30/2024) |
| 03/31/2024 | 05/09/2024 | 10-Q (03/31/2024) |
| 12/31/2023 | 03/14/2024 | 10-K (12/31/2023) |
| 09/30/2023 | 11/07/2023 | 10-Q (09/30/2023) |
| 06/30/2023 | 08/03/2023 | 10-Q (06/30/2023) |
| 03/31/2023 | 05/04/2023 | 10-Q (03/31/2023) |
| 12/31/2022 | 03/09/2023 | 10-K (12/31/2022) |
| 09/30/2022 | 11/10/2022 | 10-Q (09/30/2022) |
| 06/30/2022 | 08/11/2022 | 10-Q (06/30/2022) |
| 03/31/2022 | 05/13/2022 | 10-Q (03/31/2022) |
| 12/31/2021 | 03/30/2022 | 10-K (12/31/2021) |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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