Bed Bath & Beyond Stock News: BBBY drops by nearly a quarter on horrible earnings miss
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UNLOCK OFFER- BBBY stock dropped 23.6% on Wednesday.
- Bed Bath & Beyond has critics forecasting bankruptcy after terrible earnings.
- BBBY stock is down 83% over past 12 months, 67% YTD.
Bed Bath & Beyond (BBBY) stock plunged by 23.6% on Wednesday after reporting earnings that were not even close to Wall Street estimates. The home goods retailer reported adjusted earnings per share (EPS) of $-2.83. This missed Wall Street consensus by an astounding 104%. Revenue too was dismal. At $1.46 billion sales missed consensus by over $46 million and amounted to a 25% dropoff from the year-ago quarter.
BBBY stock earnings news
"Yikes!," to say the least, and the analyst community did not spair their disdain either. There was no putting lipstick on a pig this time. CEO Mark Tritton, a major get from his former gig at Target, was unceremoniously sacked as fiscal first quarter's earnings were digested.
Ryan Cohen, he of Chewy and GameStop fame, pushed the board to fire Tritton, according to Bloomberg. Cohen, who owns nearly 10% of BBBY through an investment fund, wants the retailer to focus on national brands and reduce spending, according to Bloomberg's sources inside the company.
Much of the analyst community thinks there is no coming back for BBBY stock at this point. The retailer has been hemorrhaging customers for the past half decade.
"Stick a fork in them," said Anthony Chukumba of Loop Capital Markets after the results were announced.
Gerald Storch, CEO of Storch Advisors, was more direct when he sat down with Yahoo: "Bed, Bath & Beyond was a strategy error. It's not simply a matter of it being too difficult to operate in this environment. They've blamed it on the environment. They've blamed it on everything else. But really they even depromotionalized the promotional business over the holiday season. You know, it's just a disaster every way that you look."
Storch, a former CEO of several retailers including Toys R Us (which went bankrupt), said Tritton had moved away from carrying national home goods brands and instead begun private-labeling its own products, which turned off the masses more focused on quality.
BBBY stock forecast
BBBY has been in the meme camp for awhile now, but the returns have been awful. BBBY stock has lost 67% so far this year and a whopping 83% over the past 12 months. BBBY is now back to near the pandemic low. In March 2020 at the outset of covid, BBBY stock traded as low as $3.43. Though it is now near $5, that is where it is headed. Expect BBBY to lose another third of its value if it does not, indeed, go bankrupt.
BBBY weekly chart
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- BBBY stock dropped 23.6% on Wednesday.
- Bed Bath & Beyond has critics forecasting bankruptcy after terrible earnings.
- BBBY stock is down 83% over past 12 months, 67% YTD.
Bed Bath & Beyond (BBBY) stock plunged by 23.6% on Wednesday after reporting earnings that were not even close to Wall Street estimates. The home goods retailer reported adjusted earnings per share (EPS) of $-2.83. This missed Wall Street consensus by an astounding 104%. Revenue too was dismal. At $1.46 billion sales missed consensus by over $46 million and amounted to a 25% dropoff from the year-ago quarter.
BBBY stock earnings news
"Yikes!," to say the least, and the analyst community did not spair their disdain either. There was no putting lipstick on a pig this time. CEO Mark Tritton, a major get from his former gig at Target, was unceremoniously sacked as fiscal first quarter's earnings were digested.
Ryan Cohen, he of Chewy and GameStop fame, pushed the board to fire Tritton, according to Bloomberg. Cohen, who owns nearly 10% of BBBY through an investment fund, wants the retailer to focus on national brands and reduce spending, according to Bloomberg's sources inside the company.
Much of the analyst community thinks there is no coming back for BBBY stock at this point. The retailer has been hemorrhaging customers for the past half decade.
"Stick a fork in them," said Anthony Chukumba of Loop Capital Markets after the results were announced.
Gerald Storch, CEO of Storch Advisors, was more direct when he sat down with Yahoo: "Bed, Bath & Beyond was a strategy error. It's not simply a matter of it being too difficult to operate in this environment. They've blamed it on the environment. They've blamed it on everything else. But really they even depromotionalized the promotional business over the holiday season. You know, it's just a disaster every way that you look."
Storch, a former CEO of several retailers including Toys R Us (which went bankrupt), said Tritton had moved away from carrying national home goods brands and instead begun private-labeling its own products, which turned off the masses more focused on quality.
BBBY stock forecast
BBBY has been in the meme camp for awhile now, but the returns have been awful. BBBY stock has lost 67% so far this year and a whopping 83% over the past 12 months. BBBY is now back to near the pandemic low. In March 2020 at the outset of covid, BBBY stock traded as low as $3.43. Though it is now near $5, that is where it is headed. Expect BBBY to lose another third of its value if it does not, indeed, go bankrupt.
BBBY weekly chart
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