The retail giant began speaking publicly about its financial issues in January when it stated that there was “substantial doubt” that it would be able to continue operating. It was around this time that the furniture outlet decided to pursue options for restructuring its debt. A month later, JPMorgan Chase & Co. submitted a default notice to the company for breaching terms on a credit line.

While the company received a lifeline in the form of $1 billion from hedge fund Hudson Bay Capital Management, the deal was soon terminated after Bed Bath & Beyond failed to meet stock-price minimums.

Previous efforts to rescue the company included a $375 million rescue loan in 2022 after the retailer closed stores and cut 20% of its workforce. Such efforts proved fruitless, however, as the company continued spending excess money.

The post Bed Bath & Beyond Files Bankruptcy appeared first on theprimarymarket.com.

“The Company continues to consider all strategic alternatives including restructuring or refinancing its debt, seeking additional debt or equity capital, reducing or delaying the Company’s business activities and strategic initiatives, or selling assets, other strategic transactions and/or other measures, including obtaining relief under the U.S. Bankruptcy Code,” the statement read.

Sales plummeted more than 30% for the third financial quarter compared to the same period in 2021, falling to $1.259 billion from $1.878 billion. While this quarter came before the traditionally busy holiday season, analysts noted that the struggling retailer faces a myriad of issues including a decline in demand and customer traffic as well as reduced levels of inventory.

As a result of its declining financial performance, Bed Bath & Beyond expects to incur a net loss of $385.8 million for the quarter.

The post Bed Bath & Beyond Announces Possible Closure If Losses Persist appeared first on theprimarymarket.com.

In a recent report, Goldman Sachs analyst Kate McShane reiterated her “Sell” rating on Bed Bath & Beyond and deemed the stock overvalued. She gave a $2 per share price target on BBBY, saying that the company is facing an uphill battle to turn things around.

“Although we think Bed Bath & Beyond sounded more constructive with regards to the opportunity in bringing back more national brands gradually, we continue to believe Bed Bath & Beyond will have a hard time driving customers to its store, especially in the second half, given the amount of competition we expect in the home goods industry,” McShane explains.

Releasing its earnings report last week, Bed Bath & Beyond revealed that comparable store sales are down 26% compared to last year while recording a $168 million operating loss in the past quarter. Its numbers also missed the Wall Street estimates by a wide margin.

The company recorded a $3.22 adjusted loss per share, while analysts expected a $1.85 adjusted loss per share. Also, revenue came at $1.44 billion compared to the $1.47 billion expected.

The post Goldman Sachs Puts $2 Price Tag on Bed Bath & Beyond Stock appeared first on theprimarymarket.com.

Initially, positive news was expected to be shared by the company during its investor presentation on Friday, with a press release indicating that the company would be receiving $500 million in funding to bring its current liquidity to $1 billion. The investor optimism that followed was soon quashed when the company revealed its plan to reduce its spending by more than $250 million during the fiscal year.

According to the SEC filing and press release, this plan includes the closure of 150 underperforming stores as well as the retrenchment of 20% of its corporate and supply chain workforce. Furthermore, the retail giant expects sales to fall by 26% this quarter compared to 2021.

“Board of Directors and management team have identified several strategies to implement impactful, organic changes to accelerate further growth and unlock the brand’s full potential including building on its digital and registry platforms, addressing additional age groups and expanding products and services,” the statement read.

The post Bed Bath & Beyond Plummets Before Investor Presentation Following Press Release appeared first on theprimarymarket.com.

While the CEO change might serve Bed Bath & Beyond well in the long term, the shakeup negatively affected its stock. After the news was made official, BBBY stock plunged more than 19 percent. It traded at around $5.23 per share throughout Wednesday compared to the $6.53 close on the day before. BBBY has been down 65 percent since the beginning of the year.

Bed Bath & Beyond’s fiscal 2022 first-quarter results showed that the company saw a 24 percent crash in same-store sales. The company’s sales came at $1.46 billion, which is significantly down from the $1.95 billion it reported a year earlier. It also missed the expected $1.51 billion mark.

The new leadership is expected to consider a series of aggressive moves in attempt to get the company back on track. This includes hiring advisory firm Berkeley Research Group to assess Bed Bath & Beyond’s inventory and balance sheet and reorganization of their baby brand Buybuy Baby.

The post Bed Bath & Beyond Plunges More Than 19 Percent After CEO Change appeared first on theprimarymarket.com.

The retail giant began speaking publicly about its financial issues in January when it stated that there was “substantial doubt” that it would be able to continue operating. It was around this time that the furniture outlet decided to pursue options for restructuring its debt. A month later, JPMorgan Chase & Co. submitted a default notice to the company for breaching terms on a credit line.

While the company received a lifeline in the form of $1 billion from hedge fund Hudson Bay Capital Management, the deal was soon terminated after Bed Bath & Beyond failed to meet stock-price minimums.

Previous efforts to rescue the company included a $375 million rescue loan in 2022 after the retailer closed stores and cut 20% of its workforce. Such efforts proved fruitless, however, as the company continued spending excess money.

The post Bed Bath & Beyond Files Bankruptcy appeared first on theprimarymarket.com.

“The Company continues to consider all strategic alternatives including restructuring or refinancing its debt, seeking additional debt or equity capital, reducing or delaying the Company’s business activities and strategic initiatives, or selling assets, other strategic transactions and/or other measures, including obtaining relief under the U.S. Bankruptcy Code,” the statement read.

Sales plummeted more than 30% for the third financial quarter compared to the same period in 2021, falling to $1.259 billion from $1.878 billion. While this quarter came before the traditionally busy holiday season, analysts noted that the struggling retailer faces a myriad of issues including a decline in demand and customer traffic as well as reduced levels of inventory.

As a result of its declining financial performance, Bed Bath & Beyond expects to incur a net loss of $385.8 million for the quarter.

The post Bed Bath & Beyond Announces Possible Closure If Losses Persist appeared first on theprimarymarket.com.

In a recent report, Goldman Sachs analyst Kate McShane reiterated her “Sell” rating on Bed Bath & Beyond and deemed the stock overvalued. She gave a $2 per share price target on BBBY, saying that the company is facing an uphill battle to turn things around.

“Although we think Bed Bath & Beyond sounded more constructive with regards to the opportunity in bringing back more national brands gradually, we continue to believe Bed Bath & Beyond will have a hard time driving customers to its store, especially in the second half, given the amount of competition we expect in the home goods industry,” McShane explains.

Releasing its earnings report last week, Bed Bath & Beyond revealed that comparable store sales are down 26% compared to last year while recording a $168 million operating loss in the past quarter. Its numbers also missed the Wall Street estimates by a wide margin.

The company recorded a $3.22 adjusted loss per share, while analysts expected a $1.85 adjusted loss per share. Also, revenue came at $1.44 billion compared to the $1.47 billion expected.

The post Goldman Sachs Puts $2 Price Tag on Bed Bath & Beyond Stock appeared first on theprimarymarket.com.

Initially, positive news was expected to be shared by the company during its investor presentation on Friday, with a press release indicating that the company would be receiving $500 million in funding to bring its current liquidity to $1 billion. The investor optimism that followed was soon quashed when the company revealed its plan to reduce its spending by more than $250 million during the fiscal year.

According to the SEC filing and press release, this plan includes the closure of 150 underperforming stores as well as the retrenchment of 20% of its corporate and supply chain workforce. Furthermore, the retail giant expects sales to fall by 26% this quarter compared to 2021.

“Board of Directors and management team have identified several strategies to implement impactful, organic changes to accelerate further growth and unlock the brand’s full potential including building on its digital and registry platforms, addressing additional age groups and expanding products and services,” the statement read.

The post Bed Bath & Beyond Plummets Before Investor Presentation Following Press Release appeared first on theprimarymarket.com.

While the CEO change might serve Bed Bath & Beyond well in the long term, the shakeup negatively affected its stock. After the news was made official, BBBY stock plunged more than 19 percent. It traded at around $5.23 per share throughout Wednesday compared to the $6.53 close on the day before. BBBY has been down 65 percent since the beginning of the year.

Bed Bath & Beyond’s fiscal 2022 first-quarter results showed that the company saw a 24 percent crash in same-store sales. The company’s sales came at $1.46 billion, which is significantly down from the $1.95 billion it reported a year earlier. It also missed the expected $1.51 billion mark.

The new leadership is expected to consider a series of aggressive moves in attempt to get the company back on track. This includes hiring advisory firm Berkeley Research Group to assess Bed Bath & Beyond’s inventory and balance sheet and reorganization of their baby brand Buybuy Baby.

The post Bed Bath & Beyond Plunges More Than 19 Percent After CEO Change appeared first on theprimarymarket.com.