Bed Bath & Beyond filed for Chapter 11 bankruptcy back in April after several failed attempts to get out of debt and improve its business. The company is in the process of closing down its stores and liquidating inventory. It also sold its intellectual property, including assets related to the Buybuy Baby brand.

Despite all of this, some investors still haven’t given up on Bed Bath & Beyond stock (BBBYQ). The company’s shares have climbed from $0.08 per share at the time of the bankruptcy filing to $0.38 per share at one point in July. BBBYQ is currently trading at the price of $0.32.

If Bed Bath & Beyond’s plan goes through, the shares would be worthless. It calls for the stock to be “canceled, released and extinguished,” and the shareholders would be able to claim any recovery in the future. The plan confirmation hearing is reportedly expected to be scheduled for September.

Bed Bath & Beyond is expected to completely shut all of its stores by the end of July. However, don’t expect the name to go away. Overstock, an internet retailer that bought Bed Bath & Beyond intellectual property, will take on the name for its website and mobile app.

The post Bed Bath & Beyond Shareholders to Receive “Zero Recovery” Under New Reorganization Plan 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.

Bed Bath & Beyond has been flirting with bankruptcy since January as a result of poor sales and thumbing stock. Last month, the company launched a stock-sale effort in an attempt to raise $300 million, saying that missing the mark would force Chapter 11 filing. It also asked shareholders for approval to initiate a reverse stock split in the range of 1-for-5 to 1-for-20 but failed to get it in time.

It became clear in early April that Bed Bath & Beyond would fail to clear the mark. They raised just $48.5 million by April 10th, according to WSJ, and were left with 178 million shares they could sell. Even if they cleared out all of them, they would still only get $70-$80 million considering the stock’s low value.

After Wall Street Journal’s report came out, Bed Bath & Beyond stock (BBBY) saw a slide of almost 20% to drop to $0.38 per share. The company’s shares have now lost 83.77% of their value since the start of 2023.

The post Bed Bath & Beyond Reportedly Preparing for Bankruptcy Filing appeared first on theprimarymarket.com.

The proposed split is set to be in the 1-for-5 to 1-for-10 range, with the final ratio set to be determined by the Bed Bath & Beyond board. The company hopes that the move will result in a “higher per-share trading price” and increase the interest of investors in its stock.

“Our proposal for a reverse stock split will enable us to continue rebuilding liquidity to execute our turnaround plans and better position the Company financially,” said Sue Gove, the President & CEO of Bed Bath & Beyond. “We look forward to engaging with shareholders and continuing to provide meaningful updates as we progress with our strategy.”

Once a prime destination for domestic merchandise, Bed Bath & Beyond struggled in recent years, dealing with poor sales and failure to adjust to the increased competition. The company has been reportedly considering bankruptcy for a while now but has delayed the final decision until it exercises all other options.

Bed Bath & Beyond stock dropped almost 18 percent in after-hours trading, sliding from a close price of $1.03 per share to $0.85 later in the day. The company’s shares have lost more than 95 percent of their value in the past year. 

The post Bed Bath & Beyond to Seek Approval for Reverse Stock Split appeared first on theprimarymarket.com.

Netflix’s rise came after the release of its fourth-quarter financial results. While the streaming platform’s revenue was $7.85 billion—falling short of $7.86 billion—its addition of 7.66 million subscribers far outpaced Wall Street estimates of 4.5 million.

High-end retailer Nordstrom experienced a decline in share price after the company decided to lower its full-year profit outlook from $2.30-$2.60 per share to $1.50-$1.70. This decision came after the company’s sales during the nine weeks ending December 31st fell by 3.5%.

“The holiday season was highly promotional, and sales were softer than pre-pandemic levels,” CEO Erik Nordstrom commented following the disappointing results. In addition, the company announced that chief merchandise officer Teri Bariquit has decided to retire, thereby sparking the search for a replacement.

Bed Bath and Beyond finds itself in the hot seat after receiving a letter from the Nasdaq Stock Market stating that the retailer is not in compliance with its listing requirements due to its failure to file its quarterly results with the Securities and Exchange Commission for the period ending November 26, 2022.

The company responded by saying that it is working hard to finalize its quarterly report in an effort to regain compliance. The stock market confirmed that the notice has “no immediate effect”.

The post Netflix Up, Nordstrom Down During After-Hours Trading 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.

This uptick comes as the struggling retail company seems set to complete a funding deal worth around $400 million. Bed Bath & Beyond management confirmed that it will hold a conference call on August 31 to provide a business and strategic update to stakeholders.

Victoria Scholar, head of investment at Interactive Investor said that investors are optimistic that the rumored funding deal will be announced during the conference call. “The fundamentals of the business remain rocky but its Reddit army of bulls have upheld its share price,” she commented.

Morgan Stanley geared up its clients for the call as well, explaining in a note that the most important item on the agenda for the update would be the announcement of potential funding for Bed Bath & Beyond.

Having debuted in 1992, Bed Bath & Beyond’s stock experienced its highest increase in August, surging by 165% following the decision of Ryan Cohen to sell his entire 9.8% stake in the company.

The post Bed Bath & Beyond Extends Rally Following Strategic Update appeared first on theprimarymarket.com.

This decision was enacted in the form of a filing that was dated for August 17—so even though the plan is in motion, the official transaction hasn’t actually come to pass yet. However, the motion itself has made a major wave throughout the finance world nevertheless.

RC Ventures, a company owned by Cohen, currently holds a large 11.8% stake in Bed Bath & Beyond, but clearly, he felt like this percentage was way too high. He’s not even interested in holding on to a smidgen of the stake in the struggling retailer, which illustrates pretty strongly how little faith he has in the company.

Strangely enough, Bed Bath & Beyond stock had actually gone up an impressive 350% in August, so it’s not as though they’re completely losing their way. However, Cohen and his associates clearly weren’t to be swayed by this recent surge, and confidently feel as though ties need to be severed. In any case, financial analysts will have their eyes fixated on how Bed Bath & Beyond bounces back from this.

The post GameStop Chairman Sells Bed Bath & Beyond Stake appeared first on theprimarymarket.com.

Bed Bath & Beyond filed for Chapter 11 bankruptcy back in April after several failed attempts to get out of debt and improve its business. The company is in the process of closing down its stores and liquidating inventory. It also sold its intellectual property, including assets related to the Buybuy Baby brand.

Despite all of this, some investors still haven’t given up on Bed Bath & Beyond stock (BBBYQ). The company’s shares have climbed from $0.08 per share at the time of the bankruptcy filing to $0.38 per share at one point in July. BBBYQ is currently trading at the price of $0.32.

If Bed Bath & Beyond’s plan goes through, the shares would be worthless. It calls for the stock to be “canceled, released and extinguished,” and the shareholders would be able to claim any recovery in the future. The plan confirmation hearing is reportedly expected to be scheduled for September.

Bed Bath & Beyond is expected to completely shut all of its stores by the end of July. However, don’t expect the name to go away. Overstock, an internet retailer that bought Bed Bath & Beyond intellectual property, will take on the name for its website and mobile app.

The post Bed Bath & Beyond Shareholders to Receive “Zero Recovery” Under New Reorganization Plan 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.

Bed Bath & Beyond has been flirting with bankruptcy since January as a result of poor sales and thumbing stock. Last month, the company launched a stock-sale effort in an attempt to raise $300 million, saying that missing the mark would force Chapter 11 filing. It also asked shareholders for approval to initiate a reverse stock split in the range of 1-for-5 to 1-for-20 but failed to get it in time.

It became clear in early April that Bed Bath & Beyond would fail to clear the mark. They raised just $48.5 million by April 10th, according to WSJ, and were left with 178 million shares they could sell. Even if they cleared out all of them, they would still only get $70-$80 million considering the stock’s low value.

After Wall Street Journal’s report came out, Bed Bath & Beyond stock (BBBY) saw a slide of almost 20% to drop to $0.38 per share. The company’s shares have now lost 83.77% of their value since the start of 2023.

The post Bed Bath & Beyond Reportedly Preparing for Bankruptcy Filing appeared first on theprimarymarket.com.

The proposed split is set to be in the 1-for-5 to 1-for-10 range, with the final ratio set to be determined by the Bed Bath & Beyond board. The company hopes that the move will result in a “higher per-share trading price” and increase the interest of investors in its stock.

“Our proposal for a reverse stock split will enable us to continue rebuilding liquidity to execute our turnaround plans and better position the Company financially,” said Sue Gove, the President & CEO of Bed Bath & Beyond. “We look forward to engaging with shareholders and continuing to provide meaningful updates as we progress with our strategy.”

Once a prime destination for domestic merchandise, Bed Bath & Beyond struggled in recent years, dealing with poor sales and failure to adjust to the increased competition. The company has been reportedly considering bankruptcy for a while now but has delayed the final decision until it exercises all other options.

Bed Bath & Beyond stock dropped almost 18 percent in after-hours trading, sliding from a close price of $1.03 per share to $0.85 later in the day. The company’s shares have lost more than 95 percent of their value in the past year. 

The post Bed Bath & Beyond to Seek Approval for Reverse Stock Split appeared first on theprimarymarket.com.

Netflix’s rise came after the release of its fourth-quarter financial results. While the streaming platform’s revenue was $7.85 billion—falling short of $7.86 billion—its addition of 7.66 million subscribers far outpaced Wall Street estimates of 4.5 million.

High-end retailer Nordstrom experienced a decline in share price after the company decided to lower its full-year profit outlook from $2.30-$2.60 per share to $1.50-$1.70. This decision came after the company’s sales during the nine weeks ending December 31st fell by 3.5%.

“The holiday season was highly promotional, and sales were softer than pre-pandemic levels,” CEO Erik Nordstrom commented following the disappointing results. In addition, the company announced that chief merchandise officer Teri Bariquit has decided to retire, thereby sparking the search for a replacement.

Bed Bath and Beyond finds itself in the hot seat after receiving a letter from the Nasdaq Stock Market stating that the retailer is not in compliance with its listing requirements due to its failure to file its quarterly results with the Securities and Exchange Commission for the period ending November 26, 2022.

The company responded by saying that it is working hard to finalize its quarterly report in an effort to regain compliance. The stock market confirmed that the notice has “no immediate effect”.

The post Netflix Up, Nordstrom Down During After-Hours Trading 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.

This uptick comes as the struggling retail company seems set to complete a funding deal worth around $400 million. Bed Bath & Beyond management confirmed that it will hold a conference call on August 31 to provide a business and strategic update to stakeholders.

Victoria Scholar, head of investment at Interactive Investor said that investors are optimistic that the rumored funding deal will be announced during the conference call. “The fundamentals of the business remain rocky but its Reddit army of bulls have upheld its share price,” she commented.

Morgan Stanley geared up its clients for the call as well, explaining in a note that the most important item on the agenda for the update would be the announcement of potential funding for Bed Bath & Beyond.

Having debuted in 1992, Bed Bath & Beyond’s stock experienced its highest increase in August, surging by 165% following the decision of Ryan Cohen to sell his entire 9.8% stake in the company.

The post Bed Bath & Beyond Extends Rally Following Strategic Update appeared first on theprimarymarket.com.

This decision was enacted in the form of a filing that was dated for August 17—so even though the plan is in motion, the official transaction hasn’t actually come to pass yet. However, the motion itself has made a major wave throughout the finance world nevertheless.

RC Ventures, a company owned by Cohen, currently holds a large 11.8% stake in Bed Bath & Beyond, but clearly, he felt like this percentage was way too high. He’s not even interested in holding on to a smidgen of the stake in the struggling retailer, which illustrates pretty strongly how little faith he has in the company.

Strangely enough, Bed Bath & Beyond stock had actually gone up an impressive 350% in August, so it’s not as though they’re completely losing their way. However, Cohen and his associates clearly weren’t to be swayed by this recent surge, and confidently feel as though ties need to be severed. In any case, financial analysts will have their eyes fixated on how Bed Bath & Beyond bounces back from this.

The post GameStop Chairman Sells Bed Bath & Beyond Stake appeared first on theprimarymarket.com.