Bed Bath & Beyond meets 2Q profit forecasts

Earlier the firm had a rating of Underperform on the company shares. Zacks upgraded shares of Bed Bath & Beyond from a sell rating to a hold rating in a research report on Monday, June 1st.

Image source: Bed Bath and Beyond. The contrasting trajectories of Bed Bath & Beyond’s EPS and its net income are due to its ongoing share repurchases.

Bed Bath & Beyond ended the quarter with cash and cash equivalents of $667.6 million, long-term debt of $1,500 million, and total shareholders’ equity of $2,568.3 million.

Between new formats, e-commerce efforts and supply chain initiatives, interesting times are ahead for Bed Bath & Beyond – even if second quarter sales were weak and profits declined. Bed Bath & Beyond’s net earning per share, meanwhile, increased from $1.17 to $1.23, on 13% fewer outstanding shares. Approximately 4,478,000 shares traded hands during mid-day trading, an increase of 89% from the previous session’s volume of 2,369,437 shares.The stock last traded at $60.20 and had previously closed at $59.33. TheStreet lowered Bed Bath & Beyond from a buy rating to a hold rating in a research report on Wednesday, June 24th. Finally, Morgan Stanley reissued a sell rating and issued a $71.00 price objective (down from $74.00) on shares of Bed Bath & Beyond in a research report on Thursday, June 25th. Two research analysts have rated the stock with a sell rating, thirteen have issued a hold rating and eight have given a buy rating to the stock. The 12-month consensus target price for the stock is $73.81, which reflects an upside potential of 24.41% over the current price. The stock’s 50-day moving average is $62.11 and its 200-day moving average is $68.86. Bed Bath & Beyond also recently approved a $2.5 billion stock buyback program, which can further improve the P/E ratio and signals that Bed Bath & Beyond itself thinks BBBY stock is indeed a bargain now. The revenues fell just short of analysts’ expectations for sales of $3.03 billion for the second quarter.

Bed Bath & Beyond Inc.is a retailer, which operates under the names Bed Bath & Beyond (BBBY:BBBY), Christmas Tree Shops, Christmas Tree Shops andThat! or andThat! Up next in 2016 is a massive, by the company’s standards, 100,000-sq.-ft. store in the Sunset Park neighborhood of Brooklyn, where the company plans to combine four formats (Bed Bath & Beyond, Cost Plus World Market, Harmon Face Values) under one roof. The Company operates in two segments: North American Retail and Institutional Sales. The customers of the Company’s can buy products from the Organization either in store, on-line or through a mobile device. The Business also runs a supplier of a number of cloth products Linen Holdings, comforts and other goods to institutional customers in other businesses, cruise line, healthcare and the hospitality. The Business sells a wide selection of domestics merchandise and home furnishings.