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Bed bath and beyond stock2/21/2023 But that would leave $1.15 billion of revenue. Bank of America (NYSE: BAC) analysts describe stores without air conditioning, orders that aren’t being fulfilled, and sales that could drop another 20% this quarter. While battling Cohen, Tritton wasted $500 million on stock buybacks, and we don’t know what the new accountants will find under the bed or in the beyond. Assets were estimated at nearly $5 billion at the end of May. BBBY still had positive operating cash flow in the May quarter. This makes BBBY stock a buy, assuming the board can execute on Cohen’s plan. Add in the company’s real estate, which could be sold and then leased-back to raise more cash, and it’s time to listen to your junk man. The current market cap of BBBY is $357 million. Back when Cohen entered the fray, the value of the baby goods chain was estimated at $1.1 billion. Insiders are buying because Cohen’s plan might work.īuy Buy Baby sales declined only by single digits in the May quarter report. He put $150 million into buying about 10% of the stock, then told the board to sell its real estate and other key assets for cash, like the Buy Buy Baby chain, which sells baby products.Īt the time BBBY stock was trading at about $15/share. That’s when Ryan Cohen, the “supergenius” behind the Gamestop (NYSE: GME) meme trade, jumped in. Finally, inflation increased costs to the Moon. Then the reopening snarled supply chains so stores couldn’t meet new demand. First, the pandemic closed stores and crushed sales. It might have worked, except the world refused to sit still. 7 Best Bear Market Stocks to Buy in July 2022.I nibbled on BBBY twice during the Tritton years, and came out about even.) Instead of stacking off-price, name brand offerings to the ceiling, he would curate a collection of products built around high-quality store brands. It was based on what Tritton did as chief merchandising officer at Target (NYSE: TGT) during the 2010s. Shares of Bed Bath & Beyond fell as much as almost 17% in morning trading.Tritton’s plan was to sell peripheral chains and transform stores from an old, 1980s Walmart (NYSE: WMT) into something more like Restoration Hardware (NYSE: RH). Last week, Bed Bath & Beyond said it would close 150 stores, cut jobs and overhaul its merchandising strategy in an attempt to turn around its money-losing business. The company said it was "in the early stages of evaluating the complaint, but based on current knowledge the company believes the claims are without merit." The class action lawsuit was brought by a group of shareholders who claimed they lost around $1.2 billion. The lawsuit alleges Arnal made misleading statements to investors, and sold off his shares at a higher price after the scheme. Arnal still had about 255,000 shares remaining. The sales amounted to about $1.4 million. STORY: Bed Bath & Beyond named an interim CFO, according to a regulatory filing on Tuesday, after former chief financial officer Gustavo Arnal fell to his death from a New York City skyscraper in what was later ruled a suicide.Īccounting head Laura Crossen, who has worked at Bed Bath & Beyond for more than two decades, will step into the interim CFO role at a tumultuous time for the struggling retailer.Īrnal's death comes after he, major shareholder Ryan Cohen and the company itself were sued over allegations of artificially inflating Bed Bath & Beyond's stock price in a “pump and dump” scheme.Īrnal sold over 55,000 shares in the so-called meme stock last month, according to Reuters’ calculations based on SEC filings.
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