Bed Bath & Beyond has recently received a delisting notice from the Nasdaq, which has caused quite a stir in the business world. The notice informed the company that its common stock would be delisted due to its recent Chapter 11 bankruptcy filing. This means that trading in the company’s common stock will be suspended at the opening of business on May 3, 2023.
To make matters worse, Bed Bath & Beyond has also canceled its Special Meeting of Shareholders that was scheduled for May 9, 2023, and is withdrawing all proposals set forth in its definitive proxy statement on Schedule 14A filed with the SEC on April 5. This is a significant blow to the company and its shareholders, who are now left wondering what the future holds for the once-thriving business.
The news of the delisting comes after Bed Bath & Beyond filed for Chapter 11 bankruptcy on Sunday. The company previously said it would strategically manage inventory in case it finds a buyer for its businesses. If a sale is successful, the company will pivot to implement a transaction and preserve value. The company has been struggling for some time, and the bankruptcy filing was seen as a last-ditch effort to save the business.
The delisting of Bed Bath & Beyond’s common stock has caused the company’s stock price to plummet, sliding approximately 35% to $0.13 after hours. This is a significant loss for shareholders who have invested in the company.
Moving forward, Bed Bath & Beyond will need to find a way to restructure and turn its business around if it hopes to regain compliance with Nasdaq listing requirements and relist its common stock in the future. It remains to be seen whether the company will be able to bounce back from this setback, but one thing is for sure – the road ahead will be a challenging one.
BBBY Stock Performance on April 25, 2023: Negative Earnings Growth and Stagnant Movement
On April 25, 2023, BBBY stock opened at 0.19, the same as the previous close. Throughout the day, the stock fluctuated between 0.19 and 0.22. The volume for the day was 12,612,325, significantly lower than the three-month average volume of 97,727,834. The market cap for BBBY was $136.9M.
BBBY has been experiencing negative earnings growth, with a -354.18% growth rate last year and a -915.27% growth rate this year. The projected earnings growth for the next five years is also negative, at -241.00%. Additionally, the company experienced a negative revenue growth rate of -14.79% last year.
Compared to other companies in the same industry, BBBY’s stock performance was mixed. Kirkland’s Inc had a slight increase of 0.34%, while Container Store Group had a significant decrease of 5.93%.
The last reporting date for BBBY was also April 25, 2023. The EPS forecast for this quarter was -$0.91. The annual revenue for the previous year was $7.9B, while the annual profit was -$559.6M. The net profit margin was -7.11%.
BBBY operates in the retail trade sector and specializes in specialty stores. The corporate headquarters are located in Union, New Jersey.
Overall, BBBY’s stock performance on April 25, 2023 was relatively stagnant. The company’s negative earnings and revenue growth rates may be contributing to the lack of significant movement in the stock price.
Bed Bath & Beyond Inc (BBBY) Reports Negative Earnings, But Analysts Predict Significant Stock Price Increase
On April 25, 2023, Bed Bath & Beyond Inc (BBBY) reported negative earnings per share of -$0.91 and sales of $1.4 billion, missing expectations. However, three analysts predict a significant increase in the stock price, with a median target price of $2.00, representing a +899.50% increase from the current price of $0.20. The high estimate is $4.00, while the low estimate is $0.50. Despite the positive outlook, the current consensus among the three polled investment analysts is to sell BBBY stock. Investors should do their own research before making any investment decisions.