Zacks Investment Research lowered shares of Bed Bath & Beyond (NASDAQ:BBBY) from a hold rating to a strong sell rating in a report released on Monday.
According to Zacks, “Bed Bath & Beyond lagged the industry in the past three months owing to a soft comps and margins trend in recent quarters. Comps declined in fourth-quarter fiscal 2017 due to fall in number of store transactions. Moreover, it has a seven-quarter long trend of strained margins due to higher shipping and coupon expenses, which along with a rise in SG&A is likely to hurt results in fiscal 2018. Consequently, the company issued a bleak view for fiscal 2018. However, the company’s top and bottom lines surpassed estimates in fourth-quarter fiscal 2017, which marked its second straight earnings and sales beat. Results were driven by solid sales growth owing to progress on its transformation efforts and other customer-centric initiatives. Further, its transformation plan is on track to deliver a seamless customer experience. Its solid sales across customer-facing digital channels are also likely to continue in fiscal 2018.”
A number of other equities analysts have also recently weighed in on BBBY. Barclays set a $20.00 price objective on shares of Bed Bath & Beyond and gave the company a hold rating in a research report on Thursday, April 12th. Wedbush reduced their price target on shares of Bed Bath & Beyond from $23.00 to $18.00 and set a neutral rating on the stock in a research report on Thursday, April 12th. Credit Suisse Group reduced their price target on shares of Bed Bath & Beyond from $25.00 to $20.00 and set a neutral rating on the stock in a research report on Thursday, April 12th. Telsey Advisory Group reduced their price target on shares of Bed Bath & Beyond from $22.00 to $20.00 and set a market perform rating on the stock in a research report on Thursday, April 12th. Finally, TheStreet raised shares of Bed Bath & Beyond from a d+ rating to a c rating in a research report on Wednesday, April 11th. Eleven research analysts have rated the stock with a sell rating, eleven have assigned a hold rating, one has given a buy rating and one has given a strong buy rating to the stock. Bed Bath & Beyond presently has a consensus rating of Hold and an average price target of $23.00.
NASDAQ:BBBY opened at $18.13 on Monday. The company has a debt-to-equity ratio of 0.52, a current ratio of 1.83 and a quick ratio of 0.57. The stock has a market capitalization of $2,457.31, a price-to-earnings ratio of 5.81, a PEG ratio of -3.81 and a beta of 1.00. Bed Bath & Beyond has a 1-year low of $17.19 and a 1-year high of $40.33.
Bed Bath & Beyond (NASDAQ:BBBY) last posted its quarterly earnings data on Wednesday, April 11th. The retailer reported $1.48 earnings per share for the quarter, beating analysts’ consensus estimates of $1.41 by $0.07. The company had revenue of $3.72 billion during the quarter, compared to analysts’ expectations of $3.68 billion. Bed Bath & Beyond had a net margin of 3.44% and a return on equity of 16.45%. The firm’s revenue for the quarter was up 5.1% on a year-over-year basis. During the same period in the prior year, the company posted $1.84 EPS. sell-side analysts expect that Bed Bath & Beyond will post 2.3 earnings per share for the current fiscal year.
The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 17th. Investors of record on Friday, June 15th will be paid a dividend of $0.16 per share. This is a positive change from Bed Bath & Beyond’s previous quarterly dividend of $0.15. The ex-dividend date of this dividend is Thursday, June 14th. This represents a $0.64 annualized dividend and a yield of 3.53%. Bed Bath & Beyond’s dividend payout ratio is 19.23%.
A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Verition Fund Management LLC raised its stake in Bed Bath & Beyond by 10.0% during the fourth quarter. Verition Fund Management LLC now owns 29,909 shares of the retailer’s stock worth $658,000 after acquiring an additional 2,715 shares during the period. Janney Montgomery Scott LLC raised its stake in Bed Bath & Beyond by 27.4% during the third quarter. Janney Montgomery Scott LLC now owns 16,537 shares of the retailer’s stock worth $388,000 after acquiring an additional 3,552 shares during the period. Macquarie Group Ltd. raised its stake in Bed Bath & Beyond by 15.0% during the fourth quarter. Macquarie Group Ltd. now owns 35,300 shares of the retailer’s stock worth $776,000 after acquiring an additional 4,600 shares during the period. Cerebellum GP LLC acquired a new stake in Bed Bath & Beyond during the fourth quarter worth about $121,000. Finally, Vident Investment Advisory LLC raised its stake in Bed Bath & Beyond by 9.9% during the fourth quarter. Vident Investment Advisory LLC now owns 61,336 shares of the retailer’s stock worth $1,349,000 after acquiring an additional 5,521 shares during the period. Hedge funds and other institutional investors own 91.36% of the company’s stock.
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Bed Bath & Beyond Company Profile
Bed Bath & Beyond Inc, together with its subsidiaries, operates a chain of retail stores. It sells a range of domestics merchandise, including bed linens and related items, bath items, and kitchen textiles; and home furnishings, such as kitchen and tabletop items, fine tabletop, basic housewares, general home furnishings, consumables, and juvenile products.
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