Bed Bath & Beyond (BBBY) Falls Further Despite Capital Infusion

BBBY investors were likely spooked this aftermarket by Wall Street Journal's report: "Hudson Bay Capital has agreed to put more money into the company even though the retailer's share price has fallen to nearly $1." For more coverage, read the full article here. On the back of this news, Bed Bath & Beyond sank -10.08% to a price of $1.11. Are the markets overreacting?

Bed Bath & Beyond Inc., operates a chain of retail stores. The company belongs to the Consumer Discretionary sector, which has an average price to earnings (P/E) ratio of 22.33 and an average price to book (P/B) ratio of 3.12. In contrast, Bed Bath & Beyond has a trailing 12 month P/E ratio of -0.07 and a P/B ratio of 2.995.

Bed Bath & Beyond has moved -93.55% over the last year compared to -9.54% for the S&P 500 -- a difference of -84.01%. Bed Bath & Beyond has a 52 week high of $30.0 and a 52 week low of $1.13. At today's price of $1.11 per share, Bed Bath & Beyond is -33.63% away from its target price of $1.68, and on average, analysts give the stock a rating of underperform. 127% of the company's shares are linked to short positions, and 47% of the shares are owned by institutional investors.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.