Back to top

Image: Bigstock

Bed Bath & Beyond (BBBY) Gains As Market Dips: What You Should Know

Read MoreHide Full Article

Bed Bath & Beyond closed the most recent trading day at $8.79, moving +0.34% from the previous trading session. This move outpaced the S&P 500's daily loss of 1.13%. At the same time, the Dow lost 0.56%, and the tech-heavy Nasdaq gained 0.03%.

Coming into today, shares of the home goods retailer had lost 62.05% in the past month. In that same time, the Retail-Wholesale sector lost 6.28%, while the S&P 500 lost 7.59%.

Investors will be hoping for strength from Bed Bath & Beyond as it approaches its next earnings release. The company is expected to report EPS of -$1.59, down 4075% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.44 billion, down 27.28% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of -$6.79 per share and revenue of $6.18 billion, which would represent changes of -592.86% and -21.39%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Bed Bath & Beyond. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 14.36% lower within the past month. Bed Bath & Beyond currently has a Zacks Rank of #3 (Hold).

The Retail - Miscellaneous industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 201, which puts it in the bottom 21% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.

Published in