Bed Bath & Beyond (BBBY) AI Stock Analysis

• Market Cap: $469.55M
• Dividend Yield: N/A
• Average Volume (3M): 1.83M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.63
• Revenue Growth: -27.23%
• EPS Growth: 62.19%
• Country: US
• Employees: 32,000
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Specialty Retail
• EPS (TTM): -0.07
• Shares Outstanding: 68,848,750
• 10 Day Avg. Volume: 2,158,040
• 30 Day Avg. Volume: 1,827,822
• PEG Ratio: 0.05
• Price to Book (P/B): 1.41
• Price to Sales (P/S): 0.16
• P/FCF Ratio: -1.18
• Enterprise Value/Market Cap: 0.90
• Enterprise Value/Revenue: 0.39
• Enterprise Value/Gross Profit: 1.73
• Enterprise Value/Ebitda: -3.39
• 1Y Price Target: $11.67
• Price Target Upside: 71.07% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: $6.50 ▼(-4.69% Downside)

The score is primarily constrained by weak financial performance (losses, shrinking revenue, and cash burn). Offsetting factors include improving operational metrics from the latest earnings update and mildly constructive near-term technical momentum, while valuation signals are not supportive due to ongoing losses and no dividend.

Positive Factors

Operational Improvement

Large, sustained improvements in net loss and adjusted EBITDA across recent quarters reflect durable progress on cost structure and gross margin (420 bps increase). Better unit economics and margin recovery support a credible multi-quarter path toward cash-flow breakeven if revenue stabilizes.

Leadership Consolidation

Consolidating CEO and Executive Chairman roles under a single chief can speed decision-making and execution on turnaround plans. Durable leadership clarity helps align strategy, incentives, and capital allocation for the multi-quarter store conversion and transformation effort.

Strategic Financing & Assets

Fresh equity proceeds and targeted acquisitions strengthen strategic optionality and provide near-term runway. Capital to buy IP and invest in tech supports differentiation and omnichannel initiatives, enabling structural moves like store conversions and product exclusivity over the coming quarters.

Negative Factors

Declining Revenue

Substantial historical revenue decline reduces scale economics and market presence. Shrinking top line makes it harder to absorb fixed costs, undermines supplier leverage and margin recovery, and lengthens the timeline to sustainable profitability absent a clear reversal in sales trends.

Negative Cash Flow

Persistent negative operating and free cash flow signals structural liquidity pressure, increasing reliance on external financing. This constrains investments in customer experience and store conversions, and elevates refinancing and execution risk over the next several quarters.

Weak Balance Sheet

Eroded equity and a low equity ratio reduce financial flexibility and raise default risk in stress scenarios. Negative ROE reflects poor capital returns, limiting the company's ability to fund strategic initiatives internally and increasing dependence on dilutive or costly external capital.

Bed Bath & Beyond Business Overview & Revenue Model

Company Description

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 various juvenile products. As of February 26, 2022, the company had 953 stores, which included 771 Bed Bath & Beyond stores in 50 states, the District of Columbia, Puerto Rico, and Canada; 130 buybuy BABY stores in 37 states and Canada; and 52 stores in 6 states under the names Harmon, Harmon Face Values or Face Values. It also offers products through various Websites and applications comprising bedbathandbeyond.com, bedbathandbeyond.ca, harmondiscount.com, facevalues.com, buybuybaby.com, buybuybaby.ca, and decorist.com. In addition, the company operates Decorist, an online interior design platform that provides personalized home design services. Bed Bath & Beyond Inc. was incorporated in 1971 and is headquartered in Union, New Jersey.

How the Company Makes Money

Bed Bath & Beyond generates revenue primarily through the sale of home goods and related products in its physical stores and online platform. The company operates a multi-channel retail model, combining brick-and-mortar locations with e-commerce capabilities. Key revenue streams include sales of bedding, bath products, kitchenware, and home décor items. Additionally, BBBY leverages various promotional strategies, including coupons and loyalty programs, to drive customer engagement and repeat purchases. The company has historically partnered with various brands and suppliers to offer exclusive products, which can enhance its market presence and sales. Seasonal sales events and holiday promotions also contribute significantly to its earnings, as consumers tend to spend more during these periods.

Bed Bath & Beyond Financial Statement Overview

Summary

Bed Bath & Beyond is facing significant financial challenges across all verticals. The income statement shows declining revenues and persistent losses, the balance sheet reflects financial instability and erosion of equity, and the cash flow statement highlights liquidity issues and cash burn. The company needs to address these issues to stabilize its financial position and return to profitability.

Income Statement

Bed Bath & Beyond's income statement reveals significant challenges. The company has experienced declining revenue growth, with a negative growth rate in recent periods, indicating a shrinking market presence. Profitability metrics such as gross profit margin and net profit margin are weak, with the latter being negative, highlighting ongoing losses. The EBIT and EBITDA margins are also negative, underscoring operational inefficiencies. Overall, the income statement reflects a struggling business with declining revenues and profitability issues.

Balance Sheet

The balance sheet shows a mixed picture. While the debt-to-equity ratio is relatively low, indicating manageable leverage, the return on equity is negative, reflecting poor profitability and returns for shareholders. The equity ratio is also low, suggesting limited financial stability. The company's assets are shrinking, and equity has been eroded over time. Overall, the balance sheet indicates financial instability and challenges in maintaining shareholder value.

Cash Flow

Cash flow analysis reveals significant concerns. The company has negative operating cash flow and free cash flow, indicating cash burn and liquidity issues. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is unfavorable, suggesting that the company is not generating sufficient cash from operations. The free cash flow to net income ratio is positive, but this is due to negative net income, which is not a positive indicator. Overall, the cash flow statement highlights liquidity challenges and an inability to generate positive cash flows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.07B	1.39B	1.56B	1.93B	2.76B	2.49B
Gross Profit	245.56M	272.55M	295.84M	427.37M	606.04M	550.37M
EBITDA	-125.12M	-236.85M	-244.91M	-11.89M	147.06M	133.69M
Net Income	-145.00M	-258.80M	-307.84M	-35.24M	108.55M	52.24M
Balance Sheet
Total Assets	414.38M	401.95M	635.82M	878.55M	1.07B	830.21M
Cash, Cash Equivalents and Short-Term Investments	167.37M	159.17M	302.61M	371.26M	503.34M	496.62M
Total Debt	24.77M	32.66M	3.75M	42.51M	51.35M	59.69M
Total Liabilities	211.44M	239.22M	276.69M	232.72M	321.58M	393.89M
Stockholders Equity	202.60M	162.73M	359.13M	645.83M	744.39M	373.69M
Cash Flow
Free Cash Flow	-95.35M	-194.66M	-63.58M	-1.32B	-336.33M	181.60M
Operating Cash Flow	-71.89M	-174.30M	-18.59M	-990.98M	17.85M	196.47M
Investing Cash Flow	1.06M	24.93M	-44.63M	-298.74M	-349.18M	-23.55M
Financing Cash Flow	123.75M	32.72M	-5.49M	967.03M	-606.02M	231.36M

Bed Bath & Beyond Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.82
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BBBY, the sentiment is Positive. The current price of 6.82 is above the 20-day moving average (MA) of 6.10, above the 50-day MA of 6.24, and below the 200-day MA of 7.21, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 60.20 is Neutral, neither overbought nor oversold. The STOCH value of 75.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BBBY.

Bed Bath & Beyond Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WSM	75 Outperform	$24.67B	22.72	56.92%	1.37%	5.10%	7.59%
MNSO	72 Outperform	$6.15B	20.26	20.83%	3.10%	13.37%	-19.37%
ASO	67 Neutral	$3.75B	10.26	18.34%	1.04%	-0.65%	-10.35%
BBY	62 Neutral	$13.97B	22.01	22.49%	5.46%	-0.95%	-48.28%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
W	58 Neutral	$14.94B	-44.78	―	―	3.35%	42.99%
BBBY	45 Neutral	$469.55M	-2.43	-72.72%	―	-27.23%	62.19%

Bed Bath & Beyond Corporate Events

Bed Bath & Beyond expands loan participation in retailer

On January 9, 2026, Bed Bath & Beyond purchased an additional $2.17 million participation in term loans issued by The Container Store under an existing credit agreement, following an earlier $6.46 million loan participation made on November 25, 2025. Together, these transactions increased the company’s exposure to The Container Store’s debt and entitle Bed Bath & Beyond to interest and principal repayments and associated enforcement rights, signaling a deeper financial involvement with another specialty retailer that could affect its investment profile and risk-return dynamics.

The most recent analyst rating on (BBBY) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on Bed Bath & Beyond stock, see the BBBY Stock Forecast page.

Bed Bath & Beyond Names Marcus Lemonis as CEO

On December 30, 2025, Bed Bath & Beyond’s board appointed Executive Chairman and principal executive officer Marcus Lemonis as Chief Executive Officer, effective January 1, 2026, consolidating the company’s top leadership roles under a single executive as it finalizes his employment agreement. Concurrently, the employment of Chief Operating Officer and principal operating officer Alexander Thomas was terminated on January 1, 2026, though he is expected to remain as an advisor during a transition period to support continuity in operations and leadership change management.

The most recent analyst rating on (BBBY) stock is a Hold with a $6.00 price target. To see the full list of analyst forecasts on Bed Bath & Beyond stock, see the BBBY Stock Forecast page.

Bed Bath & Beyond Acquires Loans from Container Store

On November 25, 2025, Bed Bath & Beyond, Inc. acquired a portion of loans from The Container Store, Inc. through a participation agreement. This transaction, valued at $6,461,843.09, allows the company to gain rights to interest payments and loan repayments, potentially impacting its financial operations and stakeholder interests.

The most recent analyst rating on (BBBY) stock is a Sell with a $6.00 price target. To see the full list of analyst forecasts on Bed Bath & Beyond stock, see the BBBY Stock Forecast page.

Bed Bath & Beyond Announces Merger with TBHC

On November 24, 2025, Bed Bath & Beyond, Inc. announced a merger agreement with The Brand House Collective, Inc., where TBHC will become a wholly owned subsidiary. The merger involves an exchange of shares and is subject to customary conditions, including shareholder approval and regulatory compliance. Additionally, Bed Bath & Beyond has amended its credit agreement to increase its loan commitments by $10 million, indicating a strategic financial maneuver to support the merger and future operations.

The most recent analyst rating on (BBBY) stock is a Sell with a $6.00 price target. To see the full list of analyst forecasts on Bed Bath & Beyond stock, see the BBBY Stock Forecast page.

Bed Bath & Beyond Approves New Equity Incentive Plan

On November 14, 2025, Bed Bath & Beyond‘s board of directors approved the 2025 Employment Inducement Equity Incentive Plan, allowing the issuance of up to 1,500,000 shares of common stock as equity-based awards to eligible recipients. This plan, adopted without stockholder approval under NYSE Rule 303A.08, aims to attract and retain employees by offering stock options and other incentives, potentially impacting the company’s talent acquisition and retention strategies.

The most recent analyst rating on (BBBY) stock is a Sell with a $6.00 price target. To see the full list of analyst forecasts on Bed Bath & Beyond stock, see the BBBY Stock Forecast page.