Bed Bath & Beyond, Inc. (BBBY)
NYSE:BBBY
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Bed Bath & Beyond
(NYSE:BBBY)
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Rating:52Neutral
Price Target:
$4.50
▼(-21.60% Downside)
Action:Reiterated
Date:05/02/26
Overall score reflects weak financial performance driven by ongoing losses and continued cash burn, partially offset by improving operational trends and a relatively low-leverage balance sheet. Technical indicators are mixed with modest near-term support but longer-term trend pressure, while valuation is constrained by negative earnings. The latest earnings call adds cautious optimism via cost-out targets and margin goals, but execution and integration risks remain significant.
Positive Factors
Low leverage / balance sheet flexibility
Low leverage and positive equity give the company financial flexibility to fund integration, absorb short-term cash deficits and execute M&A without relying heavily on expensive debt. This balance-sheet cushion supports multi-quarter execution of the turnaround and ecosystem strategy.
Negative Factors
Negative cash generation
Sustained negative operating and free cash flow requires external financing or asset injections to fund operations and M&A. This constrains reinvestment, increases dependency on capital raises or parent support, and is a durable risk until operating cash turns positive consistently.
Read all positive and negative factors
Positive Factors
Negative Factors
Low leverage / balance sheet flexibility
Low leverage and positive equity give the company financial flexibility to fund integration, absorb short-term cash deficits and execute M&A without relying heavily on expensive debt. This balance-sheet cushion supports multi-quarter execution of the turnaround and ecosystem strategy.
Read all positive factors
Bed Bath & Beyond (BBBY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$337.90M
Dividend YieldN/A
Average Volume (3M)4.09M
Price to Earnings (P/E)―
Beta (1Y)2.69
Revenue Growth-14.77%
EPS Growth79.60%
CountryUS
Employees32,000
SectorGeneral
Sector StrengthN/A
IndustrySpecialty Retail
Share Statistics
EPS (TTM)-0.95
Shares Outstanding73,938,490
10 Day Avg. Volume2,175,372
30 Day Avg. Volume4,085,735
Financial Highlights & Ratios
PEG Ratio0.05
Price to Book (P/B)1.51
Price to Sales (P/S)0.31
P/FCF Ratio-5.12
Enterprise Value/Market Cap0.66
Enterprise Value/Revenue0.21
Enterprise Value/Gross Profit0.85
Enterprise Value/Ebitda-5.36
Forecast
1Y Price Target
$10.25Price Target Upside78.57% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering6
EPS Forecast (FY)-0.68
Revenue Forecast (FY)$1.33B
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 a...
How the Company Makes Money
Historically, Bed Bath & Beyond made money primarily through retail sales of home goods and related merchandise to consumers. Its core revenue stream was merchandise revenue generated from selling branded and private-label products across categori...
Bed Bath & Beyond Earnings Call Summary
Earnings Call Date:Apr 27, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 23, 2026
Earnings Call Sentiment Positive
The call presented tangible signs of operational stabilization and early financial improvements (revenue growth, higher AOV, better efficiency, cash flow improvement) combined with an ambitious M&A-driven strategy to create a connected 'Everything Home' ecosystem. Management highlighted significant near-term actions and clear cost-synergy targets (additional $60M) and laid out profit-margin goals (6%–7% EBITDA). However, the company remains unprofitable this quarter, faces near-term onetime integration costs, substantial headcount reductions and execution risk from multiple acquisitions and store rationalizations. On balance, the forward-looking strategy and positive early metrics outweigh the near-term challenges, producing cautious optimism contingent on integration execution.Positive Updates
Quarterly Revenue Growth
Revenue of approximately $248 million, up 7% year-over-year (or +9.4% excluding discontinued Canadian operations); first year-over-year revenue growth in ~18–19 quarters.
Negative Updates
Adjusted EBITDA and EPS Still Negative
Adjusted EBITDA remains a loss of $8 million and adjusted diluted EPS was a loss of $0.25 per share (although both improved year-over-year), leaving the company still unprofitable on a GAAP/non‑GAAP basis.
Read all updates
Q1-2026 Updates
Positive
Negative
Quarterly Revenue Growth
Revenue of approximately $248 million, up 7% year-over-year (or +9.4% excluding discontinued Canadian operations); first year-over-year revenue growth in ~18–19 quarters.
Read all positive updates
Company Guidance
Management guided to low- to mid-single-digit revenue growth while targeting to remove an additional $60 million of costs over the next nine months, with a goal of reaching a 6%–7% EBITDA margin; near‑term integration costs of roughly $12–13 million in Q2 and a similar ~$13–14 million in Q3 were flagged, and management said the business should be breakeven (or neutral) in the current environment once cost saves are realized. They expect blended store productivity at The Container Store/Bed Bath formats to move from roughly $220/sq ft today toward $500/sq ft within 24 months (noting ~$615/sq ft is needed to drive a ~7% 4‑wall EBITDA), and outlined target blended margins of ~35%–37% for general merchandise and north of 60% for home services (with a blended gross margin target north of 40%). Other forward-looking metrics included a 6%–7% revenue CAGR target for 2027–2029, planned cadence for deal closings by late summer (Kirkland’s annual run‑rate ~ $325–350M; The Container Store ~ $0.5B; Cabinets To Go/Lumber Liquidators platform ~ $0.5B; installation/renovation network ~ $60M), and continued focus on an 11–12 year homeowner life cycle and a >100 million unique homeowner addressable base.Bed Bath & Beyond Financial Statement Overview
Summary
Income Statement
28
Negative
Balance Sheet
60
Neutral
Cash Flow
22
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.06B | 1.04B | 1.39B | 1.56B | 1.93B | 2.76B |
| Gross Profit | 263.14M | 257.52M | 272.55M | 295.84M | 427.37M | 606.04M |
| EBITDA | -41.93M | -67.52M | -236.85M | -244.91M | -11.89M | 147.06M |
| Net Income | -61.11M | -84.62M | -258.80M | -307.84M | -35.24M | 108.55M |
Balance Sheet | ||||||
| Total Assets | 404.45M | 425.48M | 401.95M | 635.82M | 878.55M | 1.07B |
| Cash, Cash Equivalents and Short-Term Investments | 135.83M | 175.29M | 159.17M | 302.61M | 371.26M | 503.34M |
| Total Debt | 21.85M | 22.07M | 32.66M | 3.75M | 42.51M | 51.35M |
| Total Liabilities | 202.00M | 207.53M | 239.22M | 276.69M | 232.72M | 321.58M |
| Stockholders Equity | 202.09M | 217.58M | 162.73M | 359.13M | 645.83M | 744.39M |
Cash Flow | ||||||
| Free Cash Flow | -35.02M | -64.11M | -194.66M | -63.58M | -1.32B | -336.33M |
| Operating Cash Flow | -17.58M | -56.70M | -174.30M | -18.59M | -990.98M | 17.85M |
| Investing Cash Flow | -63.38M | -49.23M | 24.93M | -44.63M | -298.74M | -349.18M |
| Financing Cash Flow | 101.97M | 122.05M | 32.72M | -5.49M | 967.03M | -606.02M |
Bed Bath & Beyond Technical Analysis
Negative
5.74
Price Trends
4.96
Negative
5.42
Negative
6.82
Negative
Market Momentum
-0.12
Positive
42.14
Neutral
9.39
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BBBY, the sentiment is Negative. The current price of 5.74 is above the 20-day moving average (MA) of 5.13, above the 50-day MA of 4.96, and below the 200-day MA of 6.82, indicating a bearish trend. The MACD of -0.12 indicates Positive momentum. The RSI at 42.14 is Neutral, neither overbought nor oversold. The STOCH value of 9.39 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BBBY.
Bed Bath & Beyond Risk Analysis
Bed Bath & Beyond disclosed 79 risk factors in its most recent earnings report. Bed Bath & Beyond reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Bed Bath & Beyond Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $4.43B | -69.24 | 11.27% | 3.10% | 26.47% | -53.64% | |
67 Neutral | $19.86B | 17.32 | 51.45% | 1.37% | 1.24% | -1.80% | |
64 Neutral | $3.26B | 6.80 | 18.07% | 1.04% | 2.02% | -3.69% | |
58 Neutral | $11.86B | 6.35 | 38.54% | 5.46% | 0.39% | 17.90% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% | |
52 Neutral | $337.90M | -4.88 | -32.45% | ― | -14.77% | 79.60% | |
52 Neutral | $7.68B | -23.46 | 10.98% | ― | 6.80% | 18.24% |
* General Sector Average
BBBY
Bed Bath & Beyond
4.62
-2.02
-30.42%
BBY
Best Buy Co
57.88
-9.47
-14.06%
WSM
Williams-Sonoma
169.16
-0.87
-0.51%
W
Wayfair
59.26
21.12
55.37%
ASO
Academy Sports and Outdoors
49.98
5.80
13.13%
MNSO
MINISO Group Holding
14.22
-5.96
-29.53%
Bed Bath & Beyond Corporate Events
Business Operations and StrategyRegulatory Filings and ComplianceShareholder Meetings
Bed Bath & Beyond Doubles Authorized Common Stock Shares
Neutral
May 19, 2026
At its May 14, 2026 annual meeting, Bed Bath Beyond shareholders approved an amendment to the company’s charter doubling authorized common stock from 100 million to 200 million shares, and the change became effective the same day with a fil...
Business Operations and StrategyM&A TransactionsPrivate Placements and Financing
Bed Bath & Beyond Finalizes Brand House Collective Acquisition
Positive
Apr 2, 2026
On April 2, 2026, Bed Bath Beyond completed its previously announced acquisition of The Brand House Collective, merging its Knight Merger Sub subsidiary into TBHC and making TBHC a wholly owned unit. Each TBHC common share outstanding before the ...
Business Operations and StrategyExecutive/Board ChangesFinancial DisclosuresM&A TransactionsPrivate Placements and Financing
Bed Bath & Beyond Announces Transformative Container Store Merger
Positive
Apr 2, 2026
On April 2, 2026, Bed Bath Beyond, Inc. signed a merger agreement under which Falcon Merger Sub, its wholly owned subsidiary, will merge with The Container Store Holdings, LLC, leaving The Container Store as a wholly owned subsidiary. The deal va...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.