Home  »  Trendy Stocks   »  Bed Bath & Beyond Inc. (BBBY) Stock Surging i...

Bed Bath & Beyond Inc. (BBBY) Stock Surging in Aftermarket, Here’s Why

Bed Bath & Beyond Inc. (BBBY), a company that operates a chain of retail stores together with its subsidiaries, has surged 67.46% during the aftermarket trading session and consequently was trading at $28.05 at the time of the writing. On Tuesday, BBBY closed the day at $16.75 after surging 9.62% during regular trading hours. The constant increase could be attributed to the company’s announcement regarding the share repurchase program.

Do You Know The Best Place To Find Gains In Volatile Markets?

In today's chaotic marketplace, the biggest gains will come from some currently-small companies that pass by older, larger businesses still stuck in a pre-pandemic world. The trick is figuring out which small caps will be tomorrow's winners. That's why StockWire News has put together a special Wealth Building Report, highlighting 3 small cap stocks set to soar in 2023.

Click here for full details and to join for free.


Why BBBY soaring?

BBBY announced on Tuesday that it expects to complete the three-year share repurchase plan by the end of fiscal 2021. That makes the plan two years ahead of schedule. Program-to-date, the company completed $600 million in share repurchases since the end of fiscal 2020. The company expects to repurchase the remaining $400 million of the program by the end of fiscal 2021, specifically over the third and fourth quarters.

Redefining business model

On the same day, BBBY announced some bold moves to redefine its business model. The company launched its new digital marketplace to build on the Company’s existing authority in key Home & Baby categories. The marketplace would expand its assortment of key products from a high curated selection of third-party brand partners that will be seamlessly integrated into the Bed Bath & Beyond digital platform. The announcement was followed by a joint press release, in which Bed Bath & Beyond Inc. and The Kroger Co. announced a strategic collaboration to directly offer Kroger customers an extensive selection of the most sought-after goods for the home and baby products carried by Bed Bath & Beyond Inc. through Kroger.com

Q2 2021 financial results

On 30th September, BBBY reported the financial results for the second quarter of the fiscal year 2021. The quarter ended on 28th August 2021. The company generated net sales of $1.98 billion during the quarter against $2.68 billion for the same period of 2020. The gross profit for the period was $601.06 million against $987.53 million for the same period of 2020. The selling, general and administrative expenses for the period were $652.97 million against $850.21 million for the same period of 2020. The net loss suffered by the company was $73.21 million ($0.72 per share) against the net earnings of $217.9 million ($1.76 per basic and $1.75 per diluted share) for the same period of 2020.

What’s ahead for BBBY?

During the last month, BBBY has increased more than 5% on average, generally due to the adoption of business expansion strategies by the company. Analysts are hopeful that the current trend would continue in the future as well.

Leave a Comment

Your email address will not be published. Required fields are marked *

Related Posts