Bed Bath & Beyond (BBBY) PT Lowered to $15 at Loop Capital Following 2Q
Loop Capital analyst Anthony Chukumba lowered the price target on Bed Bath & Beyond (NASDAQ: BBBY) to $15.00 (from $18.00) while maintaining a Hold rating following the company's 2Q earnings report. Net sales were roughly flat to F2Q 2017 at $2.9B. Operating margin declined 310 bps YoY to 2.7% and diluted EPS dropped 46.3% to $0.36, missing consensus by $0.19.
Bed Bath & Beyond's financial performance deteriorated even further in F2Q 2018 in Chukumba's opinion. In addition, Loop Capital sees no end in sight for the company's weakening results and are becoming increasingly skeptical that management's recent and ongoing investments are going to generate adequate returns anytime soon.