Bed Bath & Beyond (NASDAQ:BBBY) stock is in the news today after an incredibly bearish analyst said the retailer’s shares will fall to $1 a piece.
Loop Capital analyst Anthony Chukumba is behind the negative note for BBBY stock today. He reiterated a “sell” rating for the shares while also providing a price target of $1 per share. To put that in comparison, the consensus rating and price target for the stock are “sell” and $6.67 per share. BBBY also closed Monday at $4.80 per share.
So why exactly does Chukumba have such a bearish stance on BBBY stock? Here’s what he has to say about its prices when compared to e-commerce giant Amazon (NASDAQ:AMZN), in a note collected by Investing.com.
“BBBY’s prices were 3.4% more expensive than Amazon’s on average, as compared to 2.5% more expensive in April. BBBY’s prices were more expensive than Amazon’s on 72% of the items in our market basket (as compared to 64% in April); less expensive on 8% (as compared to 0% in April); and the same on 20% (as compared to 36% in April).”
The Loop Capital analyst doesn’t just stop with his own price target for BBBY stock. He also goes out of his way to say that the current consensus price target for BBBY shares is “far too optimistic.”
BBBY stock is up 5.8% as of Tuesday morning but is down 66% since the start of the year.
There’s more stock market news worth checking out below!
We’ve got all the most recent stock news traders need to know about for Tuesday! A few examples include the latest happenings affecting shares of Indonesia Energy (NYSEMKT:INDO), Teva Pharmaceuticals Industries (NYSE:TEVA), and Histogen (NASDAQ:HSTO). You can learn about that at the following links!
More Tuesday Stock Market News
- Indonesia Energy (INDO) Stock Soars 20% on Natural Gas News
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- Why Is Histogen (HSTO) Stock Soaring 35% Today?
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.