Bed Bath & Beyond got a boost Thursday after the home goods retailer reported stronger-than-expected revenue.
While earnings were in line with forecasts, investors cheered the sales figures. Net sales rose nearly 25%, while same store sales — a key metric of consumer spending — nudged up 2.5%
Shares of Bed Bath & Beyond (BBBY) rallied more than 4% Thursday before pulling back.
Some of the retreat could be due to the low same store sales figures. But UBS analysts point out that it was a tough quarter all around for consumer spending and raised their price target on the stock to $68 from $64.
“The notable takeaway for the skeptics was that the company’s gross margin declined at an accelerating rate despite an easier comparison,” analyst wrote in the report.
Still, they kept a neutral rating on the stock so there is a case to be made for…
View original post 270 more words