Retailers, consumers and prices
Analyst bullish on Bed Bath & Beyond’s long-term prospects
The current sales environment has not been kind to home furnishings retailers of late, with consumer appetite for their wares falling due to an infirm U.S. housing market.
But with attractive promotions – such as free shipping offers and 20 percent off coupons — throughout the quarter, Bed Bath & Beyond is in line to meet Wall Street’s expecations and is well positioned for growth, CIBC World Markets analyst Vivian Ma wrote in a Jan. 2 research note.
“We remain bullish on (Bed Bath & Beyond’s) longer-term potential,” Ma wrote. “Growth should accelerate next year given roll out of Christmas Tree Shops, buybuy BABY and Canada. We continue to recommend (Bed Bath & Beyond) for long-term investors,” wrote Ma, who has a “sector outperformer” rating on the stock.
The retailer reports its third-quarter results on Thursday.