Tags: Bed | Bath | Beyond | Forecast

Bed Bath & Beyond Shares Fall as Forecast Falls Short

Wednesday, 25 June 2014 05:59 PM

Shares of Bed Bath & Beyond Inc., the operator of about 1,500 home-goods and baby-product stores, sank in late trading Wednesday after the retailer forecast second-quarter profit that was less than analysts’ estimated amid competition from online retailers.

The shares were down 7.4 percent at $56.59 at about 6 p.m. in New York. The Union, New Jersey-based company's shares already had slid 24 percent this year through the close of regular trading Wednesdayday, compared with a 6 percent gain for the Standard & Poor’s 500 Index.

Profit per share in the quarter through August will be $1.08 to $1.16, the company said in a statement. Analysts’ estimated $1.20, on average. The company repeated its projection that profit for the full fiscal year would increase at a mid-single-digit percentage rate.

Bed Bath & Beyond, which also owns the Buybuy Baby and World Market chains, has been investing in its online and mobile operations to combat increased competition from e-commerce merchants such as Amazon.com Inc. U.S. retailers in general have suffered from diminished traffic at shopping centers and consumers’ penchant for seeking bargains.

Net income in the quarter ended May 31 fell 7.6 percent to $187.1 million, or 93 cents a share, Bed Bath & Beyond said Wednesday. Analysts estimated 95 cents.

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Companies
Shares of Bed Bath & Beyond, the operator of about 1,500 home-goods and baby-product stores, sank in late trading Wednesday after the retailer forecast second-quarter profit that was less than analysts' estimated amid competition from online retailers.
Bed, Bath, Beyond, Forecast
210
2014-59-25
Wednesday, 25 June 2014 05:59 PM
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