- Bed Bath & Beyond (BBBY) stock surges on report of Ryan Cohen stake.
- Ryan Cohen is the Chewy savior and current GameStop CEO.
- BBBY stock is up over 67% in Monday's premarket trading.
UPDATE: BBBY investors were not bluffing in Monday's premarket. The home decor retailer is up more than 69% to $27.38 at the start of the session. This is even higher than the premarket this morning where it traded between 44% and 67%. BBBY has been a retail trader favourite for about a year, but the genesis of this surge began with meme stock extraordinare Ryan Cohen taking a reported 10% stake in BBBY and trying to get the board to launch a new strategy to benefit shareholders. As the current CEO of GameStop, the original meme stock, Cohen has a surplus of retail backers behind his every move who believe he has the secret sauce to turn moribund retail companies around.
It appears The Wall Street Journal first broke the story on Sunday that Chewy (CHY) co-founder and current GameStop (GME) CEO Ryan Cohen has taken a near 10% stake in Bed Bath & Beyond through RC Ventures LLC.
Bed Bath & Beyond Stock News
In a letter to BBBY's board, RC Ventures says it has a 9.8% stake and expresses disappointment with the performance of BBBY stock relative to sector benchmarks. "We believe Bed Bath needs to narrow its focus to fortify operations and maintain the right inventory mix to meet demand, while simultaneously exploring strategic alternatives that include separating buy buy Baby, Inc. (“BABY”) and a full sale of the company," according to the letter.
Bed Bath & Beyond has just released a reply to the letter: "Bed Bath & Beyond's Board and management team maintain a consistent dialogue with our shareholders and, while we have had no prior contact with RC Ventures, we will carefully review their letter and hope to engage constructively around the ideas they have put forth.[...] Our Board is committed to acting in the best interests of our shareholders and regularly reviews all paths to create shareholder value. 2021 marked the first year of execution of our bold, multi-year transformation plan, which we believe will create significant long-term shareholder value."
Retail trades have been enthused and jumped on BBBY stock this morning, pushing it up a staggering 67% at the time of writing. This is even more impressive when you consider the bearish overall market we are currently experiencing.
Bed Bath and Beyond Stock Forecast
This premarket move brings BBBY up to a potential double top at $24. This is the spike high from back in November when BBBY stock announced a partnership with Kroger. That price spike was not sustained, and this raises the possibility that the same will happen this time around. We also note above $26 that volume increases a lot, meaning more price resistance. We feel this news certainly has potential, but it is the very early stage and as such the 67% share price move is way overdone.
BBBY stock chart, daily
The author is short BBBY.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD bounces off lows, retests 1.1370
Following an early drop to the vicinity of 1.1310, EUR/USD now manages to regain pace and retargets the 1.1370-1.1380 band on the back of a tepid knee-jerk in the US Dollar, always amid growing optimism over a potential de-escalation in the US-China trade war.
GBP/USD trades slightly on the defensive in the low-1.3300s
GBP/USD remains under a mild selling pressure just above 1.3300 on Friday, despite firmer-than-expected UK Retail Sales. The pair is weighed down by a renewed buying interest in the Greenback, bolstered by fresh headlines suggesting a softening in the rhetoric surrounding the US-China trade conflict.
Gold remains offered below $3,300
Gold reversed Thursday’s rebound and slipped toward the $3,260 area per troy ounce at the end of the week in response to further improvement in the market sentiment, which was in turn underpinned by hopes of positive developments around the US-China trade crisis.
Ethereum: Accumulation addresses grab 1.11 million ETH as bullish momentum rises
Ethereum saw a 1% decline on Friday as sellers dominated exchange activity in the past 24 hours. Despite the recent selling, increased inflows into accumulation addresses and declining net taker volume show a gradual return of bullish momentum.
Week ahead: US GDP, inflation and jobs in focus amid tariff mess – BoJ meets
Barrage of US data to shed light on US economy as tariff war heats up. GDP, PCE inflation and nonfarm payrolls reports to headline the week. Bank of Japan to hold rates but may downgrade growth outlook. Eurozone and Australian CPI also on the agenda, Canadians go to the polls.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.