Bed Bath & Beyond downgraded to Sell from Hold at Loop Capital
Loop Capital analyst Anthony Chukumba downgraded Bed Bath & Beyond to Sell and lowered his price target for the shares to $12 from $13. The retailer closed Friday up 8c to $15.42. The recent rally in the shares as unwarranted as management's "much better-than-expected" fiscal 2019 financial guidance is "unrealistic," Chukumba tells investors in a research note. The analyst sees sales growth and profitability headwinds for Bed Bath and says management has a "poor track record" of meeting consensus expectations. Further, shareholders are unlikely to be "bailed out" by a leveraged buyout or activist investment, contends Chukumba.