On the date of publication, Shrey Dua did not hold (either directly or indirectly) any positions in the securities mentioned in this article. While it is easy to underestimate the staying power of meme stocks, the path forward for BBBY is hazy to say the least.Īccording to Wedbush analyst Seth Basham, the company may well be on the way to bankruptcy. Currently shares are trading for $9.24, a level many analysts believe is still too high.īed Bath & Beyond remains a cautionary tale. As investors have abandoned the company en masse, its funding and liquidity issues have become even more apparent.īBBY has floated off of its overextended share price for quite some time. In late June, the retailer announced net sales were down 25%, with negative cash flow of $400,000. As such, with his departure, it’s no surprise to see many investors lose faith.īed Bath & Beyond’s tumble has put a spotlight on the company’s recent failures. Many hoped Cohen, the founder of Chewy (NYSE: CHWY) and current GameStop (NYSE: GME) chairman would return the company to generating cash. Many believed Cohen’s stake was a positive sign. This is clearly reflected in the BBBY stock price. Unfortunately for fans, Cohen’s sale sparked a massive selloff. Indeed, last week, Ryan Cohen sold his 11.8% stake in the volatile meme stock. It’s truly the icing on top of the meme cake that BBBY has constructed. According to Bloomberg, several creditors have revoked coverage of BBBY, leading the company to fall behind on payments for its inventory. It appears Bed Bath & Beyond is continued its plunge following reports that some of the home retailer’s suppliers have ceased shipping products due to non-payment. Bed Bath & Beyond (NASDAQ: BBBY) stock continued its downward spiral Monday, losing 16% of its value following last week’s brutal selloff.

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