Bed Bath & Beyond
sought to make it clear to investors that it is trying to strengthen itself financially after
The stock (ticker BBBY) plunged 15% to $19.56 early on Thursday.
“We have been working expeditiously over the past several weeks with external financial advisors and lenders on strengthening our balance sheet, and the Company will provide more information in an update at the end of this month,” the retailer said in a filing Thursday.
Analysts at Wedbush, led by Seth Basham, are not convinced about the stock, downgrading it to Underperform. While the Wedbush report credited Cohen’s activist campaign with driving some change, “More pressing, however, is BBBY’s cash burn and the prospects for further financing needed to shore up its balance sheet and rebuild supplier confidence,” it said.
The company said in its filing: “We are continuing to execute on our priorities to enhance liquidity, make strategic changes and improve operations to win back customers, and drive cost efficiencies; all to restore our company to its heritage as the best destination for the home, for all stakeholders”
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