Why Bed Bath & Beyond Stock Cratered on Wednesday

Shares of Bed Bath & Beyond (NASDAQ: BBBY) plunged as much as 23.4% on Wednesday, sinking to their lowest point since April 2020. As of 10:27 a.m. ET today, the stock was down 21.7%.

The catalysts that sent the home goods retailer cratering were a first-quarter financial report that was far worse than investors anticipated and a shake-up among its top management.

Bed Bath & Beyond reported net sales of $1.46 billion, down a whopping 25% year over year, as comparable-store sales slumped 23%. Things went from bad to worse, as its gross profit margin of 23.9% was far worse than the 32.4% it recorded in the prior-year quarter. This resulted in a net loss of $358 million, or a loss per share of $4.49.

Source Fool.com