Home » Stocks » Bed Bath and Beyond Bear Case Scenario $BBBY, $AMZN, $EBAY, $M, $JCP,

Bed Bath and Beyond Bear Case Scenario $BBBY, $AMZN, $EBAY, $M, $JCP,

Bed Bath and Beyond (Nasdaq:BBBY) is about to release earnings. Ponder this Bear Case Caveat:

Increased promotional activity by all home furnishing vendors makes margins small and difficult. home furnishings is becoming hyper-competitive and not viable economically.

New home buyers are a large significant portion of sales. If new housing sales drop which they will BBBY will suffer very quickly.

Margins are under pressure from e-commerce sites and other low switch cost alternatives. BBBY has not found a way to beat them off.

George Gutowski writes from a caveat emptor perspective.

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