Read Why This Analyst Cut Bed Bath And Beyond's Price Target By 60%

Telsey Advisory Group analyst Cristina Fernández lowered the price target on Bed Bath & Beyond Inc BBBY to $6 from $15, implying a 10.45% downside. The analyst maintained an Underperform rating on the shares.
The analyst is taking a subdued view due to more negative commentary from mass retailers like Big Lots, Inc. BIG, Target Corp TGT, and Walmart Inc WMT about consumer spending on the home category and the impact of lapping government stimulus checks in 2021.
Fernández thinks the challenging dynamic will continue through at least the second quarter of 2022 as retailers take more aggressive steps to clear through inventory.
She also thinks BBBY's legacy supply chain infrastructure limits the ability to move inventory around quickly and efficiently and offset the financial impact during disruption.
Price Action: BBBY shares are trading lower by 3.73% at $6.45 in premarket on the last check Wednesday.