TSC Ratings' Updates: Bed Bath & Beyond

TSC Ratings provides exclusive stock, ETF and mutual fund ratings and commentary based on award-winning, proprietary tools. Its "safety first" approach to investing aims to reduce risk while seeking solid outperformance on a total return basis.

The following ratings changes were generated on Wednesday, April 29.

We've upgraded retail store chain operator Bed Bath & Beyond(BBY Quote) from hold to buy, driven by its largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, expanding profit margins, attractive valuation levels and notable return on equity. We eel these strengths outweigh the fact that the company has had somewhat weak growth in earnings per share.

Bed Bath & Beyond has a quick ratio of 0.7. Net operating cash flow increased 27.3% compared with the same quarter last year, to $476.9 million. The company's gross profit maring is 40.8%, which has decreased from the same period last year. The 7.4% net profit margin outperformed the industry average. Revenue fell 0.5% from the year-ago quarter, and EPS are also down. ...