
Tempur Sealy Spikes on Report Mattress Firm to File Bankruptcy Soon
Tempur Sealy International Inc. (TPX) - Get Report shares jumped nearly 11% on Wednesday, Oct. 3, following a report from Reuters that rival Mattress Firm is planning to file for bankruptcy soon.
Mattress Firm is the country's largest mattress retailer with about 3,000 brick-and-mortar locations, though the company has been losing market share in recent years to online competitors.
Tempur Sealy pulled its Tempur-Pedic products from Mattress Firm stores last year.
Mattress Firm recently cited "ineffective brand marketing" as one of its key strategic issues in a public lender update. The company also noted that it was experiencing a shift in supplier relationships and "merchandising decisions that negatively impacted profitability."
Along with Tempur Sealy, Amazon.com Inc. (AMZN) - Get Report could also be a beneficiary of the impending consolidation of the mattress industry. Amazon recently launched AmazonBasics Memory Foam Mattress as a private label option for mattress shoppers.
Amazon's mattress comes in twin, full, queen, king and California king sizes and starts at $130. Amazon joins other companies like Casper, Leesa, Yogabed and Purple looking to take market share from Mattress Firm.
Amazon is a holding in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells AMZN? Learn more now.
Want to Buy $1 Worth of Stock for 90 Cents or Less? You can with certain so-called "closed-end" mutual funds - an often overlooked investment class. Click here to register for a free online video in which TheStreet's retirement expert Robert Powell and an all-star panel tell you all you need to know. The webinar is sponsored by Nuveen.









