NEW YORK (TheStreet) -- Bed Bath & Beyond (BBBY) is tumbling in extended trading after posting fourth-quarter earnings in line with expectations, revenue below consensus and first-quarter guidance under estimates.
After the bell, shares dropped 4.5% to $64.85.
The homewares retailer recorded net income of $1.60 a share in the three months to February, in line with analysts' expectations.
Quarterly sales dropped 5.9% year over year to $3.2 billion. Analysts surveyed by Thomson Reuters anticipated revenue of $3.22 billion.
For its first quarter ending May, the company anticipates adjusted earnings of 92 cents to 96 cents a share, below analysts' forecasts of $1.02 a share.
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TheStreet Ratings team rates BED BATH & BEYOND INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate BED BATH & BEYOND INC (BBBY) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, notable return on equity, increase in stock price during the past year and increase in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow."
- You can view the full analysis from the report here: BBBY Ratings Report