Bed, Bath & Beyond’s stock lost nearly half its value last week after the company warned it may have to seek relief through bankruptcy. The company has struggled for years with shrinking sales as it competes against Amazon and other rivals.
Shares of some of the popular meme stocks rallied on the Wall Street on Monday on what proved to be an all-around mixed trading session for the US stock market.
Share of Bed Bath & Beyond, once a meme-stock darling during the mania, rebounded sharply in high volume trading amid speculations that the company might be a potential acquisition target. Shares of the company were last up 23.66 percent at $1.62, on track for their biggest one-day percentage surge since August 8 last year.
So, shares of AMC Entertainment Holdings advanced 2.08 percent to $3.93. The stock’s rise snapped a two-day losing streak. AMC Entertainment Holdings Inc. Cl A closed $17.16 below its 52-week high ($21.09), which the company achieved on March 29 last year.
Bed, Bath & Beyond’s stock lost nearly half its value last week after the company warned it may have to seek relief through bankruptcy. The company has struggled for years with shrinking sales as it competes against Amazon and other rivals.
As per Reuters report, Bed Bath & Beyond said it expected to show a net loss of $385.8 million for its fiscal quarter ending in November, including $100 million of impairment charges.
Reddit, one of the online retail stock forums have been buzzing about a possible M&A deal, fueling a 2020 phenomenon of buying frenzy reminiscent of the “meme stock” in which shares of troubled companies such as GameStop Corp and AMC Entertainment Holdings soared.
A meme stock refers to the shares of a company that have gained viral popularity due to online and social media platforms.
-With input from agencies
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