Bed Bath & Beyond Inc. logo BBBY - Bed Bath & Beyond Inc.

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
0
BUY 5
HOLD 19
SELL 17
STRONG
SELL
0
| PRICE TARGET: $7.75 DETAILS
HIGH: $8.00
LOW: $7.00
MEDIAN: $8.00
CONSENSUS: $7.75
UPSIDE: 38.39%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Distressed or Transitioning 75% confidence

Primary model: Current EPS × Depressed Multiple

Valuation Signal Undervalued Moderate
Trading 29.9% below fair value
Current Price $5.60
Bear Case $5.33 4.8% downside ($5.33 - $5.60) / $5.60 = -4.8% EPS continues to decline, 5x multiple
Fair Value $7.99 42.6% upside ($7.99 - $5.60) / $5.60 = 42.6% Current EPS stabilizes, 8x multiple
Bull Case $10.65 90.2% upside ($10.65 - $5.60) / $5.60 = 90.2% Credible recovery, multiple re-rates to 10x

Adjust Assumptions

7.5x

Key Value Driver

Whether the core business model is intact or structurally impaired

Implied Market Multiple 5.2x

Plain-Language Summary

Our base-case estimate uses Current EPS × Depressed Multiple. We then blend that result with the average analyst price target of $7.75 from 41 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $7.99 per share.

Warnings

Don't assume past cash flow levels will return — the company's troubles may have permanently reduced its ability to generate profits.
A stock can look cheap on paper and still lose half its value if the underlying business is permanently damaged.
The wide range between our best and worst cases is intentional — pretending to know a precise value for a troubled company would be misleading.

Key Risks

  • Bullish DCF projections are fundamentally unknowable for distressed companies
  • M&A speculation can floor the stock above intrinsic value temporarily
  • Management credibility is a key input — new CEO expands the bull case