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Earnings in Focus: Bed Bath & Beyond, Barnes & Noble

Bed Bath & Beyond Inc. (NASDAQ:BBBY), Barnes & Noble, Inc. (NYSE:BKS), and Winnebago Industries, Inc. (NYSE:WGO) are moving on quarterly results

Jun 25, 2015 at 2:55 PM
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A number of stocks are making notable moves this afternoon in the aftermath of earnings reports. Among the names worth highlighting are retailers Bed Bath & Beyond Inc. (NASDAQ:BBBY) and Barnes & Noble, Inc. (NYSE:BKS), as well as Winnebago Industries, Inc. (NYSE:WGO).

  • BBBY is down 1.8% at $69.05, after the company posted a first-quarter earnings miss and weak current-quarter guidance. Also, no fewer than five analysts reduced their price targets on the equity, with Baird setting the lowest bar at $72. It's been a rough few months for Bed Bath & Beyond Inc., which has slid 13.3% since hitting an annual high of $79.64 in early January. Options traders are gambling on even more downside, according to data from the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). BBBY's 50-day put/call volume ratio of 0.96 ranks in the 85th percentile of its annual range.

  • BKS has slipped 1.3% to hover near $25.99 -- just two days after hitting a multi-year peak of $27.10 -- following the company's poorly received quarterly results, which included a 40% fall in Nook sales. Nevertheless, the stock maintains a roughly 12% year-to-date lead. In fact, given Barnes & Noble, Inc.'s 14-day Relative Strength Index (RSI) of 70 -- which sits in overbought territory -- a near-term pullback may have been in the cards. Elsewhere, the options crowd is tilted in a firmly bearish direction. BKS's 10-day ISE/CBOE/PHLX put/call volume ratio of 1.39 sits just 13 percentage points from a 52-week peak. As mentioned yesterday, this negativity is witnessed among short sellers, as well.

  • ​Finally, WGO has jumped 7.5% to trade at $22.25, after the company reported better-than-expected quarterly numbers. The upward move has also pushed the shares above their year-to-date flatline. Short sellers may be nervous about Winnebago Industries, Inc.'s sharp gains. Nearly 23% of the stock's float is sold short -- the equivalent of almost 13 days of trading, at WGO's typical volumes.
 
 

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