OSH - Why Is Bed Bath & Beyond (BBBY) Stock Down 32% Today?
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Bed Bath & Beyond (NASDAQ:BBBY) stock is falling on Tuesday after the retailer revealed plans to raise about $1 billion.
That plan from the company includes the sale of preferred stock as a way to increase funds. However, the company may have spooked investors with a warning in the U.S. Securities and Exchange Commission (SEC) filing.
That includes the following statement in its prospectus filing.
“Investing in the offered securities involves risks. You should carefully read and consider the information in this prospectus, the applicable prospectus supplement and the risk factors described in any applicable prospectus supplement and/or in our periodic and other reports and other information that we file with the Securities and Exchange Commission before investing in our securities.”
BBBY’s Plans For The Funds
Bed Bath & Beyond says it intends to use funds raised from the preferred stock offering for general corporate purposes. That may include the reduction of its debt. That’s not much of a surprise considering the company holds more than $1 billion in debt. It’s also at risk of defaulting on some of that money owed.
Shares of BBBY stock are falling 31.7% today as some 14 million shares change hands. The company’s daily average trading volume is about 43 million shares. Year-to-date, the stock is up 153.7%.
Investors searching for all of the hottest stock market news will want to keep reading!
InvestorPlace is home to all of the most recent stock news traders need to know about on Tuesday! A few examples include why shares of Oak Street Health (NYSE:OSH) and Vaccinex (NASDAQ:VCNX) stock are rising, as well as the biggest pre-market stock movers this morning. All of that news is ready to go below!
More Tuesday Stock Market News
- Why Is Oak Street Health (OSH) Stock Up 36% Today?
- Why Is Vaccinex (VCNX) Stock Up 67% Today?
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
More From InvestorPlace
- Buy This $5 Stock BEFORE This Apple Project Goes Live
- The Best $1 Investment You Can Make Today
- It doesn’t matter if you have $500 or $5 million. Do this now.
- Massive Bear Market “Divergence Event” Ahead… And The #1 Way to Play It
The post Why Is Bed Bath & Beyond (BBBY) Stock Down 32% Today? appeared first on InvestorPlace.