Bed Bath & Beyond and Kroger team up on e-commerce, in-store pilot

CNBC Television published this video item, entitled “Bed Bath & Beyond and Kroger team up on e-commerce, in-store pilot” – below is their description.

Sara Eisen joins ‘Closing Bell’ to report Bed Bath & Beyond and Kroger are collaborating to allow Kroger customers have access to Bed Bath & Beyond products online. For access to live and exclusive video from CNBC subscribe to CNBC PRO: https://cnb.cx/2NGeIvi

Bed Bath & Beyond shares soared more than 70% in extended trading Tuesday after the retailer put out a flurry of press releases.

Among the news that the company announced was the launch of a digital marketplace that will sell goods from third-parties, in addition to a tie-up with grocery chain Kroger. Bed Bath & Beyond also said its stock buyback program was ahead of schedule, and it unveiled some executive leadership changes.

But the sharp spike after the market’s close was likely fueled by a so-called short squeeze, in which hedge funds that had bet against the stock were forced to scramble and buy back their shares to cut their losses.

Bed Bath & Beyond was among the most heavily shorted stocks in the country with 27% of its shares available for trading sold short. That’s the third-highest among the 1,500 largest U.S. stocks, according to FactSet.

There was also a huge jump in mentions on Reddit after the bell, according to sentiment tracker Swaggy Stocks. Bed Bath & Beyond was a meme crowd favorite earlier this year, joining the likes of GameStop and AMC Entertainment, before falling out of favor as the retail trading movement lost some momentum.

Bed Bath & Beyond shares rallied 9.6% during regular trading Tuesday to $16.75. The shares popped dramatically in after-hours trading on heavy volume.

Seymour Asset Management founder Tim Seymour said on CNBC’s “Fast Money” that Bed Bath & Beyond’s shares have been fueled by the interest of newer and nontraditional investors.

“There are a number of these broken companies that are finding ways to reinvent themselves,” he said, referring to the volatile trading of stocks based on Reddit messaging boards. “Whether some of these companies are [reinventing themselves] or not, the capital markets are allowing them to get there and then figure it out later. And that’s been one of the great stories of 2021.”

What Bed Bath & Beyond announced

After years weak sales growth, Bed Bath & Beyond has been trying to revive its business under CEO Mark Tritton. He has tried to streamline its business, close underperforming stores and roll out private label brands, hoping to offer shoppers products they can only find at its stores.

The company said Tuesday it would create a digital marketplace to establish a bigger presence online. It offered few other details on when the platform will launch and how exactly it will work.

“Marketplace is yet another example of how we continue to redefine our business model,” Tritton said in a statement. “We are developing new avenues of long-term profitable growth to allow us to organically build on our existing authority in the Home and Baby categories.”

Separately, it said that Kroger — the country’s largest supermarket chain — will start selling some of Bed Bath and Beyond’s home and baby products on its website and in select stores as part of a pilot starting in 2022.

A Kroger spokeswoman said the number of stores, along with more details, will be announced at a later date.

Bed Bath & Beyond also named Anu Gupta as its chief growth officer, a newly created position. She previously served as Bed Bath & Beyond’s chief strategy and transformation officer.

The company also tapped Rafeh Masood as chief customer officer, another newly created role. Masood was previously Bed Bath & Beyond’s chief digital officer and interim chief brand officer.

Both appointments are effective immediately and will report to Tritton.

Bed Bath & Beyond also said it expects to complete a $1 billion share repurchase plan by the end of fiscal 2021, two years ahead of schedule.

» Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision

» Subscribe to CNBC: https://cnb.cx/SubscribeCNBC

» Subscribe to CNBC Classic: https://cnb.cx/SubscribeCNBCclassic

Turn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.

The News with Shepard Smith is CNBC’s daily news podcast providing deep, non-partisan coverage and perspective on the day’s most important stories. Available to listen by 8:30pm ET / 5:30pm PT daily beginning September 30: https://www.cnbc.com/2020/09/29/the-news-with-shepard-smith-podcast.html?__source=youtube%7Cshepsmith%7Cpodcast

Connect with CNBC News Online

Get the latest news: http://www.cnbc.com/

Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC

Follow CNBC News on Facebook: https://cnb.cx/LikeCNBC

Follow CNBC News on Twitter: https://cnb.cx/FollowCNBC

Follow CNBC News on Instagram: https://cnb.cx/InstagramCNBC

https://www.cnbc.com/select/best-credit-cards/

#CNBC

#CNBCTV

CNBC Television YouTube Channel

Got a comment? Leave your thoughts in the comments section, below. Please note comments are moderated before publication.


About This Source - CNBC Television

CNBC is an American pay television business news channel, which primarily carries business day coverage of U.S. and international financial markets. Following the end of the business day and on non-trading days, CNBC primarily carries financial and business-themed documentaries and reality shows.

As of February 2015, CNBC is available to approximately 93,623,000 pay television households (80.4% of households with television) in the United States.

Recent from CNBC Television:

The narrative behind big tech is 'very strong', they are must own stocks, says laffer tengler ceo 1

The narrative behind Big Tech is ‘very strong’, they are must own stocks, says Laffer Tengler CEO

The Biden campaign can’t fix messaging around age, says Mick Mulvaney

Last Call panel weighs in on Sports Illustrated laying off entire staff

In This Story: GameStop

GameStop (NYSE: GME) is an American video game, consumer electronics, and gaming merchandise retailer. The company is headquartered in Grapevine, Texas, United States, a suburb of Dallas, and operates 5,509 retail stores throughout the United States, Canada, Australia, New Zealand, and Europe as of February 1, 2020.

6 Recent Items: GameStop

DUMB MONEY – Paul Dano

Earnings Exchange: Chewy, GameStop & Dollar General

DUMB MONEY – Ensemble of Stars

DUMB MONEY – Taking Down Wall Street

DUMB MONEY – Deleted Scene

Paul Dano Only Joined Social Media for the GameStop Saga Film Dumb Money

In This Story: Podcast

A podcast is an episodic series of digital audio files that a user can download to a personal device for easy listening.

3 Recent Items: Podcast

Would you rather have Belichick or Harbaugh? | The Will Cain Show

Who’s the most clinical? Callum Wilson or Michail Antonio? | Footballer’s Football Podcast

Inside story of Perth’s epic BBL|12 Final run chase | KFC BBL

In This Story: Reddit

Reddit is a social news aggregation, web content rating, and discussion website. Registered members submit content to the site such as links, text posts, and images, which are then voted up or down by other members.

2 Recent Items: Reddit

Marvel Studios’ The Marvels | Visual Effects | Behind the Scenes

Spectacular Spider-Men #1 | Official Trailer | Marvel Comics

Leave a Comment

We don't require your email address, or your name, for anyone to leave a comment. If you do add an email address, you may be notified if there are replies to your comment - we won't use it for any other purpose. Please make respectful comments, which add value, and avoid personal attacks on others. Links are not allowed in comments - 99% of spam comments, attempt to post links. Please describe where people may find additional information - for example "visit the UN website" or "search Google for..." rather than posting a link. Comments failing to adhere to these guidelines will not be published.