Bed Bath & Beyond shares rise after report

AP News
Posted: Dec 01, 2009 2:43 PM

Shares of Bed Bath & Beyond rose Tuesday after an analyst added the housewares retailer to its best ideas list and reiterated an "Outperform" rating.

Wedbush Securities analyst Joan Storms said the company has handily beat guidance and expectations the past three quarters and that it will have an even easier time doing so in the second half of the year. The company's second quarter ended Aug. 29.

The stock rose $1.54, or 4 percent, to $38.90 in afternoon trading.

Storms said the company's profit predictions _ 38 cents per share for the third quarter and $1.79 per share for the year _ were conservative.

She expects it to earn 43 cents per share in the third quarter.

Analysts polled by Thomson Reuters on average expect profit of 42 cents per share for the quarter and $1.90 per share for the year.