This home goods retailer is getting ready to launch eight new private-label brands. The stock is showing good momentum, as investors applaud this news.
Bed Bath & Beyond Inc. (BBBY)
From Schaeffer’s Investment Research
The shares of home goods retailer are fresh off a Jan. 27, six-year high of $53.90, and currently sports a mind-blowing 233.5% year-over-year lead. What’s more, the stock’s latest pullback has it near a historically bullish trendline, which could serve as a springboard for BBBY moving forward.
Specifically, Bed Bath & Beyond stock just came within one standard deviation of its 40-day moving average, after spending weeks above this trendline. According to data from Schaeffer’s Senior Quantitative Analyst Rocky White, five similar signals have occurred in the past three years. The security enjoyed a positive return one month later in 75% of those cases, averaging an impressive 26.2% gain for that period. From its current perch, a move of similar magnitude would put BBBY just over the $35 mark—a bit closer to its January peak.
Bernie Schaeffer, Schaeffer’s Investment Research, SchaeffersResearch.com, 800-327-8833, March 10, 2021