What happened
Shares of Bed Bath & Beyond (BBBY) rose 7% on Wednesday as the market continued to look favorably on the changes the home goods retailer is making to its business.
Yesterday, there was another shake-up in its headquarters personnel, this time in the marketing department with the appointment of two new senior vice presidents -- one coming over from Target, the other from Macy's.
Bed Bath & Beyond also appointed three new creative agencies to help with marketing and communication.
Image source: Getty Images.
So what
The market is beginning to believe Bed Bath & Beyond can dig its way out of the deep hole it found itself in as CEO Mark Tritton has overhauled the executive suite, cast off all non-core businesses, and is focusing on the key brands of Bed Bath & Beyond: buybuyBaby and Harmon Face Value.
Now what
While the retailer's recent earnings report was a little disappointing as it missed expectations, Bed Bath & Beyond's digital sales nearly doubled for the period. The market's initial reaction was to send the stock tumbling, but it seems there's been a change of heart, and its shares have been steadily rising.
The stock of the home goods chain is up over 20% in 2021, and the appointment of a new marketing team is giving rise to the hope Bed Bath & Beyond can better communicate its value proposition to consumers and continue climbing back from the edge of the abyss.
