Is Bed, Bath & Beyond Going To Zero?

Growth Stocks
by Jay Soloff
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Once a popular meme stock, Bed, Bath & Beyond (BBBY) could be in trouble.  The stock price has recently shot higher on news that insiders are buying the shares.  However, a large purchase of put options that expire in January of 2024 suggests there could be significant downside in the stock. This put position will only pay off in extremely negative circumstances for the company (unless it is meant to be a hedge.

Author: Jay SoloffJay Soloff is the Options Portfolio Manager at Investors Alley. Jay is also the editor for 48-Hour Income, Options Insiders, and co-editor of Weekly Income Accelerator and POWR Income with Tim Plaehn. Prior to joining the online investment world, Jay was a floor trader and market maker on the CBOE, the world's largest options exchange. His experience includes trading a multi-million dollar options portfolio in equities options as well as serving as a consultant to Wall Street options trading groups. Jay also spent time as a senior analyst at a hedge fund of funds, where he analyzed professional options funds as well as traded option strategies for hedging purposes. All told, Jay has 20 years of options trading experience. He received his undergrad degree in Economics at the University of Illinois - Champaign, and his MBA and Master of Science in Information Management from Arizona State University.
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