Bed Bath & Beyond Inc. shares soared another 67% on Tuesday and have more than tripled in the past week, defying recent analysts’ warnings over the retailer’s exaggerated valuation given its shrinking liquidity, WSJ Pro Bankruptcy reported. The stock of the home-goods company changed hands at as high as $28.04 a share in late-morning trading, surging from $8.88 on Aug. 9. The jump in shares coincided with a modest rally in Bed Bath & Beyond’s debt prices. Its 2044 notes traded at 31.5 cents on the dollar on Tuesday, up from 24.3 cents five days ago, according to MarketAxess. The sharp rise in shares came despite a number of analysts’ warnings about dwindling liquidity at the retailer, which is fighting to maintain the confidence of suppliers and investors after a push into private-label brands that didn’t resonate with consumers. Bed Bath & Beyond ended May with roughly $100 million in cash, after burning through more than $300 million of its reserves and borrowing $200 million from its credit line.
