Shares of online furniture and home furnishings provider Beyond (NYSE:BYON) have rallied over 58% over the past three months. Not long ago, the stock was trading at multi-year lows under a different name, Overstock.com. However, its rebranding efforts appear to be paying off.
In fact, the stock had plummeted from +$100 levels in November 2021 to nearly $14 in October 2023. Since then, the company’s share price has nearly doubled to +$28 and it seems more gains may be in the offing.
It all started in the final week of June 2023, when Overstock.com acquired the Bed Bath & Beyond brand and related IP. Subsequently, Overstock.com was rebranded as Bed Bath & Beyond. This was followed by the launch of a dedicated website in Canada and the introduction of a new app in the U.S.
The company has focused on transforming its consumer brand and following an asset-light eCommerce business model. Additionally, Overstock.com (OSTK) ceased to trade on the NASDAQ, shifting to the NYSE with a new ticker and name in November.
Since then, the company has ushered in major leadership changes and is moving to bolster governance and accountability with a declassification of its Board. Earlier this month, the company recorded its highest-ever sales for the Thanksgiving to Cyber Monday period. Active customers during this period exceeded the 5.3 million mark.
Beyond is now looking to drive operational performance. The company is aiming for $25 million in savings with a new fixed cost restructuring plan, lowering facility footprint, and slashing its employee base by 10%. Adding to this, it has extended and expanded its stock buyback program by $50 million for two more years.
Is BYON Stock a Good Investment?
The stock is up a further 3.5% in the early session today. Overall, the Street has a Hold consensus rating on Beyond alongside an average price target of $21.40. In contrast, Wedbush’s Michael Pachter is more optimistic about BYON, with a Buy rating and a $33 price target.
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