Coming into yesterday, Bed Bath & Beyond (BBBY) had fallen in reaction to ten of its last thirteen quarterly earnings reports. The stock exploded higher in reaction to this quarter’s report, however, with a one-day gain of 25.13% yesterday. As shown below, there have only been two other days in BBBY’s history that have seen a bigger one-day gain. On March 24th of this year, the stock jumped 28.25%, while back on March 30th, 2000, the stock rose 30.22%.
As the table shows, following prior 15%+ one-day gains for BBBY, the stock has typically pulled back over the next week, but over the next three months, the stock has averaged an additional gain of more than 26%.
Since its low of $3.56/share back on April 2nd, BBBY is now up 427%!
The recent gains for BBBY have finally given shareholders a “higher high” on the long-term price chart. Yesterday’s gain pushed shares above highs seen last December. For a stock that went from $80 in late 2013 to the mid-$3s earlier this year, it’s a start! Now that this downtrend has been broken, technicians will be looking for a “higher low” to be established and a new uptrend to take hold. Click here to view Bespoke’s premium membership options for our best research available.