The first time I entered a Bed Bath and Beyond shop was in 2012. It smelled good (something like soap) but there was nothing really special there. It was a kind of Walmart dedicated to home stuff (sheets, soap, beds), but the prices were higher than at Walmart. A kind of Sears, in other words.
But it was considered a great stock back then. I never bought a share, but I followed the company...
On october 1st, 2013, a single share of Bed Bath and Beyond (BBBY) was selling for 77$.
Five years later, a single share is selling for 15$.
What happened? Up until 2013, things were going nicely for Bed Bath and Beyond. But, around 2014, growth started to slow down Then, there was stagnation. Then, there was negative growth. And that's the moment where investors chosed to leave the ship.
EPS tell everything:
As seen above, when things started to go wrong, they went wrong big time.
Some people may attribute the word "undervalued" to Bed Bath and Beyond because the PE is about 5. Personnaly, when a company has lost it's appeal, I don't use any word to describe it. I just look elsewhere.