The shuttering of Bed Bath & Beyond stores should provide a significant sales boost to online retailer Wayfair, according to Telsey Group. Bed Bath & Beyond filed for Chapter 11 bankruptcy protection on Sunday and is trying to auction its namesake and Buybuy Baby brands. While the beleaguered retailer has vowed to sell at least a portion of its operations , Telsey is doubtful someone will buy the Bed Bath & Beyond business. That would leave about $4.3 billion in sales up for grabs, the firm calculates. “We estimate the annual sales lift from the liquidation of Bed Bath & Beyond to be ~200 bps for Wayfair , ~150 bps for Burlington , Ross , and TJX , and ~100 bps for Target . For Amazon and Walmart , we estimate a benefit of ~20 bps,” analyst Christina Fernandez wrote in a note Wednesday. W 6M mountain Wayfair’s year-to-date performance Telsey based its analysis on several factors, such as size, store proximity to Bed Bath & Beyond locations, the mix of online sales versus store sales, and consumer demographic. Bed Bath & Beyond served the middle income consumer, Fernandez said. Wayfair was also named by Oppenheimer as among those poised to benefit from Bed Bath & Beyond’s demise. Shares of the online retailer are up nearly 9% so far this year. — CNBC’s Michael Bloom contributed reporting.
