Image Source: Pixabay

BofA analyst Curtis Nagle has moved to No Rating on Bed Bath & Beyond (BBBY) as he believes shares "are no longer trading on fundamentals" and "meme mania" appears to impacting the stock again.

Shares have appreciated significantly in recent days, including a 62% single-day increase on June 2 in the context of no significant updates from the company or any other material news, Nagle said. Bed Bath did put out a press release on June 2 regarding the launch of three new private label brands, but he thinks this was already expected and is not material, Nagle noted.

He believes that the rapid appreciation in share price is being driven by "another surge in interest and trading led by retail investors," noting that Bed Bath's share price increase corresponds to big moves over the past week with other "meme stocks" including GameStop (GME), AMC Entertainment (AMC) and BlackBerry (BB).