Sleep Number Files Chapter 11, Plans Sale Merger
Introducing TipRanks MCP for Agents
- Deliver institutional-grade market data directly into Claude, ChatGPT, Cursor, and other MCP-compatible AI tools.
- Designed for personal research, portfolio monitoring, and AI-assisted investment workflows.
Sleep Number ( (SNBR) ) has shared an announcement.
On June 12, 2026, Sleep Number and its subsidiaries filed voluntary Chapter 11 petitions in the U.S. Bankruptcy Court for the Southern District of New York, triggering defaults and acceleration on roughly $672.5 million of debt that are now subject to the automatic stay. The company warned that its Nasdaq-listed common shares are expected to be delisted and that equity holders will likely face a complete or significant loss, as the shares are out of the money under the proposed sale terms.
Concurrently, Sleep Number entered an agreement to combine with Sleep Country Canada through a Section 363 court-supervised sale, positioning the pair to form a leading North American mattress and bedding player while using the Canadian retailer as a stalking-horse bidder. During the process, Sleep Number expects to secure up to $260 million in debtor-in-possession financing, continue normal operations and its turnaround efforts, rationalize its store footprint by rejecting leases on 44 already closed locations, and maintain service, warranties and connected-bed infrastructure for customers.
The most recent analyst rating on (SNBR) stock is a Hold
with a $3.00 price target.
To see the full list of analyst forecasts on Sleep Number stock,
see the SNBR Stock Forecast page.
Spark’s Take on SNBR Stock
According to Spark, TipRanks’ AI Analyst, SNBR is a Neutral.
SNBR scores low primarily due to deteriorated financial performance (declining revenue, losses, negative equity, and recent cash burn) and strongly bearish technicals (price below major moving averages with weak momentum). The earnings call provides some offset with signs of demand and product-mix improvement plus cost actions, but cautious guidance and ongoing financing/capital-structure risk keep the overall score constrained.
To see Spark’s full report on SNBR stock,
click here.
More about Sleep Number
Sleep Number Corporation is a U.S.-based mattress and bedding company focused on personalized sleep wellness, selling adjustable smart beds, bases, bedding and furniture through more than 570 stores nationwide and online. Backed by nearly 40 years of innovation and over 1,000 patents and patents pending, the company uses an integrated model and extensive sleep data to deliver premium, connected sleep products aimed at health and performance-conscious consumers.
Its products have earned top industry recognitions, including leading J.D. Power rankings for in-store and online mattress purchases and comfort, and it serves as the Official Sleep + Wellness Partner of the NFL to bolster brand awareness. Sleep Number emphasizes quality, durability and long-term customer support, maintaining control from design and manufacturing to home delivery and ongoing digital connectivity for its smart beds and app ecosystem.
Average Trading Volume: 8,937,639
Technical Sentiment Signal: Sell
Current Market Cap: $15.21M
Find detailed analytics on SNBR stock on TipRanks’ Stock Analysis page.
