A movie is two things; everything before the ending and the ending.
I think if you didn't reveal that he was a teddy bear in the beginning and only reveal taht in the end, then the ending could be more compelling. Cause right now, it's like "Why am I watching?". So if you started off with him already being a live, and DON'T show the bed until the end, then when you ask "Why am I watching?" when he turns into a stuffed animal, then it's like, "Ohhhh!".
It might even turn into a 30 second animation, which is not bad. Less is more.
Anyway, keep it up.