Best Buy CEO Quits In Probe-WSJ - Tim Travis

Send Message

Tim Travis is a veteran deep value investor and money manager. Travis has extensive experience in traditional investments such as stocks and bonds, in addition to having a unique methodology of combining options and distressed investing with value investing to generate income, reduce risk, and... More

My company:: T&T Capital Management
My blog:: T&T Capital Management Blog
My book:: Learn to Treat Your Portfolio as a Business

Best Buy CEO Quits In Probe-WSJ 0 comments

Apr 11, 2012 10:31 AM | about stocks: BBY, AMZN, WMT

With Best Buy (BBY) struggling as a transformational shift from big box retail, to online distribution, more bad news occurred today with the announcement that the CEO is stepping down due to an internal probe. Best Buy is a company that had a great model which is just becoming outdated due to the changing landscape so what they need to do to survive is adjust. They need to build a stronger online presence, and they need to reduce costs so that they can compete price wise with Amazon (AMZN) and Wal Mart (WMT). They have mostly remained profitable so strong capital allocation and strategic downsizing are going to be keys to their future success. I'm not sure if Brian Dunn was the right guy or not but the timing of this is certainly not opportune for the company.
http://online.wsj.com/article/SB10001424052702303815404577335551794808074.html?mod=WSJ_hp_LEFTTopStories
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Stocks: BBY, AMZN, WMT

Back To Tim Travis' Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.