Best Buy Co. (BBY) - NYSE
  • Dec. 5, 2013, 9:54 AM
    • Conn's (CONN +12%) lifts its forecast for full-year EPS to $2.75-$2.80 from $2.50-$2.56. Same-store sales at Conn's are expected to rise 22% to 25% for the fiscal year ending January 31, 2014.
    • Best Buy (BBY -0.1%), on the other hand, has cut costs and focused its message to consumers on service and expertise. The company has stuck with electronics and mobile, but refined its selling channels.
    • Sector watch: Though Best Buy has done a fine job with its turnaround in 2013, the soaring margins and momentum at Conn's from furniture and mattress sales are hard to ignore. The retail chain also derives a good chunk of its business by offering customers favorable credit terms, a temptation that Best Buy has resisted in the past due to the risk it brings into the equation.
    | Dec. 5, 2013, 9:54 AM
  • Dec. 3, 2013, 3:43 AM
    | Dec. 3, 2013, 3:43 AM | 3 Comments
  • Dec. 2, 2013, 9:53 AM
    • Gap (GPS +2%), Lululemon (LULU +1.9%), and Best Buy (BBY +1.2%) all trade higher after retail channel checks indicate traffic and sales were strong during the extended Black Friday weekend.
    • Old Navy showed the biggest week-over-week gain in market share, according to Placed.
    • Lululemon's customer base came out in droves and men's products performed well, notes Janney Montgomery.
    • At Best Buy, it wasn't the foot traffic that looked promising, but signs that online and mobile sales showed a significant year-over-year gain.
    • A trio of retailers which came out bruised after Black Friday on worries of lower store traffic are Coach (COH -2.2%), Macy's (M -1.4%) and J.C. Penney (JCP -3.6%).
    | Dec. 2, 2013, 9:53 AM | 5 Comments
  • Dec. 2, 2013, 2:24 AM
    • The amount of money that consumers spent over the Thanksgiving weekend is estimated to have slipped 2.7% to $57.4B, the National Retail Federation says.
    • The drop is in contrast to estimates that Thanksgiving and Black Friday sales at brick-and-mortar stores rose 2.3%.
    • The average consumer spent $407.02 over the whole weekend, down 3.9% from last year.
    • The number of shoppers increased to 141M people from 139M.
    • The fall in spending came after retailers warned of a difficult holiday season and was due to the aggressive bargains on offer, a trend that is expected to continue.
    • However, the NRF maintained its forecast that retail sales will grow 3.9% for the whole holiday whole season.
    • Online sales climbed 17.3% on Thanksgiving and Black Friday, ComScore estimates, noting that the latter day attracted a record $1.2B in spending. The research firm expects Internet sales to rise 16% for the whole of the holiday season.
    • The most visited sites on Black Friday were those of Amazon (AMZN), eBay (EBAY) Walmart (WMT), Best Buy (BBY) and Target (TGT).
    • Total e-commerce sales hit $20.6B in the first 29 days of this holiday season, up 3.1% from last year, although this year includes more days.
    • Today is Cyber Monday, which the NRF reckons will attract 131M shoppers vs 129M last year. But as with Black Friday, Cyber Monday has started a day early, with J.C. Penney (JCP) and Macy's (M) among those who began related promotions yesterday. Target has gone further and created "Cyber Week."
    • More on Thanksgiving sales.
    • Tickers: FDO, DG, DLTR, FIVE, TGT, SHLD, BIG, GME, COH, GPS, LULU
    • ETFs: XLP, XLY, VDC, XRT, VCR, RTH, PBJ, RETL, PEJ, IYK, FXG, IYC, SCC, FXD, RHS, UCC, PMR, UGE, RCD, PSL, PSCC, SZK, FDIS, FSTA, PSCD, PEZ
    | Dec. 2, 2013, 2:24 AM | 3 Comments
  • Dec. 1, 2013, 1:38 AM
    • Thanksgiving and Black Friday sales at brick-and-mortar stores rose 2.3% on year to $12.3B, ShopperTrak estimates.
    • The research firm reiterates its forecast that sales for the whole of the holiday season will increase 2.4%, the weakest growth since 2009.
    • Foot traffic for both days grew 2.8% to over 1.07B store visits.
    • Online sales +20% on Thanksgiving and +19% on Black Friday, says IBM.
    • Mobile traffic accounted for almost 40% of all online visits on Friday. Mobile sales rose to 26% of total online sales on Thursday and were around 22% on Friday.
    • Increased store openings on Thanksgiving seem to have eaten into sales on Black Friday, while online transactions again took business away from physical purchases.
    • Anecdotal evidence suggests that consumers came with plans of what they wanted to buy, with the result that there was much less impulse shopping. (PR)
    • More on Thanksgiving Black Friday sales.
    • Tickers: AMZN, EBAY, FDO, DG, DLTR, FIVE, TGT, BBY, WMT, SHLD, BIG, GME, COH, GPS, LULU, JCP, M.
    • ETFs: XLP, XLY, VDC, XRT, VCR, RTH, PBJ, RETL, PEJ, IYK, FXG, IYC, SCC, FXD, RHS, UCC, PMR, UGE, RCD, PSL, PSCC, SZK, FDIS, FSTA, PSCD, PEZ
    | Dec. 1, 2013, 1:38 AM | 17 Comments
  • Nov. 29, 2013, 3:39 PM
    • A consumer survey by Placed indicates that aggressive retailers ruled the day on Thanksgiving to give them a nice head of steam heading into the full Black Friday weekend.
    • The dollar store group (FDO, DG, DLTR, FIVE) in particular appears to have picked up some needed market share.
    • In a mild surprise, Target (TGT) only ranked as the 6th most visited retailer behind some discounters and Best Buy (BBY), according to the latest data crunch
    • Biggest week-over-week market gains by major retailers: 1. Kmart (SHLD) 2. Toys 'R' Us 3. Wal-Mart (WMT) 4. Big Lots (BIG) 5. Family Dollar.
    • Full report from Placed.com
    | Nov. 29, 2013, 3:39 PM | 4 Comments
  • Nov. 29, 2013, 11:50 AM
    • Ignore the media reports of lines wrapping around city blocks for Best Buy (BBY +1.4%) this Black Friday and focus on the retailer's integrated in-store and e-commerce initiatives, say retail watchers.
    • Though shares of BBY have ripped the second-highest gain in the S&P 500this year, they still have fresh legs due to the company's significant supply chain improvements and cost control measures this year.
    • What to watch: Amazon and Wal-Mart are still taking market share from Best Buy in key categories, but due to CEO Hubert Joly's deft hand the retailer is improving its bottom line quicker than its peers.
    | Nov. 29, 2013, 11:50 AM
  • Nov. 29, 2013, 7:35 AM
    • Target (TGT) reportedly has seen strong store traffic and 2X more early orders on Target.com than a year ago.
    • Best Buy (BBY) and GameStop (GME) look set for a huge day with many reports of long lines, although some stores have already run out of XBox One and PlayStation 4 gaming consoles which could cut down on the festive mood.
    • Informal checks at Coach (COH) outlets show slow traffic.
    • Gap (GPS) in on the hot seat with inventory and store management issues cropping up a bit more than expected. The retailer's strategy this Black Friday has been an all-out selling binge which could test the ability of its omnichannel operations.
    • What to watch: The battle of Gap-brand Athleta vs. Lululemon (LULU) for market share heats up this year with many new Athleta stores popping up extremely close to LULU outlets. Athleta has more promotions today while Lululemon is relying on brand loyalty.
    | Nov. 29, 2013, 7:35 AM | 2 Comments
  • Nov. 29, 2013, 3:31 AM
    • As has become an American tradition as ensconced as the Thanksgiving turkey, shoppers formed long queues in front of retail stores yesterday, with some even camping out, ahead of the doors opening for the Black Friday sales, which once again began on a Thursday.
    • J.C. Penney (JCP) and Macy's (M) opened on Thanksgiving for the first time, while Kmart (SHLD), Old Navy (GPS) and Lord & Taylor opened in the morning.
    • The National Retail Federation has forecast that up to 140M consumers will go shopping over the long weekend, up a bit from 139.4M last year. IBISWorld has projected that total sales through Cyber Monday will rise 2.2% to $40.5B.
    • Mobile traffic increased over 31% yesterday as smartphones accounted for more than 23% of all Internet traffic. By 6 pm, online sales were up 10% over last year.
    • To keep the crowds calm, Wal-Mart (WMT) handed out wristbands, Best Buy (BBY) used a ticketing system, and Target (TGT) had security staff ride segways in the parking lots to increase their visibility.
    • ETFs: XLP, XLY, VDC, XRT, VCR, RTH, PBJ, RETL, PEJ, IYK, FXG, IYC, SCC, FXD, RHS, UCC, PMR, UGE, RCD, PSL, PSCC, SZK, FDIS, FSTA, PSCD, PEZ
    | Nov. 29, 2013, 3:31 AM
  • Nov. 26, 2013, 4:57 AM
    • Consumers who think they'll be getting huge discounts on Black Friday might want to think again. In the words of the WSJ's Suzanne Kapner, "those bargains will be a carefully engineered illusion."
    • Retailers and suppliers first work out the lowest price they can sell a product at and still make the profit they want, and then they jack up the "suggested retail price" so that the retailer can later offer a big discount.
    • Another tactic is for stores to raise selling prices just before the holiday season discount period kicks in.
    • Retailers: WMT, JCP, M, SHLD, JOSB, MW, KSS, BBY, TGT, HD
    • ETFs: XLY, XRT, VCR, RTH, RETL, PEJ, IYK, FXD, PMR, UGE, RCD, SZK, PSCD, FDIS, PEZ
    | Nov. 26, 2013, 4:57 AM | 10 Comments
  • Nov. 25, 2013, 8:22 AM
    • Retailers are in a frenzied competition to bring in more Black Friday shoppers by opening their doors on Thanksgiving even though it's a move that might not help their bottom lines.
    • Turkey Day: Some research shows the cost of paying employees for the holiday hours and bonus discounts outweighs the incremental sales from being open. Kmart (SHLD), Wal-Mart (WMT), Toys 'R' Us, Target (TGT), Best Buy (BBY), Macy's (M), and J.C. Penney (JCP) may have fallen into the trap.
    • The day after: Accenture says retail interest in Black Friday is at a 5-year high and under-30 shoppers in particular consider it an "event" that they can't miss.
    • The trend sets up well for some restaurant chains which could see a high rate traffic sans the promotional atmosphere. Starbucks (SBUX), McDonald's (MCD), Panera Bread (PNRA), and Chipotle (CMG) come to mind.
    | Nov. 25, 2013, 8:22 AM | 8 Comments
  • Nov. 22, 2013, 6:59 AM
    • Brutal competition between major retailers on pricing could bring holiday sales to a lower level than economists anticipated.
    • Though many forecasts still show holiday sales improving at a 2.5%-4% clip, the latest round of warnings from Best Buy (BBY), Wal-Mart (WMT), and Target (TGT) are hard to ignore.
    • Also in play is a "crowding-out" effect as increased consumer spending on automobiles and housing saps the meager 1.5% wage increase the working class saw this year.
    • Related ETFs: XRT, PMR, RTH, VDC.
    | Nov. 22, 2013, 6:59 AM | 2 Comments
  • Nov. 22, 2013, 3:36 AM
    • Microsoft's (MSFT) Xbox One computer games console has gone on sale in 13 countries, including the U.S., U.K. and France, prompting long queues outside consumer-electronics stores.
    • The Xbox is going up against Sony's (SNE) PlayStation 4, of which over 1M were sold within 24 hours of the device's North America launch last Friday.
    • Retailers GameStop (GME) and BestBuy (BBY) have sold out of PS4s, with 2.3M GameStop customers waiting for the new players from Sony and Microsoft.
    | Nov. 22, 2013, 3:36 AM | 7 Comments
  • Nov. 20, 2013, 1:05 PM
    • Best Buy (BBY +1.2%) will open its doors two hours early this Friday to get a jump on gamers looking to buy Xbox One consoles.
    • The gaming system officially goes on sale at 12:01 a.m. local time.
    • The roll-out of both the Xbox and PlayStation 4 are being closely watched to see how well Microsoft and Sony keep retailers flush with product.
    | Nov. 20, 2013, 1:05 PM
  • Nov. 20, 2013, 8:27 AM
    • Citi upgrades Best Buy (BBY) to Buy from Neutral after yesterday's drop provided investors a nice entry point.
    • The investment firm lifts its price target on the company to $48 from $44.
    • The optimistic take is flying in the face of the caution some retail analysts are expressing on the margin pressure Best Buy will see in the near-term. Even Best Buy CFO Sharon McCollam gave a troubling outlook on margins during her post-earnings comments yesterday.
    • Earnings call transcript
    • BBY +1.1% premarket.
    | Nov. 20, 2013, 8:27 AM
  • Nov. 20, 2013, 8:05 AM
    • Best Buy Co. (BBY) declares $0.17/share quarterly dividend, in line with previous.
    • Forward yield 1.75%
    • Payable Dec. 31; for shareholders of record Dec. 10; ex-div Dec. 6.
    | Nov. 20, 2013, 8:05 AM | 1 Comment
Company Description
Best Buy Co., Inc. is a multinational retailer, which provides consumer electronics, home office products, entertainment products, appliances and related services. The company operates through two business segments: Domestic and International. The Domestic segment is comprised of the operations... More
Sector: Services
Industry: Electronics Stores
Country: United States