Sep. 24, 2014, 8:13 AM
- Retail sales could increase by 4.5% to $986B this holiday season on an improved macroeconomic backdrop, forecasts Deloitte Touche.
- The mark would easily top last year's 2.8% rise.
- Online sales are tipped to rise by 14%.
- Promotional activity across broad retail has been dialed back a touch during the back-to-school season, but is still a risk to margins heading into the crucial shopping period.
- What to watch: This holiday season could be an operational pressure cooker for UPS (NYSE:UPS) and FedEx (NYSE:FDX) with demand expected to be high.
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Sep. 9, 2014, 7:15 PM
- RadioShack (NYSE:RSH) will release its financial results Thursday morning, and Wedbush analyst Michael Pachter sees a big, big miss, projecting a $0.66/share loss vs. Street consensus for a $0.36 loss, on sales of $762M vs. $893M consensus.
- The firm says brick and mortar electronics retailers such as RSH and Best Buy (NYSE:BBY) will see persistent structural decline as internet sales continue to take share; it sees continuing evidence of traffic deterioration and lower productivity for BBY’s retail foot print, while RSH has less financial flexibility to invest in price competitiveness.
- Believing bankruptcy is imminent, Pachter lowers his price target for RSH to zero.
Aug. 27, 2014, 10:53 AM
Aug. 26, 2014, 11:14 AM
- Execs with Best Buy (BBY -4.9%) focused heavily on the cost saving initiatives in place at the company during their conference call talk with analysts this morning.
- Though demand is expected to be weak in the consumer electronics and mobile phone categories, home theaters could see a boost with increased demand for 4K TVs, especially next year when prices come down.
- The high penetration of mobile phones in the U.S. is a bit of drag on demand, notes Hubert Joly.
- Look for a more refined and targeted marketing message from Best Buy as it uses more data.
- The back-to-school season is "in-line" with expectations so far.
- Earnings call webcast
Aug. 26, 2014, 7:33 AM| 2 Comments
Aug. 26, 2014, 7:14 AM
- Best Buy (NYSE:BBY) reports comparable-store sales fell 2.0% in FQ1 on continued weakness in the consumer electronics category.
- Comparable online sales +22%.
- International comparable-store sales -6.7%.
- Domestic gross profit rate -390 bps to 23.4%, overall -340 bps to 23.1%.
- Domestic SG&A expense ratio -180 bps to 20.1%, overall -160 bps to 20.4%.
- Inventory +2.7% to $5.583B.
- BBY +3.2% premarket
Aug. 26, 2014, 7:01 AM
Aug. 25, 2014, 5:30 PM
Aug. 22, 2014, 7:29 AM
- Piper Jaffray backs its Buy rating on Best Buy (NYSE:BBY) heading into the retailer's Q2 earnings release next week.
- The investment firm expects a negative BBY comp, but sees some gross margin improvement.
- Things may get easier in Q3 and Q4 for Best Buy when it starts to lap easier comps and with an iPhone launch scheduled.
Aug. 15, 2014, 9:08 AM
- Video games sales fell 15% Y/Y in July, according to data from the NPD Group. The tally is for sales at physical retail outlets such as GameStop (NYSE:GME), Best Buy (NYSE:BBY), and Target (NYSE:TGT).
- The comparable to last year was impacted by a dispute between the NCAA and student athletes which prompted Electronic Arts (NASDAQ:EA) to stop producing its popular NCAA football series amid the legal dispute.
Jul. 16, 2014, 11:22 AM
- Shares of Best Buy (BBY +1%) spiked higher before settling back on rumors that an activist investor has taken a stake.
- Naturally, Carl Icahn's name is in the mix although there's nothing concrete.
- Despite management's tighter reign on costs over the last six months, there's growing criticism that Best Buy needs to improve results of the global business.
Jul. 15, 2014, 1:57 PM
- Shipments of major home appliances rose 11.3% Y/Y to 7.51M units in June, according to industry tracking.
- The development could bode well for Whirlpool (WHR +0.3%).
- On the other side of the equation, electronics and appliance stores (BBY, CONN, HGG) sales rose only 0.1% M/M in June. The annualized rate is well- below the pace of shipments.
Jun. 24, 2014, 6:50 PM
- Best Buy (BBY) is working with BofA/Merrill to explore options for its Chinese ops, including a sale or partnership, sources tell the WSJ. Some of them think the business could be worth $300M.
- Soft Chinese sales were partly blamed for a 10.5% Y/Y FQ1 drop in Best Buy's international sales; the company has been seeing tough competition from Chinese online retailers.
- Best Buy is a year removed from selling its 50% stake in the U.K.'s Carphone Warehouse back to Carphone for $775M. The company had $2.57B in cash at the end of FQ1, and $1.6B in debt.
Jun. 17, 2014, 9:20 AM
- Best Buy (BBY) could get a lift from demand for 4K TVs, according to Bank of America.
- Though the ultra-HD TVs with a resolution of 3840 x 2160 pixels are still a niche product, growth in 4K content is expected to help boost awareness with consumers this year.
- BofA analysts have Best Buy lined up with a Buy rating.
Jun. 10, 2014, 8:03 AM
May. 23, 2014, 8:29 AM
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