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Gaining momentum from better-than-expected second-quarter fiscal 2014 bottom-line results, shares of Best Buy Company, Inc. (BBY - Analyst Report) surged to attain a new 52-week high of $36.14 on Aug 28, 2013, before closing at $35.81. This Zacks Rank #2 (Buy) stock has generated a year-to-date return of approximately 207.4%.

Based on the current price, this online and brick and mortar electronic retailer is 5.6% above the Zacks Consensus average analyst price target of $33.91. The company currently trades at a forward P/E of 15.2x, a 33.0% discount to the industry average of 22.7x.

Best Buy posted the results of the recently concluded quarter on Aug 20, in which quarterly earnings of 32 cents per share surpassed the Zacks Consensus Estimate of 12 cents.

The company is carrying out a turnaround program that includes price match policy, multi-channel strategy, multi-year cost reduction program and closing of some big box stores. In the said quarter, Best Buy succeeded in lowering its cost by $65 million, thereby bringing the total reduction to $390 million out of $725 million targeted from the North American business.

Moreover, the company is leaving no stone unturned in wooing consumers and garnering incremental revenues, as evident from the strategic initiative of opening "Samsung Experience Shops" within its stores.

Best Buy also completed the divestment of its 50% stake in Best Buy Europe to the latter’s joint venture partner, Carphone Warehouse Group. The move will help the company to concentrate more on its U.S. operations, which have been facing stiff competition from industry bellwethers such as Wal-Mart Stores Inc. (WMT - Analyst Report) and Amazon.com Inc. (AMZN - Analyst Report). We believe that the company’s step of offloading its stake in Best Buy Europe will augment its return on capital employed.

Alongside, Hess Corporation (HES - Analyst Report) achieved a new 52-week high of $77.05 on Aug 28, 2013.

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