Reuters Insider - Best Buy profit beats estimates

Capital Partners SA w likwidacji

23/08/2016 23:14

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 https://insider.thomsonreuters.com/link.html?cn=share&cid=1667242&shareToken=MzpjMGQ1N2M5Ni03ZDg2LTQyODItOTkzOC05MjEzZmIwNWEyN2Q%3D&playerName=ReutersNews 
                                                                       
 Source:             Thomson Reuters                                   
                                                                       
 Description:        Best Buy stock soars on much higher-than-expected 
                     quarterly profit and raised outlook. Bobbi Rebell 
                     reports.                                          
 
 
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Transcript (May be auto-generated)

                 Best Buy shares got a jolt on Tuesday after the largest US electronics retailer 
reported a much higher than expected quarterly profits and raised its earnings 
outlook. Online sales were helped by faster shipping and an improvement in the 
checkout process and better search. And sales at established stores beat 
analysts' predictions. Big sellers included smartwatches, home theater systems, 
appliances, and computing products; not so hot, mobile phones and gaming. Mike 
Bailey, Director of Research at FBB Capital Partners: It is pretty surprising. I
think a lot of investors really did not anticipate any meaningful bounce out of 
Best Buy. This one has been sort of a deep value name that's sort of gone up and
down. We've seen them do a meaningful restructuring. I think a lot of investors 
really thought that that part of the story was over - we wouldn't see any 
meaningful beats or raises coming out of the company – so, it is a bit 
surprising. Bailey adds Best Buy still has challenges including rival Amazon; 
the retailer's results were in contrast to weak performances in the electronics 
categories by competitors including Target and Wal-Mart stores