Best Buy Becomes The Latest Retailer To Post Better-Than-Expected Quarterly Result
American retail giants have been posting better-than-expected quarterly results, and Best Buy has just joined the club.
Best Buy’s Earnings Surpass Analysts’ Estimate
Best Buy has become the latest American retailer to report excellent quarterly earnings results. The company announced its second fiscal quarter earnings earlier today, and its performance was beyond what Wall Street had expected.
Best Buy’s revenue for the second quarter of the year was $11.85 billion, surpassing the $11.49 billion that analysts had estimated. The net income surged by $734 million, or $2.90 per share, which is nearly twice the $432 million, or $1.65 per share it reported in the same quarter last year.
The company’s adjusted earnings for the second quarter were $2.98, which is significantly higher than the $1.85 expected by analysts surveyed by Refinitiv. Best Buy added that it expects revenue for the current fiscal year to be between $51 billion and $52 billion, while same-store sales growth could range from 9% to 11%.
In the current quarter, Best Buy predicts that it will generate between $11.4 billion and $11.6 billion, and its same-store sales could decline by 1-3%. CEO Corie Barry stated that “Over the longer term, we are fundamentally in a stronger position than we expected just two years ago. There has been a dramatic and structural increase in the need for technology.”
Best Buy is the latest US retail giant to post excellent quarterly earnings reports. Last week, Macy’s delivered its quarterly earnings report, and it was better-than-expected. Target and Walmart were the other two large retailers that reported excellent quarterly earnings reports last week.
Best Buy’s Stock Price Up By 10%
The shares of Best Buy are up by over 10% so far today, thanks to the massive earnings report the company presented. Currently, BBY is trading at $123 per share, making it one of the top performers in the market today.
Year-to-date, BBY is up by roughly 30%. The stock started 2021 trading at $98 per share but has surged by over 20% to currently trade at $123.