24/7 Insights
- Amazon has threatened Best Buy Co. Inc. (NYSE: BBY) revenues for over a decade.
Best Buy Co. Inc. (NYSE: BBY) shares recently jumped significantly. In the most recently reported earnings, per-share earnings topped analyst expectations at $1.20. However, revenue fell short of expectations, coming in at $8.85 billion against the consensus estimate of $8.97 billion. It is hard to celebrate the results of a company with revenue challenges. Best Buy is a good dividend stock.
After the recent jump, Best Buy shares are up 14% in the past year, compared to the S&P 500 at 25%. The stock of nemesis Amazon.com Inc. (NASDAQ: AMZN) is up 45% during the same period.
Amazon has threatened Best Buy’s revenues for over a decade. Millions of shoppers found it easier to purchase consumer electronics online. Even with Bestbuy.com’s success, its breadth is far short of Amazon’s.
Amazon sells much more than electronics, and its reach is massive. Its North American revenue in the most recent quarter was $86.34 billion, compared with $76.88 in the year-ago period.
Among Best Buy’s primary disadvantages is that it has 1,051 stores in the United States. This carries rent, personnel, and, more recently, the theft that has troubled all major retailers.
Best Buy is not alone. For years, Amazon has been viewed as taking sales from every major retailer in the country. This has injured several of these stock prices, and Best Buy is no exception.
Millennials’ Favorite Consumer Electronics Brands: Ranked
∴
The Average American Is Losing Their Savings Every Day (Sponsor)
If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4% today, and inflation is much higher. Checking accounts are even worse.
Every day you don’t move to a high-yield savings account that beats inflation, you lose more and more value.
But there is good news. To win qualified customers, some accounts are paying 9-10x this national average. That’s an incredible way to keep your money safe, and get paid at the same time. Our top pick for high yield savings accounts includes other one time cash bonuses, and is FDIC insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes and your money could be working for you.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
