Best Buy Co
The world's largest consumer electronics chain said on Friday that sales at stores open at least 14 months fell 0.4 percent at its U.S. unit, while they slipped 4.3 percent internationally on weakness in Canada and Europe.
While the international same-store sales number missed most analyst expectations, many such as David Strasser at Janney Capital Markets and Anthony Chukumba at BB&T Capital Markets said they were happy with Best Buy's domestic performance, especially since they believe the chain gained market share in the United States during the key selling season.
It does appear that Best Buy, at least from a brick-and-mortar perspective, picked up market share in December, Chukumba said, pointing to weak performance in the consumer electronics sector by Costco Wholesale
It is good enough from my perspective, Chukumba said. I am just happy they are going to make (profit numbers for) the quarter.
Strasser said Best Buy's appliance business gained share from the likes of Sears Holdings
Demand was strong for tablets, mobile phones and e-readers, while gaming products and televisions had fewer takers.
The news boosted the retailer's shares by 0.3 percent to $23.50 on Friday. It came less than a month after its third-quarter profit missed Wall Street estimates as bigger discounts at the start of the key holiday selling season ate into profit.
On Friday, Best Buy still reaffirmed its outlook for the current financial year calling for earnings of $3.35-$3.65 a share, including share repurchases, but excluding items.
(Reporting By Dhanya Skariachan; Editing by Gerald E. McCormick)