Why Best Buy Stock Unplugged Today
Shares of Best Buy (NYSE: BBY) plunged on Tuesday, following a robust earnings report with a side of worrisome management comments. The stock price dropped by as much as 15.9% in the morning session, recovering to a 13.2% loss by 1 p.m. ET.
In the fourth quarter of fiscal year 2025, Best Buy's sales fell 4.8% year over year to $13.9 billion. To be fair, this reporting period was a standard-sized quarter with 13 weeks, down from 14 weeks in the year-ago period. This amounts to a 7.1% shorter quarter, more than explaining the lower revenues.
Adjusted earnings shrank 5.1% over the same period, landing at $2.58 per diluted share. Again, this should have been a modest increase if the two reporting periods had been the same length.
Source Fool.com
