Consumer electronics retailer Best Buy on Thursday beat Wall Street's estimates for its fiscal second quarter. It also raised its earnings forecast for the full year. BBY stock jumped on the news.
The Richfield, Minn.-based company earned an adjusted $1.34 a share on sales of $9.29 billion in the quarter ended Aug. 3. Analysts polled by FactSet had expected earnings of $1.16 a share on sales of $9.23 billion. On a year-over-year basis, Best Buy earnings increased 10% while sales declined 3%.
"We delivered strong results in our domestic tablet and computing categories, which together posted comparable sales growth of 6% vs. last year," Chief Executive Corie Barry said in a news release.
She added, "With our market position, expert sales associates and compelling merchandising, we capitalized on the demand driven by customers' desire to replace or upgrade their products combined with new innovation."
BBY Stock Pops After Report
On the stock market today, BBY stock rocketed 14.1% to close at 100.18.
With the advance, BBY stock broke out of a double-bottom base at a buy point of 90.57, according to IBD MarketSurge charts.
For its full fiscal year, Best Buy now expects to earn an adjusted $6.23 a share on sales of $41.6 billion. That's based on the midpoint of its guidance. It previously forecast adjusted earnings of $5.98 a share on sales of $41.95 billion.
In its fiscal 2024, ended Feb. 3, Best Buy earned an adjusted $6.37 a share on sales of $43.45 billion.
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