Best Buy (NYSE:BBY) said Tuesday that its fiscal second-quarter profit dropped 30%. The No. 1 U.S. electronics retailer was hurt by increased promotions and falling sales of televisions, digital cameras and video games.
Shares closed down 6.45% to $23.35. The company currently sports a Price to Earnings (P/E) ratio of about 7.6 which is lower than its peers. The company also trades at a sales multiple of 0.2 which is lower than its industry. On the technical front shares trade well below their declining 50 day and 200 day moving averages. The MACD is bullish while RSI is pointing down at 40.
“I’d like to thank our employees around the world for continuing to provide a great experience for our customers,” said Brian J. Dunn, CEO of Best Buy (NYSE:BBY). “While results in the second quarter and our outlook reflect continued macro challenges to overall consumer spending and lower consumer electronics industry sales, we have made good progress on our key strategic focus areas in this environment. Looking forward to the important holiday season, I believe Best Buy is well positioned to bring the benefits of our multi-channel model to our customers and shareholders.”