That uptick added to a significant rally for shares so far this year, which are up nearly 30%.
Investors found plenty to celebrate in the retailer's second quarter earnings report. Sales trends trounced expectations, even managing to accelerate year over year despite COVID-19 challenges. Best Buy benefited from surging demand for home appliances and consumer electronics as incomes swelled thanks to federal stimulus payments. Its robust multi-channel selling platform was an asset in an overall strong quarter, too.
Those successes have investors feeling confident that Best Buy will have a solid second half of 2020, even though CEO Corie Barry and his team have declined to issue a short-term outlook. Consumer shopping behavior is volatile, and there are major questions about the path of the COVID-19 virus and overall economic conditions heading into the holidays.
Yet Best Buy has demonstrated that it is well positioned to navigate through the pandemic without sacrificing much in the way of sales or earnings potential. Investors have responded by bidding the retailing stock up toward new highs.