NYSE: BBY
Best Buy
Market Cap
$16B
Today's Change
(-3.70%) $2.79
Current Price
$72.66
Price as of August 28, 2025 at 8:00 PM ET
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The company might face some challenges related to international trade in the coming months.
It's safe to say many investors felt that Best Buy (BBY 0.04%) stock wasn't an especially good buy on Thursday. Although the company posted second quarter of fiscal 2026 results that topped analyst estimates, it signaled that it remains vulnerable to the tariffs being imposed by the Trump administration.
As a result, its shares lost nearly 4% of their value that trading session, while the S&P 500 (SNPINDEX: ^GSPC) inched up by 0.3%.
Best Buy's revenue for the period was slightly under $9.44 billion, which was up from the nearly $9.29 billion in the same quarter of fiscal 2025. That improvement was on the back of a 1.6% year-over-year rise in comparable sales -- the company's highest growth rate in three years. This, in turn, was fueled by a relatively sharp (5%) increase in online commerce.
Image source: Getty Images.
However, net income on both a generally accepted accounting principles (GAAP) and non-GAAP (adjusted) basis went south during the quarter. Under the former standard, it was $186 million, well down from the $291 million of fiscal 2025's second frame. On an adjusted, per-share basis, it slid to $1.28 from $1.34.
At least Best Buy topped the consensus analyst estimates. On average, pundits tracking the retailer's stock were estimating it would book $9.23 billion in revenue, and a $1.22 per share figure for adjusted net income.
In the conference call discussing the quarter, company CEO Corie Barry intimated that the tariffs, which have affected pricing, are expected to remain an issue.
"Given the uncertainty of potential tariff impacts in the back half, both on consumers overall as well as our business, we feel it is prudent to maintain the annual guidance we provided last quarter," she said.
That guidance calls for revenue of $41.1 billion to $41.9 billion this fiscal year, and adjusted net income of $6.15 to $6.30. The consensus analyst top-line estimate is a touch over $41.4 billion, while that for adjusted profitability stands at $6.19.
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