Best Buy's (NYSE: BBY) first-quarter earnings report was no blowout, but value-minded investors should give the electronics retailer props nonetheless.

First-quarter net income decreased 12.3%, to $136 million, or $0.35 per share. Revenue increased 1.4%, to $10.94 billion, and same-store sales dropped 1.7% (versus last year's 2.8% comps increase). Still, Best Buy's earnings beat analysts' estimates, lending a more positive halo to the company's results.

Best Buy reported particular strength in mobile phone sales, with 28% comps growth in that area. Before investors get too excited, however, they should remember that the mobile phone market can be cyclical. Rival RadioShack (NYSE: RSH) leans heavily on that segment, and it's often reported choppy results over the years as different phones cycle in and out of fashion.

Electronics retailers in general face a tough competitive market; Best Buy contends not only with companies like RadioShack, Conn's (Nasdaq: CONN), and hhgregg, but also with big-box, general interest discount retailers that also peddle electronics, like Wal-Mart (NYSE: WMT), Costco (Nasdaq: COST), and Target (NYSE: TGT).

Best Buy's still a formidable contender in the electronics market, and I prefer its long-term outlook to weaker competitors like RadioShack (which reported a 30% quarterly profit decrease in April) and Conn's (which recently reported that its quarterly profit plunged and revenue decreased).

In other words, Best Buy's not likely to pull a Circuit City, and recent negativity has plunged Best Buy's shares into the bargain bin, trading at just 9 times this year's earnings. That's cheaper than big-box stocks like Wal-Mart, Target, and Costco right now. It's also cheaper than Conn's, a far weaker electronics retailer that still trades at 14 times this year's earnings.

The economy remains difficult, and even giants like Wal-Mart have delievered sluggish results. As many retailers start focusing on smaller locations, big-box stores' best days may be over. Still, Best Buy's got a great brand and cheap shares, and it deserves a lot more deference from investors.

The Motley Fool owns shares of Best Buy, RadioShack, Costco, and Wal-Mart. Motley Fool newsletter services have recommended buying shares of Wal-Mart, HHGregg, Costco, and Best Buy. Motley Fool newsletter services have recommended creating a diagonal call position in Wal-Mart. Try any of our Foolish newsletter services free for 30 days.

Alyce Lomax does not own shares of any of the companies mentioned. For more on this and other topics, check back at, or follow her on Twitter: @AlyceLomax. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.