Hesitant Consumers Hurt Best Buy Results

Best Buy (BBY) shares slumped 8% Tuesday greeting aft nan electronics retailer missed profit and income estimates and slashed its guidance arsenic consumers pulled backmost connected spending up of nan cardinal vacation shopping season.

Best Buy posted fiscal 2025 third-quarter earnings per stock (EPS) of $1.26, pinch gross falling much than 3% year-over-year to $9.45 billion. Analysts surveyed by Visible Alpha were looking for $1.29 and $9.63 billion, respectively.

Comparable shop sales fell 2.9%. Domestic comparable shop income slid 2.8%, dragged down by slowing purchases of appliances, location theater, and gaming items. International comparable shop income were down 3.7%, and online comparable shop income mislaid 1.0%.

CEO Attributes Results To 'Ongoing Macro Uncertainty, Customers Waiting for Deals'

Chief Executive Officer (CEO) Corie Barry said "a operation of nan ongoing macro uncertainty, customers waiting for deals and income events, and distraction during nan run-up to nan election, peculiarly successful non-essential categories, led to softer-than-expected demand" successful nan 2nd half of nan quarter.

The institution predicts full-year EPS of $6.10 to $6.25, compared pinch nan anterior outlook of $6.10 to $6.35. It sees gross of $41.1 cardinal to $41.5 billion, versus nan earlier $41.3 cardinal to $41.9 billion. It expects  comparable shop income will descend 2.5% to 3.5%, down from a 1.5% to 3.0% diminution previously.  

Despite today's tumble, shares of Best Buy are 9% higher year-to-date.