BBY - Embedded Expectations Analysis - 2018 08 10
Best Buy Co., (BBY:USA) is currently trading near historical highs relative to UAFRS-based (Uniform) Earnings, with a 17.6x Uniform P/E, implying somewhat bullish expectations for the firm. However, management has concerns about their investments, and specifically in the Best Buy 2020 initiativeSpecifically, management appears to lack confidence in their ability to improve the customer experience through continued investments, and in the uniqueness of their in-store and online customer experience. Furthermore, they appear to lack confidence in their Best Buy 2020 initiative, specifically regarding their investments in human capital. Moreover, they may lack confidence in their ability to meet Q2 guidance that reflects their expectations for continued momentum
Best Buy provides computing and mobile phones, consumer electronics, appliances, entertainment, services and other products. The company operates two reportable segments: Domestic, which is comprised of the operations in all states, districts and territories of the U.S. under various brand names including Best Buy, bestbuy.com, Best Buy Direct, Best Buy Express, Best Buy Mobile, Geek Squad, GreatCall, Magnolia and Pacific Kitchen and Home; and International, which is comprised of all operations in Canada and Mexico under the brand names Best Buy, Best Buy Express, Best Buy Mobile, Geek Squad and the domain names bestbuy.ca and bestbuy.com.mx.
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