This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

[video] Why Best Buy (BBY) Is Plummeting Today

Update (4:07 p.m. EST): Updated with closing price, day high and low prices, price change and volume information.

NEW YORK ( TheStreet) --  Best Buy  (BBY - Get Report) plummeted 28.59% to $26.83, down $10.74 from its previous close of $37.57, at the close of the trading day on Thursday after the consumer electronics chain reported a decline in holiday sales and forecast a larger than expected drop in quarterly operating margins.

The stock had a volume of 81,305,068, more than 13.5 times its average volume of 6,011,740. It hit a high of $31.24 and a low of $25.05 for the day.

Best Buy's sales at stores open at least 14 months declined 0.9% in the United States, but increased 0.1% internationally, in the nine-week period that ended Jan. 4. Total revenue in that same period dropped 2.6% to $11.45 billion.

The Minneapolis-based company said competitors' discounts, limited supplies of tablets and phones and slow traffic in December accounted for the lackluster results. Best Buy slashed prices, offered free shipping on orders of more than $25, shipped directly from more than 400 stores and improved its website user interface in order to keep up with competitors, such as Wal-Mart  (WMT) and Amazon  (AMZN) in a holiday season filled with sales.

The company also expects operating margin excluding items to be 175 to 185 basis points lower in the fourth-quarter than compared to one year earlier.

Best Buy did report that domestic online revenue totaled $1.32 billion, while comparable online sales rose 23.5%.

Jim Cramer also weighed on Best Buy earlier today and suggested waiting until the second day of trading before buying.

BBY Chart

BBY data by YCharts

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
BBY $32.08 0.00%
AAPL $93.74 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%
TSLA $240.76 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs