NEW YORK ( TheStreet) -- Best Buy's ( BBY) stock is cheap and likely to stay so as sales trends continue to erode according to Jefferies analyst Daniel Binder. Binder said in a report on Friday that he expects a disappointing second quarter from Best Buy and cut earnings estimates for the third quarter, 2011 and 2012 on concerns that consumer electronics sales will continue to weaken. Consumers have been shifting discretionary spending from consumer electronics to other categories, partly due to a lull in product supply but also because of declining consumer confidence. Target ( TGT) and BJ's ( BJ) said they missed their comparable-store sales estimates for June after consumer electronics sales weakened more than they expected. The market is looking forward to the back-to-school season for more clarity on the retailer's earnings outlook, but "the trend has not been our friend and we are increasingly concerned that Street estimates could prove too high," wrote Binder in his research note. Binder slashed the stock's price target to $36 from $50. The downgrade sent shares down 1.5% in Friday morning trading. -- Reported by Shanthi Venkataraman in New York.