Best Buy Co Inc (BBY): Today's Featured Retail Straggler

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Best Buy ( BBY) pushed the Retail industry lower today making it today's featured Retail laggard. The industry as a whole closed the day up 0.3%. By the end of trading, Best Buy fell 50 cents (-2.2%) to $22.70 on average volume. Throughout the day, 8.8 million shares of Best Buy exchanged hands as compared to its average daily volume of 11 million shares. The stock ranged in price between $22.27-$23.24 after having opened the day at $23.10 as compared to the previous trading day's close of $23.20. Other companies within the Retail industry that declined today were: Gordman's Stores ( GMAN), down 15.3%, U.S. Auto Parts Network ( PRTS), down 12.8%, Citi Trends ( CTRN), down 5%, and RadioShack ( RSH), down 4%.
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Best Buy Co., Inc. operates as a retailer of consumer electronics, computing and mobile phone products, entertainment products, appliances, and related services primarily in the United States, Europe, Canada, and China. Best Buy has a market cap of $7.7 billion and is part of the services sector. The company has a P/E ratio of 8.7, below the S&P 500 P/E ratio of 17.7. Shares are up 95.8% year to date as of the close of trading on Monday. Currently there are eight analysts that rate Best Buy a buy, two analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Best Buy as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, poor profit margins, weak operating cash flow and generally high debt management risk.

On the positive front, Destination XL Group ( DXLG), up 34.1%, Casual Male Retail Group ( CMRG), up 34.1%, China Jo-Jo Drugstores ( CJJD), up 7.9%, and GameStop ( GME), up 3.9%, were all gainers within the retail industry with Amazon.com ( AMZN) being today's featured retail industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the retail industry could consider SPDR S&P Retail ETF ( XRT) while those bearish on the retail industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

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