Speaking to Benzinga, Forbes Real Estate Investor Editor Brad Thomas commented on an unconfirmed rumor that investor Carl Icahn took a stake in Best Buy Co Inc BBY and wanted to spinoff its real estate assets into a REIT.
Thomas said such a move would not surprise him with more retailers attempting to monetize real estate.
"The problem is Best Buy decided at the wrong end of the curve," if the rumor was true, according to Thomas, with its "life cycle on the way down."
Thomas noted that the company also leased much of its space and questioned how many owned-assets Best Buy actually held.
"To me, it's just more noise," as Thomas felt that such plans could be legitimate for Bob Evans Farms Inc BOBE and Dillard's, Inc. DDS, but wondered why Best Buy would make such a move "at the ninth inning."
Thomas concluded that he didn't see "Best Buy around much longer."
Best Buy recently traded at $41.69, up 0.14 percent.
Kevin Riley and Brianna Valleskey contributed to this report.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
