Best Buy Under Pressure after Poor RadioShack Earnings
Shares of electronics-retailer Best Buy (NYSE: BBY) are seeing some pressure during Tuesday's trading session. The move can be a sympathy trade with RadioShack (NYSE: RSH) after RadioShack announced preliminary fourth quarter results which did not meet analysts' estimates.
RadioShack announced yesterday they expect earnings per share to be in a range between $0.11 to $0.13, which compares to current analysts' consensus EPS estimates of $0.37. Revenues are expected to be $1.39 billion, which is above current consensus revenue estimates of $1.35 billion. Comparable store sales for company-operated stores is expected to increase around 2% for Q4.
Best Buy operates in a similar market as RadioShack, so investors are being cautious with Best Buy after RadioShack missed its quarter and lowered guidance.
Currently, shares of Best Buy are trading down about 5% at $24.04.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.