Best Buy - The Worst Earnings Call I Have Ever Heard!!!

Discussion in 'Stocks' started by retaildaytrader, Dec 14, 2010.

  1. not in disagreement with u of online vs b&m retailers. but....

    don't know how old you are, but to defacto classify the average (or prevailing) American consumer as a 'savvy shopper'?!?!? lol. to quote from Tommy Boy:

    "What the American public doesn't know is what makes them the American public"
     
    #11     Dec 14, 2010
  2. Bob111

    Bob111

    in current and future enviroment they will be forced to learn basic math :p
     
    #12     Dec 14, 2010
  3. Why? what did you hear? how did you draw your conclusion?
     
    #13     Dec 14, 2010
  4. mogul

    mogul

    That would be the a logical next step in retail evolution, but how does it account for stores e.g. Apple that keep popping up in more and more places (and expensive locales often with significant development costs).

    Apple may be a niche player, but if they are able to turn out a profit with opening new stores, maybe the answer is a return to smaller specialty shops that provide something extra for those that shop there to justify higher prices (sure Apple's prices are the same online).
     
    #14     Dec 14, 2010
  5. #15     Dec 14, 2010
  6. Apple stores are significantly smaller than Best Buy stores. And Apple stores sell Apple products which have significant markups. They also have less employees and operational costs.

    Best Buy has to sell products built by other companies and for razor thin margins. They expect to make money in the 50 dollar cables and extended warranties.


    Best Buy also does poorly when people have no more equity to take out of their McMansions or are tapped out credit wise.
     
    #16     Dec 14, 2010
  7. opened small position of 10x atm strangle day before, woke up to a nice surprise. going to try again on oracle thurs, seems overbought.

    + BOT 10 BBY false DEC 17 '10 43 Call Option .970 DEC 13 15:21:43 7.14 -967.14 null
    + SLD 10 BBY false DEC 17 '10 42 Put Option 6.204 10:17:05 8.56 4910.81 null
     
    #17     Dec 14, 2010