Best Buy at the bottom?
Shares of Best Buy Co. (BBY) were trading early this week around $22 per share—a 52-week low for the stock. The stock had traded as high as $32.85 (in July 2011) in the past 12 months.
But it’s been a rough couple of weeks for the retailer, so there might be better days ahead for bold investors.
At the beginning of March, the company reported same-store sales dropped 2.4 percent in the quarter that included the 2011 holiday season.
Then, the company announced on March 29 it would close 50 stores nationwide, and soon began notifying locations of their closures.
On top of that, on April 10, Best Buy CEO Brian Dunn suddenly resigned during an investigation into allegations of personal misconduct.
But, to some, the thinking could be, with a new CEO and a plan to focus on its stable stores, Best Buy can bounce back and adapt to consumers’ evolving purchasing habits.
Best Buy, right now, could be a good buy.
Andrew Cannarsa has been writing professionally for almost 10 years, first as a crime and safety reporter at a community daily newspaper outside Philadelphia, and then as a business reporter at Baltimore Examiner. He graduated with a journalism degree from Boston University in 2005. Follow him on Twitter @cannarsa.