On Thursday morning, Best Buy reported that its holiday sales rose. However, the company noted that it does not expect sales to continue to improve.
Inside the News
Best Buy reported that its holiday sales rose 2.6% compared to last year. Although sales improved, the electronics retailer said that it is concerned about sales as 2015 continues. According to Best Buy, flat or single-digit declines are expected for the first half of the year as demand for electronics slows.
Tough Industry for Success
The retail electronics industry has been struggling for years due to tight margins and increased competition from companies like Amazon (AMZN). This news from Best Buy comes after an announcement that its competitor RadioShack (RSH) is expected to file for bankruptcy.
It is difficult to make a long-term bullish case for shares of Best Buy given the erratic sales trends we have seen.
Mutual Funds to Watch
The mutual funds below currently have the largest stakes in Best Buy.