Where Will Best Buy Be in 1 Year?

From the market high on February 20 to the market low one month later, shares of the S&P 500 fell 35%, and Best Buy (NYSE: BBY) stock fell 45%. That's not exactly the kind of performance you'd expect to see at the nation's best-known brick-and-mortar electronics retailer.

It was an especially steep fall-off given what we learned last week -- that even as the economy collapsed into recession, Best Buy retained more than 80% of its sales from the previous year. As nearly 100% of the U.S. population was subjected to the Great Lockdown, a combination of online sales and curbside service held Best Buy's sales decline less than 20%.

Thanks in part to Best Buy's quick thinking, and its role as an "essential" supplier of the electronics needed for many employees to work from home, shares of the big box electronics store rebounded strongly, and Best Buy stock has bounced 52% off of its March lows. Will this recovery continue? Will Best Buy shares continue to climb? That depends very much on what Best Buy, the business, will look like a year from now.

Source Fool.com