Best Buy Set to Top Second-Quarter Comparable Sales Views Amid Positive Credit Card Data, Wedbush Says

03:38 PM EDT, 08/24/2026 (MT Newswires) -- Best Buy (BBY) is poised to surpass expectations for its fiscal second-quarter comparable sales amid positive credit card data and other key indicators, Wedbush Securities said Monday. The brokerage raised its enterprise comparable sales growth estimate for the electronics retailer to 2.4% from 1% for the quarter. Wall Street is projecting an increase of 1.8%, Wedbush said in a note to clients. The brokerage expects second-quarter earnings of $1.38 a share on sales of $9.51 billion. Analysts polled by FactSet are looking for non-GAAP EPS of $1.38 on sales of $9.6 billion. Credit card data indicate a "milder" sequential slowdown than the roughly 900-basis-point implied by guidance, consistent with domestic comparable sales up about 2% in the quarter, Wedbush analysts, including Matthew McCartney, said. The brokerage's monthly regression of Bloomberg Second Measure card spend indicates comps growth of up to 3%, according to the note. "Supplier read-throughs again show strong mobile and computing demand, with Apple (AAPL) posting June-quarter records for iPhone and Mac," the analysts wrote. "We also see some potential improvement in TV demand tied to the World Cup, based on Samsung commentary." The brokerage raised its price target on the Best Buy stock to $85 from $75 while maintaining its neutral rating. The company's shares were up 1.9% in Monday late-afternoon trade, bringing its year-to-date gains to 31%. Best Buy is scheduled to report second-quarter results Thursday. "Forward guidance is the larger variable," Wedbush said. Any potential second-quarter beat is unlikely to be fully reflected in the company's guidance due to recent management changes, consumer pressure from higher computing prices, and expected promotional intensity tied to tariff refunds, according to the note. Best Buy recently appointed Anne Bramman as chief financial officer, ahead of incoming Chief Executive Jason Bonfig, who will assume the role from Corie Barry Nov. 1. "Beyond (the second quarter), we see building headwinds: chip supply constraining computing availability, a '100-year flood' in memory pricing already lifting iPad/Mac prices and pushing out (do-it-yourself personal computer) builds, and rising promotional intensity into (second half)," Wedbush said. Earlier this month, Truist Securities said Best Buy was seeing improving sales momentum amid factors such as continued replacement demand and emerging mini-product cycles. Last week, retail giant Walmart (WMT) issued a soft earnings outlook for the ongoing three-month period after its fiscal second-quarter US comparable sales growth decelerated more than the Street's expectations. Price: 87.77, Change: +1.88, Percent Change: +2.18