Best Buy (NYSE: BBY) stock trailed the market last month, shedding 17% compared to a 2% decrease in the S&P 500, according to data provided by S&P Global Market Intelligence.
The decline wasn't enough to knock shares from their wider 2019 gains, with returns still surpassing 20% so far this year.
Image source: Getty Images.
Investors pushed shares lower in August in response to a mixed second-quarter earnings report. The consumer discretionary retailer announced growth near the low end of management's expectation but saw profitability edge higher. Yet investors were more concerned with comments from executives that suggested weakening demand heading into the back half of the fiscal year.
CEO Corie Barry and her team noted rising uncertainty about buying behavior in the coming months given rapidly changing tariff expectations. These issues might pressure sales this fiscal year, but are likely to resolve themselves into 2020 as the company works to preserve the positive momentum it has built up around key product niches like consumer electronics and appliance sales.
More From The Motley Fool
- 10 Best Stocks to Buy Today
- The $16,728 Social Security Bonus You Cannot Afford to Miss
- 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own)
- What Is an ETF?
- 5 Recession-Proof Stocks
- How to Beat the Market
This article was originally published on Fool.com