Best Buy Cuts Guidance

Best Buy (NASDAQ:BBY) on Thursday missed quarterly revenue expectations and cut its full-year sales and profit guidance as higher tariffs increase the costs of many consumer electronics that it sells.For its fiscal 2026, the retailer said it now expects $41.1 billion to $41.9 billion of revenue, down from its previous range of $41.4 billion to $42.2 billion. It said it expects adjusted earnings per share to range from $6.15 to $6.30, which compares to prior guidance of $6.20 to $6.60.In a news release, CFO Matt Bilunas said the company’s outlook anticipates that tariffs will stay at the current levels and there will be “no material change in consumer behavior from the trends we have seen in recent quarters.”“As you can imagine, and based on our history, we will continue to scenario-plan and adjust with agility as the situation evolves,” he said.First-quarter earnings reports have highlighted just how disruptive Trump’s ever evolving trade policy has been to many U.S. companies that rely on a global supply chain. Best Buy joins other companies like Abercrombie & Fitch (NYSE:AFN) and Macy’s (NYSE:M) in cutting its profit outlook this week due to tariffs. Other businesses, such as E.l.f. Beauty, have declined to provide full-year guidance because of the levies. BBY shares plummeted $5.48, or 7.7%, to $66.04.