Boston, MA 09/24/2013 (wallstreetpr) – Best Buy Co Inc (NYSE: BBY) has announced that it will pay dividend of $0.17 per share to its share holders on record as of September. The dividend will be paid out on October 1, 2013. As of close of business on September 23, the company shares were trading at $39.89, representing a 1.54% increase on its previous day close.
Barclays BUY placement fuels price jump for BBY
According to analysts at Barclays, BBY, is expected to grow faster, considering that it is looking at costing cutting, innovate on optimizing sales/floor spaces at existing stores. The raise in EPS has seen a 66 cent increase in per share for BBY.
Innovating store spaces
In the recent months, Best Buy has been on a tough route to revamping sales and better utilization of its current store spaces. This spree is largely focused on stores that are under performing and is also viewed as a strategy to overcome the stiff competition, most of the online stores are currently offering BBY.
The present CEO, Huber Joly, looks to have got this right: an innovative price-match program, optimized the store for better manufacturer presence. Apple and Samsung have been in the immediate beneficiaries of these new strategies. Joly has also invested in employee training which is showing better results with each new sales day.
Best Buy has also worked around on its store spaces to be more manufacture-friendly; when at the same time it has chosen to optimize its website for optimized sales. In fact, in the last quarter, the company has shown an improvement due to cost lowering.
Analysts are optimistic that if the company remains in focus on the current restructuring, it is likely to beat its $725 million benchmark it has set for itself.
Best Buy stock has been range bound between $11.20 to $39.28 in the 52-week trading period
