Best Buy (BBY) CEO Corie Barry is stepping down to be replaced by the technology retailer’s Chief Customer, Product and Fulfillment Officer Jason Bonfig as it “urgently” seeks to accelerate its business.
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Bonfig is CEO Number 6
Best Buy said Barry would step down from her roles as CEO and Board member on October 31 this year after almost seven years leading the firm. She will remain as a strategic advisor for six months after she steps down.
Bonfig becomes only the company’s sixth CEO in its 60-year history. It said he and Barry would continue to work closely over the coming months to ensure a smooth transition.
“As a board, we are confident that Jason is the right leader to accelerate the business, with urgency and innovative ideas, and create meaningful growth for the company and its shareholders,” said David Kenny, Chair of the Best Buy Board of Directors. “Corie guided Best Buy with a confident and steady hand and an unrelenting commitment to drive value for our employees, customers, partners and shareholders through some of the most tumultuous and uncertain times we have ever seen.”
Stock and Sales Slide
Warm words, but the retailer’s stock price has slumped nearly 20% in the last 6 months and is up by only 5% in the last 12 months.
Its sales have also struggled. It recently revealed that revenue during the quarter declined by 1% to $13.81 billion, falling below analysts’ estimate of $13.88 billion.
Similarly, comparable sales fell by 0.8% from the year-ago quarter and only rose by 0.5% for the full fiscal year.
It has been hit by outside pressures such as President Trump’s tariff strategy, a slower housing market and the cost of living crisis. But there has also been some criticism that it is falling behind its peers. Indeed, Goldman Sachs (GS) retail analyst Kate MacShane said that Best Buy’s sales of appliances and other consumer electronics have lagged, even as competitors like Home Depot (HD) and Lowe’s (LOW) have posted stronger sales trends.
Bonfig’s Experience
Bonfig currently looks after areas including merchandising, e-commerce, marketing, supply chain, Best Buy Canada and Best Buy Ads, the company’s retail media network. Most recently, he led the creation of the company’s online Marketplace in the U.S. and the scaling of its Best Buy Ads business.
“I am deeply honored to take on this role. I look forward to working closely with our incredible teams as we lean on our values, culture and strategic advantages to grow our business and create exciting new opportunities for our company,” Bonfig said.
Is BBY a Good Stock to Buy Now?
On TipRanks, BBY has a Hold consensus based on 4 Buy, 7 Hold and 2 Sell ratings. Its highest price target is $90. BBY stock’s consensus price target is $72, implying an 8.12% upside.
