Is Best Buy Co., Inc. (BBY) Worth Buying?

Do you fancy a little more doubt in your skepticism casserole? Well, let’s turn to how things will play out through the next few quarters. A few years ago, Best Buy would sell a ton of DVD players, video game consoles, and CD players during the holidays. Then shoppers would flock back to buy new media releases. Well, all of those categories are fading at Best Buy. Smartphones and tablets were the big positive drivers during the holidays. Once you buy any of those and get locked into those digital ecosystems, there’s no need to keep coming back to Best Buy.

Junk food
Tuesday’s report doesn’t have to be a disaster. An improving economy could help mask the downward spiral. However, investors are using a lot of poor judgment this year. RadioShack Corporation (NYSE:RSH) — which is in worse shape than Best Buy and has made an even bigger bet on mobile retail — has seen its stock nearly double in 2013, even though losses are widening and sales are shrinking.

So ask yourself why these seemingly hopeless consumer-electronics retailers are rallying. They will never return to what they used to be in this age of digital delivery. Performance isn’t really improving. Stock charts may not lie, but they are drawn by investors who sometimes don’t know any better.

Best Buy Co., Inc. (NYSE:BBY) stock will only break your heart in the end.

The article Best Buy Stock Will Only Break Your Heart originally appeared on Fool.com and is written by Rick Munarriz.

Longtime Fool contributor Rick Munarriz has no position in any stocks mentioned. The Motley Fool recommends Amazon.com and owns shares of Amazon.com and RadioShack.

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