Best Buy Co. Inc (NYSE:BBY) & Wal-Mart Stores Inc (NYSE:WMT) Move Up Smartly
On Thursday, Best Buy Co., Inc (NYSE:BBY) shares trended upwards towards its 52-week high after it dipped over the week. The company has not really released any specific news but John Tomlinson, the ITG Investment –Analyst put forth a positive report on its sales. He had estimated that the company’s domestic same store sales will head upwards at least by 3-5%. This was way beyond the analyst projections of only 0.7%. He has attributed this sales-increase to a rise in the average purchase-sizes and there have been significantly strong-gains in the market-share for purchases, of more than $1,000.
The doomed joint venture
In the meantime, across the globe, Wal-Mart Stores, Inc (NYSE:WMT) decided to discontinue its 6-year joint-venture with Bharti Enterprise in India. The company will now buy out its entire stake at the wholesale cash-and-carry stores. This was a 50:50 joint-venture and the first wholesale store had been opened in 2009, in Amritsar. However, the venture had been fraught with numerous controversies and allegations right from the outset. There had been some bribery charges and FDI rule violations that had marred the picture and so the market was not too surprised that the joint venture was now coming to a close.
In Thursday’s trading, Best Buy Co., Inc (NYSE:BBY) rose by 7.56%. The opening price of the shares was $37.75, which climbed to an intraday high of $39.30 and dipped to a close of $39.00. Approximately 11.50 million shares were traded on Thursday while an average volume of 4.87 million shares were traded over a 30 day period.
In Thursday’s trading, Wal-Mart Stores, Inc (NYSE:WMT) rose by 2.45%. The opening price of the shares was $73.48, which climbed to an intraday high of $74.87 and dipped to a close of $74.79. Approximately 7.68 million shares were traded on Thursday while an average volume of 6.28 million shares were traded over a 30 day period.