Its a good thing that Amazon ($AMZN) customers do not have to pay sales tax. How else would the etailer possibly keep up with the likes of Best Buy ($BBY) who continues to crush the ball like Roy Hobbs.
Just look at the numbers.
This morning, $BBY raised per share earnings guidance and will benefit from a 1.5 billion dollar buyback which will add up to a quarter to per share earnings! And if they are buying their own stock, there must be great value.
In addition, Best Buy CEO Brian Dunn had this to say on the conference call:
Best Buy is well positioned to bring the benefits of our multichannel model to our customers and shareholders…
So what’s not to like?
Meanwhile, Amazon is left with scraps and managing to stay afloat with paltry projected year over year revenue growth of 33% for all of 2012. What a mess.
Bezos & company are not only fulfilling their obligation to shareholders by aggressively fighting the payment of sales tax by out of state online retail customers, they are just trying to survive.
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