Wal-Mart Stores, Inc. (WMT), Target Corporation (TGT): Brick and Mortar Stores May See a Comeback

The company isn’t focused on building new stores or the expansion of stores. Instead, it wants to make its current stores more productive and profitable. The year ahead will see some challenges for the company, though. The holiday quarter brought a same-store sales decline of 8.3%. This should be the highest growth quarter for electronics retailer.

Final thoughts

Specialty electronics retailers are still going to see challenges with sales because of online retailers like Amazon.com, Inc. (NASDAQ:AMZN). One competitive advantage that Amazon lost is that roughly 50% of U.S. customers will now have to pay sales tax on online purchases. Consumers have fewer reasons to buy online now. They will have to pay sales tax and stores like Best Buy Co., Inc. (NYSE:BBY) offer price-match guarantees, so they can get the product at the same price in store.

Best Buy Co., Inc. (NYSE:BBY) may be on the cusp of a turnaround if it can continue to make strategic moves to get more customers in the store. The partnership with Samsung and the price-match guarantee are great starts. The plan to close stores to save money is also a smart move for now.

CONN’S, Inc. (NASDAQ:CONN) looks like a buy. It has been showing strong signs of growth and has potential this year. Investors have already brought the price up but if the projected 20% growth continues this year, the stock value will rise. HH Greg doesn’t have the strength in the last few quarters to bring the growth it needs this year. The stock will likely fall, so stay away from it.

Austin Higgins has no position in any stocks mentioned. He is the Principal Consultant for Avant Venture Group and focuses on building businesses through innovation, growth and investment. Read his company’s blog at BuildInvestGrow.com and follow him on Twitter @Austin_Higgins.

The Motley Fool recommends hhgregg.