Amazon.com, Inc. (AMZN), Microsoft Corporation (MSFT): Best Buy Co., Inc. (BBY) Has a Lot to Prove Tomorrow

Amazon.com, Inc. (NASDAQ:AMZN) taught the market that a company doesn’t need to be expanding profitability to be growing, and that seems to be the lesson here with Best Buy.

The deals with Samsung and Microsoft Corporation (NASDAQ:MSFT) have also been applauded by Wall Street. As books, CDs, DVDs, and video games go digital, Best Buy has a lot of excess space in its stores. Having the world’s leading smartphone maker and software company setting up shop within its stores is cheaper than either Samsung or Microsoft Corporation (NASDAQ:MSFT) opening up stand-alone mall shops that will go largely unnoticed (though Mr. Softy’s trying to change that). Samsung and Microsoft Corporation (NASDAQ:MSFT) can also make the most of Best Buy’s traffic.

We’ll naturally get updates on how those concepts are playing out since this will be the first full quarter of operations since those stores started to open.

Having the stock more than double heading into this report still makes Best Buy Co., Inc. (NYSE:BBY) a risky bet to sell off on the news, but between Joly’s turnaround strategy and a gradually improving economy, the actual report may not be as gloomy as the numbers suggest.

The article Best Buy Has a Lot to Prove Tomorrow 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. The Motley Fool owns shares of Amazon.com and Microsoft.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.