04:10 PM EDT, 08/28/2025 (MT Newswires) -- Best Buy ( BBY ) faces additional risks tied to import duties, Truist Securities said on Thursday after the electronics retailer flagged tariffs-related uncertainty in the second half of the year as it maintained its annual outlook.

For its fiscal 2026, Best Buy ( BBY ) continues to expect adjusted earnings of $6.15 to $6.30 a share on revenue of $41.1 billion to $41.9 billion. Analysts polled by FactSet are looking for $6.16 and $41.37 billion, respectively. The company reiterated its full-year comparable sales outlook indicating a 1% drop to 1% gain. The Street is modeling a flat print.

"Given the uncertainty of potential tariff impacts in the back half, both on consumers overall as well as our business, we feel it is prudent to maintain the annual guidance we provided last quarter," Chief Financial Officer Matt Bilunas said in a statement. "At this point, we do believe we are trending toward the higher end of our sales range."

Best Buy ( BBY ) shares declined 3.7% on Thursday. The stock has lost about 15% in value so far this year.

Truist said that Best Buy's ( BBY ) "high import mix and the elasticity tied to a heavy discretionary offering" make it one of the brokerage's most exposed retailers to tariff headwinds.

"As a result, we think there is still additional sales/earnings risk tied to tariffs," Truist Managing Director Scot Ciccarelli said in a note to clients.

Although tariff rates have increased since May, the projected impact of higher rates still falls within its previous outlook range, Bilunas said on an earnings conference call, according to a FactSet transcript.

Best Buy's ( BBY ) fiscal second-quarter adjusted EPS fell to $1.28 from $1.34 a year earlier, but exceeded the $1.21 consensus estimate. Revenue rose to $9.44 billion from $9.29 billion, topping analysts' $9.23 billion view. Comparable sales were up 1.6%, while analysts projected a 0.5% drop.

"Our sales growth momentum has continued into August driven by strong customer response to our back-to-school sales events," Chief Executive Corie Barry said in the statement.

Domestic revenue rose 0.9% to $8.70 billion in the second quarter, while international sales grew 11% to $740 million. Best Buy ( BBY ) said it incurred $114 million of charges in the second quarter tied to "an enterprise-wide restructuring initiative" that began during the three-month period.

For the ongoing quarter, the company expect comparable sales growth to be "similar to what we just delivered" in the second quarter, Bilunas said.

Price: 72.83, Change: -2.62, Percent Change: -3.47