Best Buy Co Inc (NYSE:BBY) announced that its board of directors has appointed chief customer, product and fulfillment officer Jason Bonfig as the company’s next CEO, succeeding Corie Barry later this year.
The leadership transition will take effect at the end of the third quarter on October 31, when Barry steps down from her roles as CEO and board member. Bonfig will also join the board at that time.
Barry, who has served as CEO since 2019, will remain a strategic advisor for six months after stepping down to support the transition. Bonfig will become the sixth CEO in Best Buy’s 60-year history.
Bonfig has been with Best Buy since 1999 and currently oversees key areas of the business, including merchandising, e-commerce, marketing, supply chain, Best Buy Canada, and Best Buy Ads.
He has also played a central role in launching the company’s US online marketplace and expanding its retail media network, both of which are important components of Best Buy’s growth strategy.
Jefferies analysts described the move as a “leadership transition as profit engines are just beginning to hum,” and reiterated a ‘Buy’ rating on the stock.
They noted that Bonfig’s long tenure at Best Buy and cross-functional responsibilities over nearly 27 years should enable what they view as a “seamless transition.”
The overlap period between Barry and Bonfig, along with Barry’s six-month advisory role, should help ensure continuity during the leadership change, Jefferies added.
The analysts also called the appointment a “thoughtful” decision by the Board, pointing to Barry’s role in directing capital toward emerging growth areas such as retail media and the company’s marketplace business, and Bonfig’s direct oversight of those initiatives.
Jefferies highlighted that Best Buy Ads is generating about $900 million annually, and the company’s recently launched third-party marketplace reached roughly $300 million in domestic gross merchandise value in its latest quarter. The firm added that no update was provided on near-term trends or financial guidance alongside the announcement, interpreting this as an effort to keep investor focus on the leadership transition rather than quarterly performance.
Shares of Best Buy were down 4.5% on Wednesday morning.