Best Buy shares jumped up 9 percent today to nearly $30.
The price surge came after one investment firm said it expects the retailer's stock could top $40 a share. Analysts at Credit Suisse believe that Best Buy's new approach to serving customers online and in stores will help it increase earnings.
Retail consultant Howard Davidowitz says the perception of the retailer has changed dramatically, as it has responded to pricing and other competitive challenges and established partnerships with Samsung and Microsoft.
"If you look at the things they've done over the last eight or nine months, all right there are an awful lot of positives," Davidowitz said. "I think they've taken a lot of steps that look awfully positive to Wall Street."
Best Buy is also the only remaining power player among traditional consumer electronics retailers, Davidowitz said. The others are gone or struggling. Best Buy's stock has more than doubled since the start of this year.
"It looks like they've taken a lot of very good steps to solidify their position. My own view is the book is totally still out," Davidowitz said. "I think the market is ahead of itself. But I do agree Best Buy has taken a lot of good steps."