(Bloomberg) -- Best Buy Co. said shoppers will remain constrained by inflation this year as it forecast that annual sales could be little changed. 

Comparable sales will be in a range of flat to up 2% this year, the company said Tuesday. Wall Street expected a gain of 1.4% on average. The retailer is coming off three straight years of revenue declines. 

Best Buy’s shares fell about 2% in trading before US markets opened. Through Monday, the stock had gained just over 1% this year.

The retailer has struggled since the pandemic when shoppers splurged on home offices and built out their entertainment centers. But that’s faded, and the tech industry hasn’t come out with a hit product to lure the masses back in a way that will change the retailer’s trajectory.

Best Buy sees shoppers “remaining resilient but still dealing with high inflation that is driving expenses up across their lives, making them value focused and thoughtful about big ticket purchases,” Chief Financial Officer Matt Bilunas said in the earnings press release.

Trump Tariffs

Best Buy’s outlook for this year doesn’t include the impact of President Donald Trump’s tariffs. His plan includes raising levies on China, a big supplier of electronics. The retailer has said consumers may bear some of those costs.

In November, the retailer warned that demand was sluggish for the holiday season and trimmed its full-year guidance for sales and earnings.

But the company surprised investors last quarter by beating analysts’ expectations. Comparable sales rose 0.5%, topping an average estimate calling for a decline of 1.4%.

The retailer pointed to consumer interest in computing, tablets and services boosting results amid declines in appliances, home theater equipment and gaming.

(Updates starting in third paragraph.)

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