Amazon.com, Inc. (NASDAQ:AMZN) strikes again. Its a common theme in the market these days. Amazon does something, the whole market reacts. Because Amazon’s moves are often aggressive and encroach on other industries, the market reactions are often strongly negative. In this case, Best Buy Co Inc (NYSE:BBY) took it on the chin.

The sector getting killed this week by Amazon is retail (nothing new). As Prime Day drew closer, headline names like Target Corporation (NYSE:TGT) and Wal-Mart Stores Inc (NYSE:WMT) sold off in anticipation of Prime Day’s low prices winning customers over.

On Monday, BBY stock gave back more than 7%, falling to its lowest level since before its big first-quarter report in May. We’re now firmly into Prime Day and TGT stock and WMT are up 0.50% and 1%, respectively. Best Buy, however, is still in the red.

The reason? Amazon is rolling out its own Geek Squad. And that Geek Squad is aimed specifically at helping customers set up a smart home. Perhaps not so coincidentally, connected home devices has been one of Best Buy’s biggest growth segments recently.

But lets put this drop in context. BBY stock is up 75% over the past year. So this drop makes sense. Investors concerned about the Amazon threat are cashing out after a big run-up.

The drop, though, is also creating an opportunity for investors who missed out on that big run-up. This a classic “buy the dip” opportunity for BBY stock.

Here’s why.

Best Buy Is a Retail Survivor

During its 75% run-up over the past year, Best Buy has proven itself to be among a handful of retailers who can withstand the Amazon threat, and that is because Best Buy sells the sort of stuff people need to check out first.

Smart TVs, appliances, tablets, smartphones and laptops are the type of bigger ticket items that require a trip to Best Buy before purchasing. Even on some smaller ticket items, like wearable devices, many of those products are new technology. As such, customers feel much more comfortable learning about them before buying them.

From this perspective, Amazon’s new program does cut into Best Buy’s moat somewhat. But how much? Well, no one knows yet, but the market is acting like an answer is already certain. The reality is that the answer is far from certain. According to Recode, Amazon’s new program has rolled out in seven markets “without much fanfare.”

It is a gross overreaction that a program rolling out in just seven markets without much fanfare results in a 7% drop in America’s most recognizable consumer tech retailer.

Put simply, the market is reading far too much from too little here, and that’s creating a buying opportunity into BBY stock.

Amazon concerns aside, Best Buy’s business is booming due to a surge in consumer tech innovation. Moreover, these multiple tech innovation tailwinds have long runways.

The video game industry is being revolutionized by augmented and virtual reality. New AR/VR focused gaming systems released this year ensure that video game growth will be promising for many quarters to come. Watches and wearables keep getting smarter, as more and more competitors enter the space and overlap luxury design with optimal functionality.

Apple Inc.’s (NASDAQ:AAPL) recent numbers (Apple Watch sales nearly doubled year-over-year last quarter) imply that the smartwatch trend is just getting started. Appliances and other at-home products continue to get smarter, as items like fridges, light bulbs and thermostats are increasingly integrated with technology.

Considering Apple, Amazon, and Alphabet Inc (NASDAQ:GOOGL, NASDAQ:GOOG) have already made huge investments into this connected home space, this market also looks like it has a long runway for growth.

All in all, Best Buy’s growth story is as good as ever.

The BBY stock selloff is a gross overreaction caused by far too much speculation regarding a pilot program from Amazon. Secular connected home trends remain in Best Buy’s favor. This is a “buy the dip” opportunity in BBY stock.

As of this writing, Luke Lango was long BBY and AMZN.