Best Buy Co., Inc. (NYSE:BBY) Given Consensus Rating of "Hold" by Analysts

Key Points

• Best Buy has a consensus analyst rating of “Hold” from 22 firms, with 14 holds, 6 buys and 2 sells; the average 1-year price target is $79.50.
• The company recently beat earnings and revenue estimates, reporting EPS of $1.28 on $8.94 billion in revenue, while raising its FY2027 guidance to 6.3–6.6 EPS.
• Insider activity has been notable, with Chairman Richard M. Schulze selling 224,705 shares and insiders selling over 1 million shares in the past three months; Best Buy also pays a $0.96 quarterly dividend yielding about 5.0%.

Shares of Best Buy Co., Inc. (NYSE:BBY - Get Free Report) have been assigned an average rating of "Hold" from the twenty-two research firms that are presently covering the company, MarketBeat.com reports. Two research analysts have rated the stock with a sell recommendation, fourteen have issued a hold recommendation and six have given a buy recommendation to the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $79.50.

Several brokerages have commented on BBY. BNP Paribas Exane raised their price objective on Best Buy from $74.00 to $76.00 and gave the company a "neutral" rating in a research report on Friday, May 29th. Guggenheim reaffirmed a "buy" rating and issued a $90.00 target price on shares of Best Buy in a research report on Friday, May 29th. UBS Group reiterated a "neutral" rating and issued a $86.00 price target (up from $85.00) on shares of Best Buy in a research note on Friday, May 29th. Truist Financial lifted their price target on shares of Best Buy from $66.00 to $81.00 and gave the company a "hold" rating in a research report on Friday, May 29th. Finally, Citigroup boosted their price objective on shares of Best Buy from $60.00 to $79.00 and gave the stock a "neutral" rating in a research note on Friday, May 29th.

Insider Buying and Selling

In other Best Buy news, Chairman Richard M. Schulze sold 224,705 shares of Best Buy stock in a transaction on Friday, June 26th. The stock was sold at an average price of $78.10, for a total transaction of $17,549,460.50. Following the completion of the transaction, the chairman owned 10,430,936 shares in the company, valued at approximately $814,656,101.60. The trade was a 2.11% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Mathew Watson sold 1,784 shares of the business's stock in a transaction on Friday, May 29th. The stock was sold at an average price of $73.80, for a total value of $131,659.20. Following the completion of the sale, the chief accounting officer directly owned 21,630 shares in the company, valued at $1,596,294. This trade represents a 7.62% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 1,002,134 shares of company stock worth $77,283,527. Insiders own 0.50% of the company's stock.

Hedge Funds Weigh In On Best Buy

Several large investors have recently modified their holdings of BBY. Concurrent Investment Advisors LLC increased its position in Best Buy by 100.6% during the fourth quarter. Concurrent Investment Advisors LLC now owns 70,280 shares of the technology retailer's stock valued at $4,704,000 after acquiring an additional 35,239 shares during the last quarter. PFA Pension Forsikringsaktieselskab purchased a new position in Best Buy in the fourth quarter worth about $1,741,000. VIRGINIA RETIREMENT SYSTEMS ET Al grew its stake in shares of Best Buy by 42.9% during the 4th quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 225,000 shares of the technology retailer's stock valued at $15,059,000 after purchasing an additional 67,600 shares during the period. Oxbow Advisors LLC bought a new stake in shares of Best Buy during the 4th quarter valued at about $6,295,000. Finally, Trust Investment Advisors purchased a new stake in shares of Best Buy during the 3rd quarter valued at about $1,939,000. Hedge funds and other institutional investors own 80.96% of the company's stock.

Best Buy Stock Up 1.7%

BBY stock opened at $77.19 on Thursday. Best Buy has a fifty-two week low of $55.10 and a fifty-two week high of $84.99. The company has a market capitalization of $16.27 billion, a price-to-earnings ratio of 14.29, a price-to-earnings-growth ratio of 2.02 and a beta of 1.30. The business's 50 day moving average price is $67.67 and its two-hundred day moving average price is $66.70. The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.40 and a current ratio of 1.12.

Best Buy (NYSE:BBY - Get Free Report) last released its earnings results on Thursday, May 28th. The technology retailer reported $1.28 EPS for the quarter, beating analysts' consensus estimates of $1.23 by $0.05. The company had revenue of $8.94 billion during the quarter, compared to analysts' expectations of $8.82 billion. Best Buy had a return on equity of 48.70% and a net margin of 2.73%.The firm's revenue for the quarter was up 1.9% compared to the same quarter last year. During the same quarter last year, the business posted $1.15 EPS. Best Buy has set its FY 2027 guidance at 6.300-6.600 EPS. As a group, analysts forecast that Best Buy will post 6.56 earnings per share for the current fiscal year.

Best Buy Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Thursday, June 18th will be issued a dividend of $0.96 per share. This represents a $3.84 annualized dividend and a dividend yield of 5.0%. The ex-dividend date is Thursday, June 18th. Best Buy's dividend payout ratio (DPR) is presently 71.11%.

Best Buy Company Profile

Best Buy Co, Inc is a leading North American consumer electronics retailer that sells a broad range of products including computers, mobile phones, televisions and home theater systems, major appliances, smart-home devices, gaming hardware and software, wearables and related accessories. The company operates through a mix of large-format stores, smaller specialty locations and an e-commerce platform, offering national and private-brand merchandise from major consumer-technology manufacturers as well as third-party sellers.

Beyond product retailing, Best Buy provides a suite of services aimed at installation, repair and ongoing technical support.

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