Best Buy Q3 EPS Forecast Lowered by Telsey Advisory Group

Key Points

• Telsey Advisory Group reduced its Q3 2026 earnings per share forecast for Best Buy from $1.32 to $1.30, while maintaining an "Outperform" rating and a target price of $90.00.
• Best Buy recently announced a quarterly dividend of $0.95 per share, representing an annualized yield of 5.2%, with a payout ratio of 104.97%.
• The company's recent earnings report revealed $1.28 earnings per share, surpassing analysts' expectations, and a revenue increase of 1.6% compared to last year.

Best Buy Co., Inc. (NYSE:BBY - Free Report) - Equities researchers at Telsey Advisory Group cut their Q3 2026 earnings per share estimates for shares of Best Buy in a report released on Thursday, August 28th. Telsey Advisory Group analyst J. Feldman now forecasts that the technology retailer will earn $1.30 per share for the quarter, down from their prior estimate of $1.32. Telsey Advisory Group has a "Outperform" rating and a $90.00 price objective on the stock. The consensus estimate for Best Buy's current full-year earnings is $6.18 per share. Telsey Advisory Group also issued estimates for Best Buy's Q4 2026 earnings at $2.55 EPS, Q1 2027 earnings at $1.22 EPS, Q2 2027 earnings at $1.42 EPS, Q3 2027 earnings at $1.40 EPS and Q4 2027 earnings at $2.70 EPS.

A number of other brokerages have also issued reports on BBY. Guggenheim reiterated a "buy" rating and issued a $90.00 price target on shares of Best Buy in a research note on Friday. Piper Sandler reissued a "neutral" rating and set a $75.00 price objective (down previously from $82.00) on shares of Best Buy in a report on Monday, July 14th. Barclays reissued an "equal weight" rating and set a $74.00 price objective on shares of Best Buy in a report on Friday. Bank of America dropped their price objective on shares of Best Buy from $63.00 to $60.00 and set an "underperform" rating for the company in a report on Friday. Finally, Loop Capital dropped their price objective on shares of Best Buy from $90.00 to $80.00 and set a "buy" rating for the company in a report on Friday, May 30th. Ten equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, Best Buy has an average rating of "Hold" and a consensus target price of $84.44.

Best Buy Price Performance

BBY stock traded up $0.75 during trading on Monday, reaching $74.39. The company's stock had a trading volume of 4,837,632 shares, compared to its average volume of 3,465,060. Best Buy has a 1 year low of $54.99 and a 1 year high of $103.48. The company has a quick ratio of 0.32, a current ratio of 1.04 and a debt-to-equity ratio of 0.43. The company has a market capitalization of $15.72 billion, a P/E ratio of 20.55, a price-to-earnings-growth ratio of 1.95 and a beta of 1.19. The company's fifty day moving average is $69.97 and its 200-day moving average is $71.11.

Best Buy (NYSE:BBY - Get Free Report) last issued its quarterly earnings results on Thursday, August 28th. The technology retailer reported $1.28 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.22 by $0.06. Best Buy had a return on equity of 47.32% and a net margin of 1.87%.The business had revenue of $9.44 billion during the quarter, compared to analyst estimates of $9.23 billion. During the same quarter in the prior year, the business posted $1.34 EPS. Best Buy's revenue for the quarter was up 1.6% compared to the same quarter last year. Best Buy has set its FY 2026 guidance at 6.150-6.300 EPS.

Hedge Funds Weigh In On Best Buy

Institutional investors have recently modified their holdings of the stock. Pinnacle Bancorp Inc. increased its holdings in Best Buy by 108.5% during the first quarter. Pinnacle Bancorp Inc. now owns 342 shares of the technology retailer's stock valued at $25,000 after buying an additional 178 shares during the period. Oliver Lagore Vanvalin Investment Group bought a new stake in Best Buy during the 2nd quarter valued at $26,000. Vermillion Wealth Management Inc. bought a new stake in Best Buy during the 4th quarter valued at $31,000. Ancora Advisors LLC raised its position in shares of Best Buy by 18,700.0% in the 4th quarter. Ancora Advisors LLC now owns 376 shares of the technology retailer's stock worth $32,000 after acquiring an additional 374 shares in the last quarter. Finally, Grove Bank & Trust raised its position in shares of Best Buy by 67.1% in the 1st quarter. Grove Bank & Trust now owns 431 shares of the technology retailer's stock worth $32,000 after acquiring an additional 173 shares in the last quarter. 80.96% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Best Buy

In other Best Buy news, Chairman Richard M. Schulze sold 729,201 shares of the firm's stock in a transaction dated Monday, June 9th. The shares were sold at an average price of $72.95, for a total value of $53,195,212.95. Following the completion of the sale, the chairman owned 196,100 shares of the company's stock, valued at $14,305,495. This trade represents a 78.81% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. 0.59% of the stock is currently owned by insiders.

Best Buy Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 9th. Investors of record on Thursday, September 18th will be issued a $0.95 dividend. The ex-dividend date of this dividend is Thursday, September 18th. This represents a $3.80 dividend on an annualized basis and a dividend yield of 5.1%. Best Buy's dividend payout ratio (DPR) is presently 104.97%.

About Best Buy

Best Buy Co, Inc engages in the retail of technology products in the United States, Canada, and international. Its stores provide computing and mobile phone products, such as desktops, notebooks, and peripherals; mobile phones comprising related mobile network carrier commissions; networking products; tablets covering e-readers; smartwatches; and consumer electronics consisting of digital imaging, health and fitness products, portable audio comprising headphones and portable speakers, and smart home products, as well as home theaters, which includes home theater accessories, soundbars, and televisions.