Best Buy Co., Inc. (NYSE:BBY) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Analyst consensus remains “Hold”: Among 22 brokerages, 14 recommend holding Best Buy, six recommend buying, and two recommend selling. The average 12-month price target is $85.40.
• Best Buy exceeded quarterly expectations, reporting $1.47 in EPS versus the $1.39 consensus estimate and $9.78 billion in revenue, up 3.6% year over year.
• The company announced a $0.96 quarterly dividend, equivalent to $3.84 annually and a 4.1% yield, payable October 8 to shareholders of record on September 17.

Shares of Best Buy Co., Inc. (NYSE:BBY - Get Free Report) have earned an average rating of "Hold" from the twenty-two brokerages that are presently covering the stock, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell recommendation, fourteen have issued a hold recommendation and six have assigned a buy recommendation to the company. The average twelve-month target price among analysts that have covered the stock in the last year is $85.40.

A number of equities analysts recently commented on BBY shares. Piper Sandler raised their price objective on shares of Best Buy from $77.00 to $85.00 and gave the stock a "neutral" rating in a research note on Thursday, August 20th. Wedbush restated a "buy" rating on shares of Best Buy in a report on Monday, August 24th. Truist Financial set a $100.00 target price on Best Buy in a research report on Thursday, August 27th. Telsey Advisory Group lifted their price target on Best Buy from $90.00 to $95.00 and gave the company an "outperform" rating in a report on Tuesday, August 4th. Finally, Jefferies Financial Group lowered Best Buy from a "buy" rating to a "hold" rating and dropped their price target for the company from $89.00 to $85.00 in a research report on Wednesday, August 5th.

Insider Buying and Selling at Best Buy

In other news, Chairman Richard Schulze sold 224,705 shares of the company's stock in a transaction dated Friday, June 26th. The stock was sold at an average price of $78.10, for a total value of $17,549,460.50. Following the transaction, the chairman owned 10,430,936 shares in the company, valued at $814,656,101.60. This represents a 2.11% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.50% of the stock is owned by corporate insiders.

Institutional Trading of Best Buy

Several institutional investors have recently made changes to their positions in BBY. Sequoia Financial Advisors LLC lifted its stake in shares of Best Buy by 18.1% in the second quarter. Sequoia Financial Advisors LLC now owns 12,049 shares of the technology retailer's stock worth $914,000 after buying an additional 1,845 shares during the last quarter. Cidel Asset Management Inc. grew its stake in Best Buy by 7.7% in the 2nd quarter. Cidel Asset Management Inc. now owns 6,502 shares of the technology retailer's stock valued at $493,000 after buying an additional 466 shares during the last quarter. Arizona State Retirement System raised its holdings in Best Buy by 5.3% in the 2nd quarter. Arizona State Retirement System now owns 56,957 shares of the technology retailer's stock worth $4,322,000 after acquiring an additional 2,859 shares during the period. Paragon Capital Management Ltd bought a new position in Best Buy in the 2nd quarter worth $264,000. Finally, Empirical Finance LLC lifted its position in Best Buy by 153.0% during the 2nd quarter. Empirical Finance LLC now owns 17,467 shares of the technology retailer's stock worth $1,325,000 after acquiring an additional 10,563 shares during the last quarter. 80.96% of the stock is currently owned by institutional investors and hedge funds.

Best Buy Price Performance

BBY stock opened at $94.81 on Tuesday. The company has a current ratio of 1.12, a quick ratio of 0.41 and a debt-to-equity ratio of 0.36. Best Buy has a one year low of $55.10 and a one year high of $94.92. The firm has a market capitalization of $19.88 billion, a PE ratio of 15.78, a P/E/G ratio of 2.27 and a beta of 1.28. The firm has a 50-day moving average of $85.58 and a two-hundred day moving average of $73.12.

Best Buy (NYSE:BBY - Get Free Report) last announced its earnings results on Thursday, August 27th. The technology retailer reported $1.47 EPS for the quarter, topping the consensus estimate of $1.39 by $0.08. Best Buy had a net margin of 3.01% and a return on equity of 48.14%. The company had revenue of $9.78 billion during the quarter, compared to analysts' expectations of $9.59 billion. During the same period last year, the company posted $1.28 earnings per share. The business's revenue for the quarter was up 3.6% on a year-over-year basis. Best Buy has set its FY 2027 guidance at 6.700-6.900 EPS. On average, analysts forecast that Best Buy will post 6.82 earnings per share for the current year.

Best Buy Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Shareholders of record on Thursday, September 17th will be paid a dividend of $0.96 per share. This represents a $3.84 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend is Thursday, September 17th. Best Buy's payout ratio is 63.89%.

Best Buy Company Profile

Best Buy Co, Inc is a specialty retailer of technology products and services operating under the Best Buy brand. The company sells consumer electronics, computers, mobile phones, appliances, entertainment products, smart-home equipment, and related accessories through its retail stores, websites, and other sales channels.

Best Buy also provides technology support, installation, repair, and consultation services through Geek Squad. Its offerings include assistance with device setup, home theater installation, computer and appliance support, and technology solutions for consumers and small businesses.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.