Deutsche Bank AG Makes New Investment in Best Buy Co., Inc. $BBY

Key Points

• Deutsche Bank acquired 1.53 million Best Buy shares in the second quarter, worth approximately $116 million and representing about 0.73% of the company. Institutional investors collectively own 80.96% of BBY.
• Analyst sentiment remains cautious, with Best Buy receiving an overall “Hold” rating and an average price target of $82.70; ratings include five Buys, 15 Holds and two Sells.
• Best Buy reported quarterly EPS of $1.28 and revenue of $8.94 billion, exceeding expectations, while paying a quarterly dividend of $0.96 per share for a 4.3% annualized yield. The stock opened at $89.33, near its 12-month high.

Deutsche Bank AG acquired a new stake in shares of Best Buy Co., Inc. (NYSE:BBY - Free Report) in the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor acquired 1,528,771 shares of the technology retailer's stock, valued at approximately $116,003,000. Deutsche Bank AG owned approximately 0.73% of Best Buy at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently made changes to their positions in BBY. AQR Capital Management LLC increased its position in shares of Best Buy by 99.8% in the third quarter. AQR Capital Management LLC now owns 6,997,871 shares of the technology retailer's stock worth $525,120,000 after acquiring an additional 3,496,254 shares in the last quarter. Norges Bank purchased a new stake in shares of Best Buy in the 4th quarter valued at approximately $174,685,000. Schroder Investment Management Group lifted its position in shares of Best Buy by 378.8% in the 4th quarter. Schroder Investment Management Group now owns 3,096,015 shares of the technology retailer's stock valued at $207,216,000 after acquiring an additional 2,449,342 shares in the last quarter. Bank of New York Mellon Corp acquired a new position in Best Buy in the 2nd quarter worth approximately $174,893,000. Finally, Hsbc Holdings PLC boosted its stake in Best Buy by 104.1% in the 4th quarter. Hsbc Holdings PLC now owns 2,020,539 shares of the technology retailer's stock worth $135,685,000 after purchasing an additional 1,030,544 shares during the period. 80.96% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on BBY shares. Weiss Ratings raised shares of Best Buy from a "hold (c)" rating to a "hold (c+)" rating in a research note on Wednesday, July 29th. Citigroup raised their target price on Best Buy from $79.00 to $88.00 and gave the stock a "neutral" rating in a research report on Thursday, August 13th. Bank of America began coverage on Best Buy in a report on Monday, August 3rd. They set an "underperform" rating and a $80.00 price target on the stock. BNP Paribas Exane upped their price target on Best Buy from $74.00 to $76.00 and gave the company a "neutral" rating in a research report on Friday, May 29th. Finally, Wall Street Zen downgraded Best Buy from a "buy" rating to a "hold" rating in a research note on Monday, July 20th. Five equities research analysts have rated the stock with a Buy rating, fifteen have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $82.70.

Best Buy Trading Up 2.4%

Best Buy stock opened at $89.33 on Thursday. Best Buy Co., Inc. has a 12 month low of $55.10 and a 12 month high of $91.26. The company has a quick ratio of 0.40, a current ratio of 1.12 and a debt-to-equity ratio of 0.38. The stock has a market cap of $18.83 billion, a P/E ratio of 16.54, a P/E/G ratio of 2.51 and a beta of 1.29. The company's fifty day simple moving average is $81.84 and its 200-day simple moving average is $70.47.

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

Best Buy Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, July 9th. Stockholders of record on Thursday, June 18th were issued a dividend of $0.96 per share. This represents a $3.84 annualized dividend and a dividend yield of 4.3%. The ex-dividend date was Thursday, June 18th. Best Buy's payout ratio is currently 71.11%.

Insider Activity at Best Buy

In related news, Chairman Richard M. Schulze sold 224,705 shares of the business's stock in a transaction that occurred on 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 completion of the sale, the chairman owned 10,430,936 shares of the company's stock, valued at approximately $814,656,101.60. The trade was a 2.11% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CAO Mathew Watson sold 1,784 shares of the stock in a transaction that occurred 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 transaction, the chief accounting officer owned 21,630 shares in the company, valued at $1,596,294. This represents a 7.62% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 1,002,134 shares of company stock valued at $77,283,527. 0.50% of the stock is currently owned by company insiders.

Best Buy 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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