Empowered Funds LLC Purchases New Stake in Best Buy Co., Inc. $BBY

Key Points

• Empowered Funds LLC acquired 193,778 Best Buy shares during the second quarter, valued at approximately $14.7 million and representing 0.09% of the company. Institutional investors collectively own about 80.96% of Best Buy.
• Best Buy reported quarterly revenue of $9.78 billion and EPS of $1.47, exceeding analyst estimates, while revenue increased 3.6% year over year. The company set fiscal 2027 EPS guidance at $6.70–$6.90.
• Best Buy declared a quarterly dividend of $0.96 per share, equivalent to a 4.7% annualized yield. Analysts’ consensus rating remains “Hold,” with an average price target of $85.40 versus the referenced share price of $82.34.

Empowered Funds LLC acquired a new position in shares of Best Buy Co., Inc. (NYSE:BBY - Free Report) in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 193,778 shares of the technology retailer's stock, valued at approximately $14,704,000. Empowered Funds LLC owned 0.09% of Best Buy at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently modified their holdings of the company. Torren Management LLC bought a new position in shares of Best Buy during the fourth quarter worth approximately $25,000. MV Capital Management Inc. acquired a new stake in Best Buy during the 4th quarter worth approximately $25,000. Palisade Asset Management LLC bought a new stake in Best Buy in the 3rd quarter valued at $25,000. Hillsdale Investment Management Inc. bought a new stake in Best Buy in the 4th quarter valued at $29,000. Finally, Activest Wealth Management grew its holdings in Best Buy by 1,247.1% in the 4th quarter. Activest Wealth Management now owns 458 shares of the technology retailer's stock valued at $31,000 after buying an additional 424 shares in the last quarter. 80.96% of the stock is currently owned by institutional investors and hedge funds.

Best Buy Trading Down 1.5%

NYSE BBY opened at $82.34 on Friday. The firm has a market capitalization of $17.35 billion, a PE ratio of 13.70, a price-to-earnings-growth ratio of 2.36 and a beta of 1.29. The business's 50-day moving average price is $83.16 and its two-hundred day moving average price is $71.34. The company has a current ratio of 1.12, a quick ratio of 0.40 and a debt-to-equity ratio of 0.36. Best Buy Co., Inc. has a 12 month low of $55.10 and a 12 month high of $91.26.

Best Buy (NYSE:BBY - Get Free Report) last posted its quarterly earnings data on Thursday, August 27th. The technology retailer reported $1.47 EPS for the quarter, beating analysts' consensus estimates of $1.39 by $0.08. The company had revenue of $9.78 billion for the quarter, compared to analyst estimates of $9.59 billion. Best Buy had a net margin of 3.01% and a return on equity of 48.14%. The company's quarterly revenue was up 3.6% on a year-over-year basis. During the same period in the prior year, the firm posted $1.28 EPS. Best Buy has set its FY 2027 guidance at 6.700-6.900 EPS. On average, analysts expect that Best Buy Co., Inc. will post 6.7 EPS for the current year.

Best Buy Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Stockholders of record on Thursday, September 17th will be issued a $0.96 dividend. The ex-dividend date of this dividend is Thursday, September 17th. This represents a $3.84 annualized dividend and a dividend yield of 4.7%. Best Buy's dividend payout ratio is currently 71.11%.

Insider Transactions at Best Buy

In other Best Buy news, Chairman Richard M. Schulze sold 224,705 shares of the business's stock in a transaction dated Friday, June 26th. The shares were sold at an average price of $78.10, for a total value of $17,549,460.50. Following the transaction, the chairman directly owned 10,430,936 shares in the company, valued at $814,656,101.60. The trade was a 2.11% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In the last ninety days, insiders sold 500,000 shares of company stock valued at $39,065,226. 0.50% of the stock is owned by corporate insiders.

Analysts Set New Price Targets

Several equities research analysts recently issued reports on the company. Guggenheim boosted their price target on Best Buy from $90.00 to $95.00 and gave the company a "buy" rating in a research note on Friday. Barclays upped their target price on Best Buy from $77.00 to $85.00 and gave the company a "buy" rating in a research report on Friday. Morgan Stanley increased their target price on Best Buy from $80.00 to $90.00 and gave the stock an "equal weight" rating in a report on Friday. Wedbush restated a "buy" rating on shares of Best Buy in a research report on Monday. Finally, BNP Paribas Exane boosted their price target on Best Buy from $74.00 to $76.00 and gave the company a "neutral" rating in a research note on Friday, May 29th. Seven analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, Best Buy currently has an average rating of "Hold" and a consensus target price of $85.40.

Best Buy News Roundup

Here are the key news stories impacting Best Buy this week:

• Positive Sentiment: Quarterly results exceeded expectations. Best Buy reported Q2 FY27 revenue of $9.78 billion, up 3.6% year over year and above the $9.59 billion consensus estimate. Adjusted earnings of $1.47 per share also topped the $1.39 consensus, while comparable sales rose 4.1%. Best Buy Reports Second Quarter Results
• Positive Sentiment: Best Buy raised its full-year outlook. The company now expects adjusted fiscal 2027 earnings of $6.70 to $6.90 per share, up from $6.30 to $6.60 previously, and revenue of $42.3 billion to $42.8 billion. The improved forecast reflects strength in computing and steady demand for technology upgrades and replacements. Best Buy raises annual sales forecast on steady electronics demand
• Positive Sentiment: Analyst sentiment improved. Guggenheim and DA Davidson each raised their BBY price target from $90 to $95 and assigned a “buy” rating, implying roughly 15% upside from the referenced price.
• Positive Sentiment: Shareholder returns remain attractive. Best Buy declared a quarterly dividend of $0.96 per share, equivalent to an annualized yield of approximately 4.7% at the referenced price.
• Neutral Sentiment: Growth initiatives could support the longer-term retail recovery. Best Buy is expanding its omnichannel strategy, including the Ask Blue conversational AI assistant and smaller-format stores, while digital-led sales growth was highlighted during the earnings call. Best Buy Expands Omnichannel Footprint With OpenAI Integration and Smaller-Format Stores
• Negative Sentiment: The negative market reaction likely reflects high expectations and lingering risks. Although results beat estimates, the outlook increase was relatively modest versus consensus, international revenue declined, and investors remain cautious about discretionary spending. Analysts are also described as conflicted on BBY, suggesting uncertainty about how durable the recovery will be. Analysts Conflicted on These Consumer Cyclical Names

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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