Hsbc Holdings PLC Lowers Stock Position in Best Buy Co., Inc. $BBY

Key Points

• HSBC reduced its Best Buy stake by 47% in the second quarter, selling 930,153 shares and retaining 1.05 million shares worth approximately $79.6 million. Institutional investors own about 81% of BBY.
• Analysts maintain a generally cautious outlook, with a consensus “Hold” rating and an average price target of $85.40, despite recent target increases ranging from $84 to $95.
• Best Buy reported quarterly revenue of $9.78 billion and EPS of $1.47, beating estimates, while revenue rose 3.6% year over year. The company also declared a quarterly dividend of $0.96 per share, representing a 4.3% annualized yield.

Hsbc Holdings PLC lowered its holdings in shares of Best Buy Co., Inc. (NYSE:BBY - Free Report) by 47.0% during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,050,151 shares of the technology retailer's stock after selling 930,153 shares during the period. Hsbc Holdings PLC owned approximately 0.50% of Best Buy worth $79,627,000 at the end of the most recent reporting period.

Several other hedge funds have also added to or reduced their stakes in the stock. VIRGINIA RETIREMENT SYSTEMS ET Al lifted its stake in shares of Best Buy by 42.9% in the fourth quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 225,000 shares of the technology retailer's stock worth $15,059,000 after buying an additional 67,600 shares in the last quarter. Oxbow Advisors LLC purchased a new position in shares of Best Buy in the 4th quarter worth $6,295,000. Crossmark Global Holdings Inc. boosted its position in Best Buy by 199.8% in the fourth quarter. Crossmark Global Holdings Inc. now owns 36,342 shares of the technology retailer's stock worth $2,432,000 after purchasing an additional 24,219 shares during the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. grew its position in Best Buy by 8.8% during the fourth quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 478,965 shares of the technology retailer's stock valued at $33,180,000 after buying an additional 38,739 shares during the period. Finally, HighTower Advisors LLC grew its position in shares of Best Buy by 250.6% during the 4th quarter. HighTower Advisors LLC now owns 101,292 shares of the technology retailer's stock valued at $6,779,000 after acquiring an additional 72,398 shares during the period. 80.96% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several research firms recently issued reports on BBY. Citigroup increased their target price on shares of Best Buy from $79.00 to $88.00 and gave the stock a "neutral" rating in a report on Thursday, August 13th. JPMorgan Chase & Co. lifted their target price on Best Buy from $76.00 to $84.00 and gave the stock a "neutral" rating in a report on Friday, May 29th. Morgan Stanley boosted their price target on shares of Best Buy from $80.00 to $90.00 and gave the stock an "equal weight" rating in a research report on Friday, August 28th. KeyCorp reissued a "sector weight" rating on shares of Best Buy in a research note on Monday, June 22nd. Finally, Guggenheim increased their target price on shares of Best Buy from $90.00 to $95.00 and gave the company a "buy" rating in a research note on Friday, August 28th. Seven analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $85.40.

Best Buy Trading Up 0.1%

NYSE:BBY opened at $90.35 on Monday. The firm has a 50-day simple moving average of $84.03 and a 200-day simple moving average of $72.04. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.41 and a current ratio of 1.12. The firm has a market cap of $19.04 billion, a P/E ratio of 15.03, a P/E/G ratio of 2.25 and a beta of 1.28. Best Buy Co., Inc. has a one year low of $55.10 and a one year high of $91.26.

Best Buy (NYSE:BBY - Get Free Report) last announced its earnings results on Thursday, August 27th. The technology retailer reported $1.47 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.39 by $0.08. Best Buy had a return on equity of 48.14% and a net margin of 3.01%.The business had revenue of $9.78 billion for the quarter, compared to analysts' expectations of $9.59 billion. During the same quarter last year, the firm earned $1.28 EPS. 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. Equities analysts anticipate that Best Buy Co., Inc. will post 6.81 EPS for the current fiscal year.

Best Buy Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Investors of record on Thursday, September 17th will be given a dividend of $0.96 per share. The ex-dividend date of this dividend is Thursday, September 17th. This represents a $3.84 dividend on an annualized basis and a yield of 4.3%. Best Buy's dividend payout ratio is presently 63.89%.

Insider Buying and Selling at Best Buy

In related 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 transaction of $17,549,460.50. Following the transaction, the chairman directly owned 10,430,936 shares of the company's stock, valued at $814,656,101.60. This represents a 2.11% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Over 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 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.

Want to see what other hedge funds are holding BBY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Best Buy Co., Inc. (NYSE:BBY - Free Report).

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source