Legal & General Group Plc Reduces Stock Position in Best Buy Co., Inc. $BBY

Key Points

• Legal & General Group Plc cut its Best Buy stake by 26.1% in the fourth quarter, selling 432,778 shares and ending with 1,228,246 shares valued at about $82.2 million.
• Best Buy’s latest quarter topped expectations, with EPS of $1.28 and revenue of $8.94 billion, while comparable sales rose 2.0%. The company also reaffirmed its full-year guidance and cited improving demand in gaming, computing, and cellphones.
• Despite a mix of analyst opinions, sentiment has improved after earnings, with multiple firms raising price targets. Best Buy also announced a quarterly dividend of $0.96 per share, implying a 4.9% yield.

Legal & General Group Plc lowered its stake in shares of Best Buy Co., Inc. (NYSE:BBY - Free Report) by 26.1% during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 1,228,246 shares of the technology retailer's stock after selling 432,778 shares during the period. Legal & General Group Plc owned 0.59% of Best Buy worth $82,207,000 at the end of the most recent reporting period.

Several other institutional investors have also recently made changes to their positions in BBY. Torren Management LLC purchased a new stake in shares of Best Buy during the fourth quarter worth $25,000. Palisade Asset Management LLC purchased a new stake in shares of Best Buy during the third quarter worth $25,000. Quest 10 Wealth Builders Inc. lifted its position in shares of Best Buy by 239.2% during the fourth quarter. Quest 10 Wealth Builders Inc. now owns 441 shares of the technology retailer's stock worth $30,000 after acquiring an additional 311 shares in the last quarter. Activest Wealth Management lifted its position in shares of Best Buy by 1,247.1% during the fourth quarter. Activest Wealth Management now owns 458 shares of the technology retailer's stock worth $31,000 after acquiring an additional 424 shares in the last quarter. Finally, Wolff Wiese Magana LLC purchased a new stake in shares of Best Buy during the fourth quarter worth $32,000. Hedge funds and other institutional investors own 80.96% of the company's stock.

Insider Buying and Selling

In related news, insider Todd G. Hartman sold 5,339 shares of the company's stock in a transaction on Monday, March 23rd. The shares were sold at an average price of $64.02, for a total value of $341,802.78. Following the completion of the transaction, the insider directly owned 44,098 shares in the company, valued at approximately $2,823,153.96. The trade was a 10.80% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Jason J. Bonfig sold 6,336 shares of the company's stock in a transaction on Monday, March 23rd. The stock was sold at an average price of $64.02, for a total transaction of $405,630.72. Following the completion of the transaction, the executive vice president owned 79,137 shares of the company's stock, valued at $5,066,350.74. This trade represents a 7.41% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 77,247 shares of company stock valued at $4,945,353 in the last three months. 0.47% of the stock is owned by corporate insiders.

Key Stories Impacting Best Buy

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

• Positive Sentiment: Best Buy reported Q1 adjusted EPS of $1.28, above estimates of $1.22, and revenue of $8.94 billion, also ahead of forecasts, with comparable sales rising 2.0%. Best Buy Q1 Earnings Beat Estimates, Comparable Sales Rise 2%
• Positive Sentiment: The company reaffirmed its full-year guidance and highlighted improving margins and stronger demand in gaming, computing, and cellphones, suggesting the turnaround is gaining traction. Best Buy Reports First Quarter Results
• Positive Sentiment: Several analyst firms raised price targets after the earnings release, including Jefferies, Loop Capital, Guggenheim, Morgan Stanley, Citigroup, and others, indicating improving sentiment around the stock. Analyst rating updates
• Positive Sentiment: Retail-industry news also pointed to selective consumer spending still favoring value-focused names like Best Buy, adding to the rally. Retail Rally Sends Kohl's, Best Buy, Dollar Tree Up As Much As 18%
• Neutral Sentiment: DA Davidson reaffirmed its buy rating but set a $78 price target, which is roughly in line with the current share price and does not materially change the valuation debate. DA Davidson rating reaffirmation
• Neutral Sentiment: Best Buy also announced a quarterly dividend of $0.96 per share, reinforcing its income appeal for investors. Dividend announcement

Analysts Set New Price Targets

BBY has been the topic of several recent research reports. Daiwa Securities Group dropped their target price on Best Buy from $80.00 to $68.00 and set a "neutral" rating on the stock in a research report on Thursday, March 5th. Morgan Stanley upped their price target on shares of Best Buy from $72.00 to $80.00 and gave the stock an "equal weight" rating in a report on Friday. KeyCorp reaffirmed a "sector weight" rating on shares of Best Buy in a report on Wednesday, March 4th. Piper Sandler reaffirmed a "neutral" rating and issued a $77.00 price target on shares of Best Buy in a report on Thursday. Finally, Truist Financial upped their price target on shares of Best Buy from $66.00 to $81.00 and gave the stock a "hold" rating in a report on Friday. Six analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, Best Buy has a consensus rating of "Hold" and an average target price of $78.60.

Best Buy Trading Up 4.6%

Best Buy stock opened at $78.16 on Friday. The stock has a market cap of $16.47 billion, a P/E ratio of 14.47, a PEG ratio of 1.85 and a beta of 1.22. Best Buy Co., Inc. has a fifty-two week low of $55.10 and a fifty-two week high of $84.99. The firm's fifty day moving average price is $62.29 and its 200-day moving average price is $66.88. The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.43 and a current ratio of 1.12.

Best Buy (NYSE:BBY - Get Free Report) last released its quarterly earnings results on Thursday, May 28th. The technology retailer reported $1.28 earnings per share for the quarter, topping the consensus estimate of $1.22 by $0.06. Best Buy had a net margin of 2.73% and a return on equity of 48.70%. The firm had revenue of $8.94 billion for the quarter, compared to analysts' expectations of $8.82 billion. During the same quarter in the prior year, the firm posted $1.15 earnings per share. The business's quarterly revenue was up 1.9% on a year-over-year basis. Best Buy has set its FY 2027 guidance at 6.300-6.600 EPS. Equities research analysts forecast that Best Buy Co., Inc. will post 6.5 earnings per share for the current fiscal year.

Best Buy Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, July 9th. Investors of record on Thursday, June 18th will be given a $0.96 dividend. The ex-dividend date is Thursday, June 18th. This represents a $3.84 annualized dividend and a yield of 4.9%. Best Buy's payout ratio is 76.19%.

About Best Buy

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.

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.