Wedbush Securities Inc. Buys New Stake in Best Buy Co., Inc. $BBY

Key Points

• Wedbush Securities purchased 17,486 Best Buy shares worth approximately $1.54 million in the third quarter. Institutional investors collectively own 80.96% of the company.
• Best Buy reported stronger-than-expected quarterly results, with EPS of $1.47 versus the $1.39 consensus and revenue of $9.78 billion, up 3.6% year over year.
• The company pays a quarterly dividend of $0.96 per share, equivalent to an annualized $3.84 payout and a 3.8% yield. Analysts maintain a consensus “Hold” rating with an average price target of $85.90.

Wedbush Securities Inc. bought a new stake in shares of Best Buy Co., Inc. (NYSE:BBY - Free Report) in the third quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor bought 17,486 shares of the technology retailer's stock, valued at approximately $1,543,000.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. BlackRock Inc. bought a new stake in Best Buy in the second quarter valued at $1,932,812,000. Bank of New York Mellon Corp purchased a new position in Best Buy during the 2nd quarter valued at $174,893,000. Deutsche Bank AG purchased a new position in Best Buy during the 2nd quarter valued at $116,003,000. Legal & General Group Plc purchased a new position in Best Buy during the 2nd quarter valued at $83,427,000. Finally, Hsbc Holdings PLC bought a new position in Best Buy in the 2nd quarter worth $79,627,000. Institutional investors own 80.96% of the company's stock.

Insider Buying and Selling

In other Best Buy news, EVP Kathleen Scarlett sold 116,062 shares of the business's stock in a transaction on Wednesday, September 23rd. The stock was sold at an average price of $92.15, for a total value of $10,695,113.30. Following the sale, the executive vice president directly owned 116,173 shares of the company's stock, valued at approximately $10,705,341.95. The trade was a 49.98% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Chairman Richard M. Schulze sold 300,000 shares of the business's stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $92.51, for a total value of $27,753,000.00. Additional details regarding this sale are available in the official SEC disclosure. 0.50% of the stock is owned by company insiders.

Best Buy Price Performance

Shares of NYSE BBY opened at $99.85 on Monday. Best Buy Co., Inc. has a fifty-two week low of $55.10 and a fifty-two week high of $100.58. The company has a 50 day simple moving average of $89.34 and a two-hundred day simple moving average of $78.69. The company has a market capitalization of $20.94 billion, a price-to-earnings ratio of 16.61, a P/E/G ratio of 2.50 and a beta of 1.26. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.41 and a current ratio of 1.12.

Best Buy (NYSE:BBY - Get Free Report) last released 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 net margin of 3.01% and a return on equity of 48.14%. The firm had revenue of $9.78 billion during the quarter, compared to analyst estimates of $9.59 billion. During the same period last year, the business earned $1.28 earnings per share. The business's revenue was up 3.6% on a year-over-year basis. Best Buy has set its FY 2027 guidance at 6.700-6.900 EPS. Analysts expect that Best Buy Co., Inc. will post 6.81 EPS for the current fiscal year.

Best Buy Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, October 8th. Investors of record on Thursday, September 17th were given a dividend of $0.96 per share. This represents a $3.84 dividend on an annualized basis and a yield of 3.8%. The ex-dividend date of this dividend was Thursday, September 17th. Best Buy's dividend payout ratio (DPR) is 63.89%.

Wall Street Analyst Weigh In

Several brokerages have commented on BBY. Evercore set a $95.00 price objective on shares of Best Buy in a report on Tuesday, October 20th. Guggenheim lifted 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. Piper Sandler lifted their target price on shares of Best Buy from $77.00 to $85.00 and gave the company a "neutral" rating in a research note on Thursday, August 20th. Bank of America began coverage on shares of Best Buy in a research report on Monday, August 3rd. They set an "underperform" rating and a $80.00 price target on the stock. Finally, Wall Street Zen upgraded shares of Best Buy from a "hold" rating to a "buy" rating in a research report on Sunday, October 11th. One analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, eleven have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and an average target price of $85.90.

Best Buy Profile

Best Buy Co, Inc is a specialty retailer of technology products and services headquartered in Richfield, Minnesota. The company sells consumer electronics, computing and mobile products, entertainment products, appliances, furniture, and related accessories through its retail stores, websites, and other sales channels.

Best Buy also provides technology-related services, including product installation, repair, technical support, delivery, and in-home consultation. Its services are offered through brands and operations such as Geek Squad, while the company also provides membership and protection programs designed to support customers after purchase.

The company serves customers primarily in the United States and Canada.

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