Zacks Research Has Bearish Forecast for Best Buy Q2 Earnings

Best Buy Co., Inc. (NYSE:BBY - Free Report) - Research analysts at Zacks Research lowered their Q2 2026 earnings estimates for shares of Best Buy in a report released on Thursday, June 19th. Zacks Research analyst R. Department now anticipates that the technology retailer will post earnings of $1.20 per share for the quarter, down from their prior estimate of $1.33. The consensus estimate for Best Buy's current full-year earnings is $6.18 per share. Zacks Research also issued estimates for Best Buy's Q3 2026 earnings at $1.30 EPS, Q4 2026 earnings at $2.58 EPS, FY2026 earnings at $6.23 EPS, Q2 2027 earnings at $1.30 EPS, Q3 2027 earnings at $1.45 EPS, Q4 2027 earnings at $2.81 EPS, FY2027 earnings at $6.76 EPS, Q1 2028 earnings at $1.34 EPS and FY2028 earnings at $7.26 EPS.

Best Buy (NYSE:BBY - Get Free Report) last released its earnings results on Thursday, May 29th. The technology retailer reported $1.15 earnings per share for the quarter, topping analysts' consensus estimates of $1.09 by $0.06. The firm had revenue of $8.77 billion for the quarter, compared to the consensus estimate of $8.77 billion. Best Buy had a net margin of 2.13% and a return on equity of 46.40%. The company's revenue was down .9% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.20 EPS.

A number of other analysts also recently weighed in on the stock. Morgan Stanley reduced their target price on shares of Best Buy from $100.00 to $85.00 and set an "equal weight" rating on the stock in a research report on Wednesday, March 5th. Wedbush reduced their target price on shares of Best Buy from $75.00 to $70.00 and set a "neutral" rating on the stock in a research report on Friday, May 30th. KeyCorp reaffirmed a "sector weight" rating on shares of Best Buy in a research report on Wednesday, March 5th. JPMorgan Chase & Co. reduced their target price on shares of Best Buy from $115.00 to $110.00 and set an "overweight" rating on the stock in a research report on Wednesday, March 5th. Finally, Jefferies Financial Group reduced their target price on shares of Best Buy from $106.00 to $92.00 and set a "buy" rating on the stock in a research report on Tuesday, March 4th. One equities research analyst has rated the stock with a sell rating, eleven have given a hold rating and nine have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of $86.11.

Best Buy Stock Up 0.7%

Shares of NYSE:BBY traded up $0.45 during midday trading on Monday, reaching $68.45. The company's stock had a trading volume of 2,148,089 shares, compared to its average volume of 3,315,964. The firm has a 50 day moving average of $69.03 and a 200-day moving average of $76.52. The firm has a market capitalization of $14.47 billion, a P/E ratio of 16.74, a PEG ratio of 1.80 and a beta of 1.25. The company has a quick ratio of 0.32, a current ratio of 1.02 and a debt-to-equity ratio of 0.42. Best Buy has a 12-month low of $54.99 and a 12-month high of $103.71.

Best Buy Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, July 10th. Shareholders of record on Thursday, June 19th will be paid a dividend of $0.95 per share. This represents a $3.80 annualized dividend and a yield of 5.55%. The ex-dividend date of this dividend is Wednesday, June 18th. Best Buy's dividend payout ratio is currently 92.91%.

Insider Buying and Selling at Best Buy

In other Best Buy news, Chairman Richard M. Schulze sold 729,201 shares of the company's stock in a transaction dated Monday, June 9th. The shares were sold at an average price of $72.95, for a total transaction of $53,195,212.95. Following the transaction, the chairman now owns 196,100 shares in the company, valued at approximately $14,305,495. This represents a 78.81% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.47% of the company's stock.

Hedge Funds Weigh In On Best Buy

Several hedge funds and other institutional investors have recently bought and sold shares of BBY. Pinnacle Bancorp Inc. lifted its stake in shares of Best Buy by 108.5% in the 1st quarter. Pinnacle Bancorp Inc. now owns 342 shares of the technology retailer's stock worth $25,000 after purchasing an additional 178 shares during the period. Rakuten Securities Inc. lifted its stake in shares of Best Buy by 971.9% in the 4th quarter. Rakuten Securities Inc. now owns 343 shares of the technology retailer's stock worth $29,000 after purchasing an additional 311 shares during the period. Vermillion Wealth Management Inc. bought a new position in shares of Best Buy in the 4th quarter worth approximately $31,000. Atlas Capital Advisors Inc. lifted its stake in shares of Best Buy by 186.9% in the 4th quarter. Atlas Capital Advisors Inc. now owns 373 shares of the technology retailer's stock worth $32,000 after purchasing an additional 243 shares during the period. Finally, Ancora Advisors LLC lifted its stake in shares of Best Buy by 18,700.0% in the 4th quarter. Ancora Advisors LLC now owns 376 shares of the technology retailer's stock worth $32,000 after purchasing an additional 374 shares during the period. Institutional investors own 80.96% of the company's stock.

About Best Buy

Best Buy Co, Inc engages in the retail of technology products in the United States, Canada, and international. Its stores provide computing and mobile phone products, such as desktops, notebooks, and peripherals; mobile phones comprising related mobile network carrier commissions; networking products; tablets covering e-readers; smartwatches; and consumer electronics consisting of digital imaging, health and fitness products, portable audio comprising headphones and portable speakers, and smart home products, as well as home theaters, which includes home theater accessories, soundbars, and televisions.