Best Buy (NYSE:BBY) Cut to “Hold” at Wall Street Zen

Wall Street Zen lowered shares of Best Buy (NYSE:BBY) from a buy rating to a hold rating in a report issued on Monday morning.

Several other equities analysts have also recently issued reports on BBY. Truist Financial raised their price objective on Best Buy from $66.00 to $81.00 and gave the stock a “hold” rating in a research note on Friday, May 29th. Telsey Advisory Group set a $90.00 target price on shares of Best Buy and gave the company an “outperform” rating in a research note on Friday, May 29th. JPMorgan Chase & Co. increased their target price on shares of Best Buy from $76.00 to $84.00 and gave the stock a “neutral” rating in a report on Friday, May 29th. Daiwa Securities Group raised their price target on shares of Best Buy from $68.00 to $77.00 and gave the stock a “neutral” rating in a research report on Tuesday, June 2nd. Finally, DA Davidson reaffirmed a “buy” rating and issued a $90.00 price target on shares of Best Buy in a report on Monday, June 22nd. Five analysts have rated the stock with a Buy rating, fifteen have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $79.50.

Best Buy Trading Up 2.2%

Shares of NYSE BBY opened at $87.07 on Monday. The stock’s 50 day moving average price is $74.45 and its two-hundred day moving average price is $67.97. Best Buy has a 52-week low of $55.10 and a 52-week high of $87.35. The stock has a market capitalization of $18.35 billion, a P/E ratio of 16.12, a PEG ratio of 2.27 and a beta of 1.30. The company has a quick ratio of 0.40, a current ratio of 1.12 and a debt-to-equity ratio of 0.38.

Best Buy (NYSE:BBY) last released its earnings results on Thursday, May 28th. The technology retailer reported $1.28 EPS for the quarter, topping analysts’ consensus estimates of $1.23 by $0.05. Best Buy had a return on equity of 48.70% and a net margin of 2.73%.The company had revenue of $8.94 billion for the quarter, compared to the consensus estimate of $8.82 billion. During the same quarter last year, the business posted $1.15 EPS. Best Buy’s quarterly revenue was up 1.9% compared to the same quarter last year. Best Buy has set its FY 2027 guidance at 6.300-6.600 EPS. On average, analysts anticipate that Best Buy will post 6.56 earnings per share for the current fiscal year.

Best Buy Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 9th. Investors of record on Thursday, June 18th were given a dividend of $0.96 per share. The ex-dividend date was Thursday, June 18th. This represents a $3.84 dividend on an annualized basis and a yield of 4.4%. Best Buy’s payout ratio is currently 71.11%.

Insiders Place Their Bets

In other news, Chairman Richard M. Schulze sold 500,350 shares of the business’s stock in a transaction on Friday, May 29th. The shares were sold at an average price of $76.12, for a total transaction of $38,086,642.00. Following the completion of the transaction, the chairman owned 10,930,586 shares of the company’s stock, valued at approximately $832,036,206.32. The trade was a 4.38% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CAO Mathew Watson sold 1,784 shares of the company’s stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $73.80, for a total transaction of $131,659.20. Following the transaction, the chief accounting officer owned 21,630 shares of the company’s stock, valued at $1,596,294. This represents a 7.62% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 1,002,134 shares of company stock valued at $77,283,527. 0.50% of the stock is owned by company insiders.

Institutional Trading of Best Buy

Hedge funds have recently bought and sold shares of the company. Torren Management LLC acquired a new stake in shares of Best Buy in the fourth quarter valued at approximately $25,000. MV Capital Management Inc. acquired a new position in shares of Best Buy during the fourth quarter worth approximately $25,000. Palisade Asset Management LLC acquired a new position in shares of Best Buy during the third quarter worth approximately $25,000. Hillsdale Investment Management Inc. acquired a new position in shares of Best Buy during the fourth quarter worth approximately $29,000. Finally, Quest 10 Wealth Builders Inc. grew its holdings in Best Buy by 239.2% in the 4th quarter. Quest 10 Wealth Builders Inc. now owns 441 shares of the technology retailer’s stock worth $30,000 after buying an additional 311 shares in the last quarter. 80.96% of the stock is currently owned by institutional investors.

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.