Best Buy (NYSE:BBY) Hits New 52-Week High – Time to Buy?

by · The Markets Daily

Shares of Best Buy Co., Inc. (NYSE:BBY – Get Free Report) hit a new 52-week high during trading on Wednesday. The company traded as high as $100.63 and last traded at $100.6220, with a volume of 1,100,203 shares traded. The stock had previously closed at $93.87.

Analysts Set New Price Targets

BBY has been the subject of several recent research reports. UBS Group restated a “neutral” rating and set a $90.00 target price (up from $86.00) on shares of Best Buy in a report on Friday, August 28th. Loop Capital cut shares of Best Buy from a “buy” rating to a “hold” rating and set a $82.00 price target on the stock. in a research report on Monday, July 13th. Truist Financial set a $100.00 price objective on Best Buy in a report on Thursday, August 27th. Barclays lifted their target price on Best Buy from $77.00 to $85.00 and gave the company a “buy” rating in a research report on Friday, August 28th. Finally, Weiss Ratings lowered Best Buy from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, October 27th. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, twelve have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $86.15.

Check Out Our Latest Research Report on Best Buy

Best Buy Price Performance

The business has a fifty day moving average of $90.69 and a 200 day moving average of $75.61. The firm has a market cap of $21.13 billion, a P/E ratio of 16.74, a PEG ratio of 2.40 and a beta of 1.20. The company has a quick ratio of 0.41, a current ratio of 1.12 and a debt-to-equity ratio of 0.36.

Best Buy (NYSE:BBY – Get Free Report) last released its quarterly earnings data 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. The firm had revenue of $9.78 billion for the quarter, compared to analyst estimates of $9.59 billion. Best Buy had a return on equity of 48.14% and a net margin of 3.01%. The business’s revenue for the quarter was up 3.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.28 earnings per share. Best Buy has set its FY 2027 guidance at 6.700-6.900 EPS. On average, sell-side analysts anticipate that Best Buy Co., Inc. will post 6.81 earnings per share for the current year.

Best Buy Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, October 8th. Investors of record on Thursday, September 17th were issued a dividend of $0.96 per share. The ex-dividend date of this dividend was Thursday, September 17th. This represents a $3.84 annualized dividend and a dividend yield of 3.8%. Best Buy’s payout ratio is presently 63.89%.

Insider Transactions at Best Buy

In other news, EVP Kathleen Scarlett sold 116,062 shares of the business’s stock in a transaction that occurred on Wednesday, September 23rd. The stock was sold at an average price of $92.15, for a total transaction of $10,695,113.30. Following the completion of the sale, the executive vice president owned 116,173 shares in the company, valued at $10,705,341.95. The trade was a 49.98% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Chairman Richard M. Schulze sold 300,000 shares of the company’s stock in a transaction that occurred on Wednesday, September 16th. The shares were 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 currently owned by corporate insiders.

Institutional Investors Weigh In On Best Buy

Hedge funds and other institutional investors have recently modified their holdings of the company. AEGON ASSET MANAGEMENT UK Plc acquired a new stake in Best Buy in the 3rd quarter worth about $21,681,000. AlphaCore Capital LLC boosted its holdings in Best Buy by 200.0% in the 3rd quarter. AlphaCore Capital LLC now owns 17,500 shares of the technology retailer’s stock valued at $1,544,000 after purchasing an additional 11,666 shares during the period. Retirement Systems of Alabama grew its position in shares of Best Buy by 116.3% during the 3rd quarter. Retirement Systems of Alabama now owns 89,033 shares of the technology retailer’s stock worth $7,856,000 after purchasing an additional 47,869 shares in the last quarter. Fulcrum Asset Management LLP grew its position in shares of Best Buy by 52,769.7% during the 3rd quarter. Fulcrum Asset Management LLP now owns 40,181 shares of the technology retailer’s stock worth $3,525,000 after purchasing an additional 40,105 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC increased its holdings in shares of Best Buy by 17.3% during the third quarter. Allspring Global Investments Holdings LLC now owns 13,248 shares of the technology retailer’s stock worth $1,162,000 after purchasing an additional 1,953 shares during the period. Institutional investors and hedge funds own 80.96% of the company’s stock.

Best Buy Company Profile

(Get Free Report)

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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