Best Buy (NYSE:BBY) Reaches New 52-Week High – Still a Buy?

Best Buy Co., Inc. (NYSE:BBY)’s share price reached a new 52-week high during mid-day trading on Thursday. The company traded as high as $96.70 and last traded at $96.6250, with a volume of 192,667 shares trading hands. The stock had previously closed at $94.12.

Wall Street Analyst Weigh In

BBY has been the subject of a number of research analyst reports. The Goldman Sachs Group upped their price objective on shares of Best Buy from $62.00 to $71.00 and gave the stock a “sell” rating in a research report on Friday, August 28th. Telsey Advisory Group boosted their target price on shares of Best Buy from $90.00 to $95.00 and gave the stock an “outperform” rating in a research note on Tuesday, August 4th. Truist Financial set a $100.00 price target on shares of Best Buy in a research report on Thursday, August 27th. Loop Capital lowered 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 note on Monday, July 13th. Finally, Weiss Ratings upgraded Best Buy from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, October 8th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $85.90.

Best Buy Price Performance

The stock’s fifty day moving average price is $88.79 and its 200-day moving average price is $78.19. The firm has a market cap of $20.93 billion, a PE ratio of 16.60, a price-to-earnings-growth ratio of 2.35 and a beta of 1.26. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.12 and a quick ratio of 0.41.

Best Buy (NYSE:BBY) last released its earnings results on Thursday, August 27th. The technology retailer reported $1.47 earnings per share for the quarter, topping analysts’ consensus estimates of $1.39 by $0.08. The business had revenue of $9.78 billion for the quarter, compared to analyst estimates of $9.59 billion. Best Buy had a net margin of 3.01% and a return on equity of 48.14%. The business’s revenue was up 3.6% on a year-over-year basis. During the same period last year, the company posted $1.28 EPS. Best Buy has set its FY 2027 guidance at 6.700-6.900 EPS. As a group, equities analysts expect that Best Buy Co., Inc. will post 6.81 EPS for the current fiscal year.

Best Buy Dividend Announcement

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

Insiders Place Their Bets

In other news, Chairman Richard M. Schulze sold 300,000 shares of Best Buy stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $92.51, for a total transaction of $27,753,000.00. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, EVP Kathleen Scarlett sold 116,062 shares of the business’s stock in a transaction dated Wednesday, September 23rd. The shares were sold at an average price of $92.15, for a total transaction of $10,695,113.30. Following the transaction, the executive vice president directly owned 116,173 shares in the company, valued at approximately $10,705,341.95. The trade was a 49.98% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Best Buy

Hedge funds and other institutional investors have recently bought and sold shares of the company. BlackRock Inc. acquired a new stake in shares of Best Buy during the 2nd quarter worth approximately $1,932,812,000. Bank of New York Mellon Corp purchased a new position in Best Buy in the second quarter worth approximately $174,893,000. KBC Group NV grew its position in Best Buy by 50.5% in the first quarter. KBC Group NV now owns 1,584,803 shares of the technology retailer’s stock worth $101,745,000 after acquiring an additional 531,998 shares during the period. Deutsche Bank AG purchased a new position in Best Buy in the second quarter worth approximately $116,003,000. Finally, Renaissance Technologies LLC increased its stake in Best Buy by 113.4% during the first quarter. Renaissance Technologies LLC now owns 1,449,439 shares of the technology retailer’s stock worth $93,054,000 after acquiring an additional 770,339 shares during the last quarter. 80.96% of the stock is currently owned by institutional investors and hedge funds.

Best Buy Company 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.