Best Buy (NYSE:BBY) Hits New 52-Week High Following Better-Than-Expected Earnings

Best Buy Co., Inc. (NYSE:BBY) shares reached a new 52-week high on Thursday following a stronger than expected earnings report. The stock traded as high as $102.65 and last traded at $98.01, with a volume of 574160 shares trading hands. The stock had previously closed at $87.79.

The technology retailer reported $1.34 EPS for the quarter, topping the consensus estimate of $1.16 by $0.18. Best Buy had a net margin of 2.90% and a return on equity of 47.56%. The company had revenue of $9.29 billion during the quarter, compared to analyst estimates of $9.23 billion. During the same quarter in the previous year, the firm earned $1.22 EPS. The firm’s revenue was down 3.1% compared to the same quarter last year.

Best Buy Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 10th. Investors of record on Thursday, September 19th will be given a dividend of $0.94 per share. The ex-dividend date is Thursday, September 19th. This represents a $3.76 dividend on an annualized basis and a yield of 3.75%. Best Buy’s payout ratio is presently 65.85%.

Wall Street Analyst Weigh In

BBY has been the topic of a number of analyst reports. Truist Financial lifted their target price on shares of Best Buy from $86.00 to $107.00 and gave the stock a “hold” rating in a research note on Friday. Bank of America upped their price objective on Best Buy from $70.00 to $80.00 and gave the company an “underperform” rating in a report on Friday. Loop Capital raised their target price on Best Buy from $100.00 to $110.00 and gave the stock a “buy” rating in a research note on Friday. Evercore ISI upped their price target on Best Buy from $90.00 to $94.00 and gave the company an “in-line” rating in a research note on Friday. Finally, Piper Sandler reiterated an “overweight” rating and set a $114.00 price target (up from $100.00) on shares of Best Buy in a report on Friday. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating and nine have assigned a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $100.94.

Insider Transactions at Best Buy

In other news, EVP Jason J. Bonfig sold 3,500 shares of the firm’s stock in a transaction that occurred on Monday, July 8th. The shares were sold at an average price of $83.02, for a total transaction of $290,570.00. Following the transaction, the executive vice president now directly owns 50,714 shares in the company, valued at $4,210,276.28. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In other news, EVP Jason J. Bonfig sold 3,500 shares of the stock in a transaction that occurred on Monday, July 8th. The stock was sold at an average price of $83.02, for a total transaction of $290,570.00. Following the completion of the transaction, the executive vice president now directly owns 50,714 shares of the company’s stock, valued at approximately $4,210,276.28. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, Chairman Richard M. Schulze sold 691,328 shares of the stock in a transaction dated Thursday, July 18th. The shares were sold at an average price of $88.46, for a total transaction of $61,154,874.88. Following the completion of the transaction, the chairman now owns 14,911,525 shares of the company’s stock, valued at approximately $1,319,073,501.50. The disclosure for this sale can be found here. In the last ninety days, insiders sold 2,383,370 shares of company stock valued at $208,083,276. 0.59% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Best Buy

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Norges Bank purchased a new stake in Best Buy in the 4th quarter valued at approximately $165,164,000. Ninety One UK Ltd purchased a new position in Best Buy in the 2nd quarter valued at about $121,325,000. Thrivent Financial for Lutherans boosted its stake in shares of Best Buy by 4,337.6% during the 2nd quarter. Thrivent Financial for Lutherans now owns 1,099,495 shares of the technology retailer’s stock worth $92,677,000 after purchasing an additional 1,074,718 shares during the last quarter. Bank of New York Mellon Corp lifted its holdings in shares of Best Buy by 55.7% during the 2nd quarter. Bank of New York Mellon Corp now owns 2,863,291 shares of the technology retailer’s stock worth $241,347,000 after acquiring an additional 1,024,824 shares during the period. Finally, Epoch Investment Partners Inc. boosted its position in shares of Best Buy by 11,586.7% in the fourth quarter. Epoch Investment Partners Inc. now owns 686,128 shares of the technology retailer’s stock worth $53,710,000 after acquiring an additional 680,257 shares during the last quarter. Institutional investors and hedge funds own 80.96% of the company’s stock.

Best Buy Trading Up 0.2 %

The company has a quick ratio of 0.33, a current ratio of 1.01 and a debt-to-equity ratio of 0.37. The business’s fifty day moving average is $85.74 and its 200-day moving average is $80.92. The stock has a market capitalization of $21.65 billion, a PE ratio of 17.58, a P/E/G ratio of 2.76 and a beta of 1.48.

Best Buy Company Profile

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.