Best Buy (NYSE:BBY) Hits New 52-Week High – Should You Buy?

Shares of Best Buy Co., Inc. (NYSE:BBY) hit a new 52-week high during trading on Wednesday . The stock traded as high as $85.95 and last traded at $85.4370, with a volume of 216694 shares. The stock had previously closed at $81.65.

Wall Street Analysts Forecast Growth

A number of research analysts recently commented on BBY shares. Jefferies Financial Group upped their price target on shares of Best Buy from $83.00 to $89.00 and gave the company a “buy” rating in a research note on Thursday, May 28th. Morgan Stanley raised their price objective on shares of Best Buy from $72.00 to $80.00 and gave the stock an “equal weight” rating in a research report on Friday, May 29th. Weiss Ratings upgraded Best Buy from a “hold (c-)” rating to a “hold (c)” rating in a report on Thursday, June 11th. UBS Group reaffirmed a “neutral” rating and issued a $86.00 target price (up from $85.00) on shares of Best Buy in a research report on Friday, May 29th. Finally, Guggenheim reiterated a “buy” rating and set a $90.00 target price on shares of Best Buy in a research note on Friday, May 29th. Five equities research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $79.50.

Best Buy Price Performance

The firm has a market capitalization of $18.07 billion, a price-to-earnings ratio of 15.82, a P/E/G ratio of 2.17 and a beta of 1.30. The company’s 50 day moving average is $71.12 and its 200 day moving average is $67.23. 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 issued its quarterly earnings data on Thursday, May 28th. The technology retailer reported $1.28 earnings per share for the quarter, topping the consensus estimate of $1.23 by $0.05. Best Buy had a net margin of 2.73% and a return on equity of 48.70%. The business had revenue of $8.94 billion during the quarter, compared to analysts’ expectations of $8.82 billion. During the same quarter in the previous year, the company earned $1.15 EPS. The business’s revenue was up 1.9% on a year-over-year basis. Best Buy has set its FY 2027 guidance at 6.300-6.600 EPS. On average, equities research analysts anticipate that Best Buy Co., Inc. will post 6.56 earnings per share for the current fiscal year.

Best Buy Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, July 9th. Investors of record on Thursday, June 18th were paid a $0.96 dividend. This represents a $3.84 annualized dividend and a dividend yield of 4.5%. The ex-dividend date was Thursday, June 18th. Best Buy’s payout ratio is 71.11%.

Insider Activity at Best Buy

In related news, CAO Mathew Watson sold 1,784 shares of the stock in a transaction that occurred on Friday, May 29th. The stock was sold at an average price of $73.80, for a total transaction of $131,659.20. Following the sale, 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 ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Chairman Richard M. Schulze sold 224,705 shares of the firm’s stock in a transaction on Friday, June 26th. The stock was sold at an average price of $78.10, for a total value of $17,549,460.50. Following the transaction, the chairman owned 10,430,936 shares in the company, valued at approximately $814,656,101.60. This trade represents a 2.11% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 1,002,134 shares of company stock valued at $77,283,527. 0.50% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Best Buy

Several institutional investors and hedge funds have recently bought and sold shares of BBY. Trust Asset Management LLC acquired a new stake in Best Buy during the second quarter worth about $165,000. Tema ETFs LLC lifted its holdings in shares of Best Buy by 6.5% during the 2nd quarter. Tema ETFs LLC now owns 2,365 shares of the technology retailer’s stock worth $179,000 after acquiring an additional 145 shares during the period. KMG Fiduciary Partners LLC lifted its holdings in shares of Best Buy by 362.2% during the 2nd quarter. KMG Fiduciary Partners LLC now owns 20,098 shares of the technology retailer’s stock worth $1,525,000 after acquiring an additional 15,750 shares during the period. LVM Capital Management Ltd. MI acquired a new stake in shares of Best Buy during the 2nd quarter worth approximately $600,000. Finally, Legacy Wealth Asset Management LLC acquired a new stake in shares of Best Buy during the 2nd quarter worth approximately $235,000. Institutional investors own 80.96% of the company’s stock.

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.