Best Buy (NYSE:BBY) Updates FY 2027 Earnings Guidance

Best Buy (NYSE:BBY) issued an update on its FY 2027 earnings guidance on Thursday. The company provided earnings per share guidance of 6.700-6.900 for the period, compared to the consensus earnings per share estimate of 6.590. The company issued revenue guidance of $42.3 billion-$42.8 billion, compared to the consensus revenue estimate of $42.1 billion.

Best Buy Trading Up 2.5%

NYSE BBY opened at $87.40 on Thursday. Best Buy has a 52 week low of $55.10 and a 52 week high of $91.26. The firm has a 50 day moving average of $82.84 and a two-hundred day moving average of $71.17. The company has a quick ratio of 0.40, a current ratio of 1.12 and a debt-to-equity ratio of 0.38. The stock has a market capitalization of $18.42 billion, a PE ratio of 16.19, a price-to-earnings-growth ratio of 2.44 and a beta of 1.29.

Best Buy (NYSE:BBY) last announced its quarterly earnings data on Thursday, August 27th. The technology retailer reported $1.47 earnings per share for the quarter, beating 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 2.73% and a return on equity of 48.70%. Best Buy has set its FY 2027 guidance at 6.700-6.900 EPS. As a group, research analysts expect that Best Buy will post 6.6 EPS for the current fiscal year.

Analyst Ratings Changes

A number of analysts have weighed in on the company. Weiss Ratings upgraded Best Buy from a “hold (c)” rating to a “hold (c+)” rating in a research note on Wednesday, July 29th. Wall Street Zen cut Best Buy from a “buy” rating to a “hold” rating in a research report on Monday, July 20th. Wedbush reiterated a “buy” rating on shares of Best Buy in a report on Monday. UBS Group reissued a “neutral” rating and set a $86.00 target price (up from $85.00) on shares of Best Buy in a research report on Friday, May 29th. Finally, Loop Capital downgraded Best Buy from a “buy” rating to a “hold” rating and set a $82.00 price target for the company. in a report on Monday, July 13th. Six investment analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $83.10.

Insider Activity

In other news, Chairman Richard M. Schulze sold 500,350 shares of Best Buy stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $76.12, for a total transaction of $38,086,642.00. Following the sale, the chairman owned 10,930,586 shares in the company, valued at approximately $832,036,206.32. The trade was a 4.38% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Mathew Watson sold 1,784 shares of the business’s stock in a transaction dated Friday, May 29th. The shares were sold at an average price of $73.80, for a total value of $131,659.20. Following the completion of the sale, the chief accounting officer directly owned 21,630 shares of the company’s stock, valued at $1,596,294. The trade was a 7.62% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 1,002,134 shares of company stock worth $77,283,527. Corporate insiders own 0.50% of the company’s stock.

Key Headlines Impacting Best Buy

Here are the key news stories impacting Best Buy this week:

• Positive Sentiment: Best Buy reported second-quarter adjusted earnings of $1.47 per share, exceeding the $1.39 analyst consensus, while revenue of $9.78 billion topped expectations of $9.59 billion. Best Buy quarterly earnings report
• Positive Sentiment: Quarterly enterprise comparable sales rose 4.1%, with domestic comparable sales up 4.5%, a significant improvement from the prior year and evidence of strengthening retail performance. Best Buy Reports Second Quarter Results
• Positive Sentiment: Management raised full-year adjusted earnings guidance to $6.70-$6.90 per share, from $6.30-$6.60 previously, signaling increased confidence in profitability. Best Buy Raises Outlook as Sales Grow
• Positive Sentiment: The company also raised its full-year sales forecast, supported by steady demand for technology upgrades and replacement products. Computing was identified as a key area of strength. Best Buy raises annual sales forecast
• Neutral Sentiment: Best Buy is preparing for incoming CEO Jason Bonfig. The leadership transition adds a future execution consideration, but the current results indicate that the business turnaround is gaining traction. Best Buy tops quarterly estimates and raises outlook
• Negative Sentiment: International revenue declined year over year, and management continues to operate against a backdrop of cautious consumer spending, which could limit discretionary electronics demand.

Institutional Investors Weigh In On Best Buy

Large investors have recently modified their holdings of the company. Palisade Asset Management LLC acquired a new position in shares of Best Buy in the 3rd quarter valued at $25,000. Atlas Capital Advisors Inc. acquired a new stake in Best Buy during the 4th quarter worth $32,000. CYBER HORNET ETFs LLC purchased a new position in Best Buy during the 2nd quarter worth $33,000. MUFG Securities EMEA plc purchased a new position in Best Buy during the 2nd quarter worth $38,000. Finally, DV Equities LLC acquired a new position in Best Buy in the fourth quarter valued at $38,000. 80.96% of the stock is owned by institutional investors and hedge funds.

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.