Best Buy Co Inc (BBY) Expected to Post Quarterly Sales of $9.14 Billion

Brokerages expect that Best Buy Co Inc (NYSE:BBY) will post $9.14 billion in sales for the current quarter, according to Zacks. Nine analysts have provided estimates for Best Buy’s earnings, with the lowest sales estimate coming in at $9.01 billion and the highest estimate coming in at $9.20 billion. Best Buy posted sales of $9.11 billion in the same quarter last year, which would indicate a positive year-over-year growth rate of 0.3%. The firm is expected to issue its next earnings results on Thursday, May 23rd.

On average, analysts expect that Best Buy will report full-year sales of $43.55 billion for the current year, with estimates ranging from $43.17 billion to $43.94 billion. For the next fiscal year, analysts anticipate that the company will post sales of $44.22 billion, with estimates ranging from $43.56 billion to $44.96 billion. Zacks Investment Research’s sales calculations are an average based on a survey of sell-side research analysts that cover Best Buy.

Best Buy (NYSE:BBY) last issued its quarterly earnings results on Wednesday, February 27th. The technology retailer reported $2.72 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $2.57 by $0.15. The company had revenue of $14.80 billion during the quarter, compared to analyst estimates of $14.69 billion. Best Buy had a net margin of 3.41% and a return on equity of 46.33%. Best Buy’s quarterly revenue was down 3.7% compared to the same quarter last year. During the same period last year, the business earned $2.42 EPS.

Several research analysts recently issued reports on BBY shares. Deutsche Bank reiterated a “buy” rating on shares of Best Buy in a research note on Friday, January 11th. Moffett Nathanson upgraded shares of Best Buy from a “sell” rating to a “neutral” rating in a research note on Wednesday, December 19th. ValuEngine upgraded shares of Best Buy from a “sell” rating to a “hold” rating in a research note on Monday, March 11th. Bank of America lowered shares of Best Buy from a “neutral” rating to an “underperform” rating and reduced their price objective for the company from $70.00 to $50.00 in a research note on Monday, December 17th. Finally, Wolfe Research upgraded shares of Best Buy from a “market perform” rating to a “buy” rating in a research note on Wednesday, March 6th. One research analyst has rated the stock with a sell rating, eleven have assigned a hold rating and eight have assigned a buy rating to the company. The company presently has a consensus rating of “Hold” and a consensus price target of $76.82.

Shares of Best Buy stock traded down $0.04 during trading on Friday, hitting $71.06. The company’s stock had a trading volume of 2,788,330 shares, compared to its average volume of 3,587,933. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.18 and a quick ratio of 0.46. The firm has a market cap of $19.13 billion, a price-to-earnings ratio of 13.36, a PEG ratio of 1.38 and a beta of 0.94. Best Buy has a 52 week low of $47.72 and a 52 week high of $84.37.

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 10th. Shareholders of record on Wednesday, March 20th will be paid a dividend of $0.50 per share. This is a positive change from Best Buy’s previous quarterly dividend of $0.45. This represents a $2.00 dividend on an annualized basis and a yield of 2.81%. The ex-dividend date of this dividend is Tuesday, March 19th. Best Buy’s dividend payout ratio (DPR) is currently 37.59%.

Best Buy announced that its board has authorized a share repurchase plan on Wednesday, February 27th that permits the company to buyback $3.00 billion in shares. This buyback authorization permits the technology retailer to purchase up to 18.5% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s board believes its shares are undervalued.

In other news, SVP Mathew Watson sold 380 shares of the firm’s stock in a transaction dated Wednesday, March 13th. The shares were sold at an average price of $68.79, for a total transaction of $26,140.20. Following the sale, the senior vice president now owns 20,206 shares of the company’s stock, valued at approximately $1,389,970.74. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, major shareholder Richard M. Schulze sold 492,000 shares of the firm’s stock in a transaction dated Friday, March 1st. The shares were sold at an average price of $68.50, for a total transaction of $33,702,000.00. Following the sale, the insider now directly owns 1,732,500 shares in the company, valued at approximately $118,676,250. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 1,239,284 shares of company stock valued at $85,077,082. 0.75% of the stock is owned by company insiders.

Hedge funds and other institutional investors have recently made changes to their positions in the company. Signet Investment Advisory Group Inc. purchased a new stake in shares of Best Buy during the 4th quarter valued at about $31,000. Larson Financial Group LLC purchased a new position in shares of Best Buy in the fourth quarter worth approximately $33,000. Semmax Financial Advisors Inc. purchased a new position in shares of Best Buy in the fourth quarter worth approximately $33,000. PRW Wealth Management LLC purchased a new position in shares of Best Buy in the fourth quarter worth approximately $33,000. Finally, Pearl River Capital LLC purchased a new position in shares of Best Buy in the fourth quarter worth approximately $34,000. 83.68% of the stock is currently owned by hedge funds and other institutional investors.

About Best Buy

Best Buy Co, Inc operates as a retailer of technology products, services, and solutions in the United States, Canada, and Mexico. The company operates in two segments, Domestic and International. Its stores provide consumer electronics, including digital imaging, health and fitness, home automation, home theater, and portable audio products; computing and mobile phones, such as computing and peripherals, networking products, tablets, smart watches, and e-readers, as well as mobile phones comprising related mobile network carrier commissions; and entertainment products, including drones, movies, music, and technology toys, as well as gaming hardware and software, and virtual reality and other software products.

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