Best Buy (NYSE:BBY) Trading Down 3.8% – Should You Sell?

Shares of Best Buy Co., Inc. (NYSE:BBY) traded down 3.8% on Monday . The stock traded as low as $89.09 and last traded at $89.14. 795,175 shares changed hands during trading, a decline of 73% from the average session volume of 2,978,911 shares. The stock had previously closed at $92.66.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on BBY shares. Piper Sandler restated an “overweight” rating and issued a $114.00 target price (up previously from $100.00) on shares of Best Buy in a research note on Friday, August 30th. Barclays lifted their price target on shares of Best Buy from $81.00 to $95.00 and gave the company an “equal weight” rating in a research note on Friday, August 30th. Wells Fargo & Company raised their price objective on Best Buy from $80.00 to $95.00 and gave the company an “equal weight” rating in a report on Friday, August 30th. JPMorgan Chase & Co. raised their target price on shares of Best Buy from $101.00 to $111.00 and gave the company an “overweight” rating in a research note on Friday, August 30th. Finally, Wedbush increased their price target on shares of Best Buy from $85.00 to $95.00 and gave the company a “neutral” rating in a research note on Friday, August 30th. One equities research analyst has rated the stock with a sell rating, eight have assigned a hold rating, nine have given a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $103.35.

Best Buy Price Performance

The business’s 50 day moving average is $95.70 and its 200-day moving average is $88.33. The company has a quick ratio of 0.34, a current ratio of 1.01 and a debt-to-equity ratio of 0.37. The firm has a market capitalization of $19.11 billion, a P/E ratio of 15.98, a PEG ratio of 2.43 and a beta of 1.47.

Best Buy (NYSE:BBY) last announced its quarterly earnings results on Thursday, August 29th. The technology retailer reported $1.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.16 by $0.18. The company had revenue of $9.29 billion during the quarter, compared to the consensus estimate of $9.23 billion. Best Buy had a net margin of 2.96% and a return on equity of 47.19%. The company’s revenue for the quarter was down 3.1% compared to the same quarter last year. During the same period in the prior year, the business earned $1.22 earnings per share. As a group, sell-side analysts predict that Best Buy Co., Inc. will post 6.28 EPS for the current fiscal year.

Best Buy Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, October 10th. Investors of record on Thursday, September 19th were paid a dividend of $0.94 per share. This represents a $3.76 dividend on an annualized basis and a yield of 4.22%. The ex-dividend date was Thursday, September 19th. Best Buy’s dividend payout ratio is presently 64.83%.

Institutional Investors Weigh In On Best Buy

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Richardson Financial Services Inc. boosted its holdings in Best Buy by 190.9% during the 2nd quarter. Richardson Financial Services Inc. now owns 320 shares of the technology retailer’s stock worth $27,000 after acquiring an additional 210 shares during the last quarter. Harbor Capital Advisors Inc. purchased a new position in Best Buy during the third quarter worth about $40,000. LRI Investments LLC raised its stake in Best Buy by 632.1% in the third quarter. LRI Investments LLC now owns 388 shares of the technology retailer’s stock valued at $40,000 after purchasing an additional 335 shares in the last quarter. Innealta Capital LLC bought a new stake in shares of Best Buy during the 2nd quarter worth $35,000. Finally, Brooklyn Investment Group bought a new position in shares of Best Buy during the 3rd quarter valued at about $44,000. 80.96% of the stock is owned by institutional investors.

About Best Buy

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.