Brokerages Anticipate Best Buy Co Inc (BBY) to Announce $0.87 EPS

Brokerages predict that Best Buy Co Inc (NYSE:BBY) will report earnings per share (EPS) of $0.87 for the current quarter, according to Zacks. Nine analysts have issued estimates for Best Buy’s earnings. The lowest EPS estimate is $0.85 and the highest is $0.90. Best Buy posted earnings per share of $0.82 in the same quarter last year, which suggests a positive year-over-year growth rate of 6.1%. The company is scheduled to announce its next quarterly earnings report on Thursday, May 23rd.

According to Zacks, analysts expect that Best Buy will report full-year earnings of $5.64 per share for the current fiscal year, with EPS estimates ranging from $5.55 to $5.80. For the next year, analysts expect that the company will post earnings of $6.00 per share, with EPS estimates ranging from $5.79 to $6.18. Zacks’ EPS averages are a mean average based on a survey of analysts that that provide coverage for Best Buy.

Best Buy (NYSE:BBY) last issued its quarterly earnings data on Wednesday, February 27th. The technology retailer reported $2.72 EPS for the quarter, topping analysts’ consensus estimates of $2.57 by $0.15. Best Buy had a net margin of 3.41% and a return on equity of 46.33%. The firm had revenue of $14.80 billion for the quarter, compared to analyst estimates of $14.69 billion. During the same quarter in the previous year, the business posted $2.42 EPS. The firm’s revenue was down 3.7% compared to the same quarter last year.

Several equities research analysts recently commented on BBY shares. Evercore ISI started coverage on shares of Best Buy in a research report on Wednesday, March 20th. They issued an “in-line” rating and a $75.00 price target for the company. Wedbush restated a “neutral” rating and issued a $65.00 price target on shares of Best Buy in a research report on Friday, February 22nd. Bank of America upgraded shares of Best Buy from an “underperform” rating to a “neutral” rating and set a $50.00 price target for the company in a research report on Wednesday, February 27th. Zacks Investment Research downgraded shares of Best Buy from a “hold” rating to a “sell” rating in a research report on Wednesday, January 23rd. Finally, Citigroup upped their price target on shares of Best Buy from $72.00 to $77.00 and gave the company a “neutral” rating in a research report on Friday, March 1st. One analyst has rated the stock with a sell rating, eleven have assigned a hold rating and eight have issued a buy rating to the company. Best Buy presently has a consensus rating of “Hold” and an average target price of $76.82.

In other Best Buy news, CEO Hubert Joly sold 171,711 shares of the stock in a transaction that occurred on Wednesday, April 17th. The shares were sold at an average price of $73.68, for a total value of $12,651,666.48. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Rajendra M. Mohan sold 30,000 shares of the stock in a transaction that occurred on Wednesday, April 17th. The stock was sold at an average price of $73.92, for a total transaction of $2,217,600.00. The disclosure for this sale can be found here. In the last quarter, insiders sold 1,440,995 shares of company stock valued at $99,946,348. Insiders own 0.75% of the company’s stock.

Hedge funds have recently added to or reduced their stakes in the business. Bank of New York Mellon Corp increased its stake in shares of Best Buy by 10.0% during the 3rd quarter. Bank of New York Mellon Corp now owns 6,519,666 shares of the technology retailer’s stock worth $517,400,000 after purchasing an additional 591,086 shares during the last quarter. Martingale Asset Management L P acquired a new position in shares of Best Buy during the 3rd quarter worth $4,072,000. Franklin Resources Inc. increased its stake in shares of Best Buy by 36.4% during the 3rd quarter. Franklin Resources Inc. now owns 61,597 shares of the technology retailer’s stock worth $4,888,000 after purchasing an additional 16,424 shares during the last quarter. GSA Capital Partners LLP acquired a new position in shares of Best Buy during the 3rd quarter worth $548,000. Finally, First Republic Investment Management Inc. increased its stake in shares of Best Buy by 15.0% during the 3rd quarter. First Republic Investment Management Inc. now owns 11,663 shares of the technology retailer’s stock worth $926,000 after purchasing an additional 1,517 shares during the last quarter. Institutional investors own 84.10% of the company’s stock.

Shares of Best Buy stock traded up $0.24 during trading on Friday, reaching $73.64. The company had a trading volume of 2,377,419 shares, compared to its average volume of 3,332,939. The firm has a market cap of $19.72 billion, a PE ratio of 13.84, a price-to-earnings-growth ratio of 1.44 and a beta of 0.94. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.46 and a current ratio of 1.18. Best Buy has a fifty-two week low of $47.72 and a fifty-two week high of $84.37.

Best Buy announced that its board has initiated a share repurchase program on Wednesday, February 27th that authorizes the company to repurchase $3.00 billion in shares. This repurchase authorization authorizes the technology retailer to buy up to 18.5% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s leadership believes its shares are undervalued.

The business also recently announced a quarterly dividend, which was paid on Wednesday, April 10th. Shareholders of record on Wednesday, March 20th were given a $0.50 dividend. This is an increase from Best Buy’s previous quarterly dividend of $0.45. The ex-dividend date of this dividend was Tuesday, March 19th. This represents a $2.00 dividend on an annualized basis and a yield of 2.72%. Best Buy’s dividend payout ratio is presently 37.59%.

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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