Best Buy (NYSE:BBY) Shares Gap Up - Should You Buy?

Best Buy Co., Inc. (NYSE:BBY - Get Free Report)'s share price gapped up prior to trading on Monday . The stock had previously closed at $60.43, but opened at $64.53. Best Buy shares last traded at $62.75, with a volume of 1,597,726 shares traded.

Analysts Set New Price Targets

Several research analysts recently issued reports on BBY shares. Jefferies Financial Group reduced their target price on Best Buy from $106.00 to $92.00 and set a "buy" rating on the stock in a research report on Tuesday, March 4th. Barclays decreased their price objective on shares of Best Buy from $95.00 to $89.00 and set an "equal weight" rating for the company in a research report on Thursday, January 9th. Wedbush reaffirmed a "neutral" rating and issued a $90.00 price target on shares of Best Buy in a report on Monday, March 3rd. Guggenheim cut their price target on shares of Best Buy from $105.00 to $90.00 and set a "buy" rating on the stock in a report on Wednesday, March 5th. Finally, Wells Fargo & Company cut their price target on Best Buy from $89.00 to $85.00 and set an "equal weight" rating on the stock in a research report on Wednesday, March 5th. Two analysts have rated the stock with a sell rating, ten have assigned a hold rating, eight have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $91.28.

Best Buy Trading Up 3.9 %

The company has a current ratio of 1.00, a quick ratio of 0.22 and a debt-to-equity ratio of 0.37. The company has a fifty day simple moving average of $75.45 and a 200-day simple moving average of $84.44. The company has a market capitalization of $13.10 billion, a PE ratio of 10.59, a PEG ratio of 2.10 and a beta of 1.42.

Best Buy (NYSE:BBY - Get Free Report) last released its quarterly earnings data on Tuesday, March 4th. The technology retailer reported $2.58 EPS for the quarter, beating analysts' consensus estimates of $2.40 by $0.18. Best Buy had a return on equity of 45.93% and a net margin of 3.01%. The firm had revenue of $13.95 billion for the quarter, compared to analysts' expectations of $13.69 billion. During the same period in the prior year, the firm posted $2.72 earnings per share. Analysts predict that Best Buy Co., Inc. will post 6.18 EPS for the current year.

Best Buy Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, April 15th. Investors of record on Tuesday, March 25th were issued a $0.95 dividend. This represents a $3.80 annualized dividend and a yield of 6.13%. The ex-dividend date of this dividend was Tuesday, March 25th. This is an increase from Best Buy's previous quarterly dividend of $0.94. Best Buy's dividend payout ratio (DPR) is 88.99%.

Insider Buying and Selling at Best Buy

In other news, CFO Matthew M. Bilunas sold 51,000 shares of Best Buy stock in a transaction on Monday, March 24th. The shares were sold at an average price of $74.20, for a total transaction of $3,784,200.00. Following the completion of the sale, the chief financial officer now directly owns 55,856 shares of the company's stock, valued at approximately $4,144,515.20. The trade was a 47.73 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Mathew Watson sold 3,182 shares of the stock in a transaction dated Friday, March 14th. The shares were sold at an average price of $71.29, for a total value of $226,844.78. Following the completion of the transaction, the chief accounting officer now owns 19,218 shares in the company, valued at approximately $1,370,051.22. The trade was a 14.21 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 78,355 shares of company stock valued at $5,767,213 in the last three months. 0.59% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Best Buy

Several large investors have recently modified their holdings of the company. Rakuten Securities Inc. grew its holdings in shares of Best Buy by 971.9% during the fourth quarter. Rakuten Securities Inc. now owns 343 shares of the technology retailer's stock worth $29,000 after buying an additional 311 shares during the last quarter. Vermillion Wealth Management Inc. purchased a new position in Best Buy during the fourth quarter worth about $31,000. Golden State Wealth Management LLC purchased a new position in shares of Best Buy during the 4th quarter worth approximately $32,000. Atlas Capital Advisors Inc. lifted its holdings in Best Buy by 186.9% in the fourth quarter. Atlas Capital Advisors Inc. now owns 373 shares of the technology retailer's stock valued at $32,000 after acquiring an additional 243 shares during the period. Finally, Ancora Advisors LLC lifted its stake in shares of Best Buy by 18,700.0% in the fourth quarter. Ancora Advisors LLC now owns 376 shares of the technology retailer's stock valued at $32,000 after purchasing an additional 374 shares during the period. 80.96% of the stock is owned by institutional investors and hedge funds.

Best Buy Company Profile

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.