Telsey Advisory Group Predicts Weaker Earnings for Best Buy

Best Buy Co., Inc. (NYSE:BBY - Free Report) - Investment analysts at Telsey Advisory Group lowered their Q1 2026 EPS estimates for shares of Best Buy in a research note issued on Wednesday, March 5th. Telsey Advisory Group analyst J. Feldman now forecasts that the technology retailer will earn $1.06 per share for the quarter, down from their prior forecast of $1.25. Telsey Advisory Group has a "Outperform" rating and a $100.00 price objective on the stock. The consensus estimate for Best Buy's current full-year earnings is $6.18 per share. Telsey Advisory Group also issued estimates for Best Buy's Q2 2026 earnings at $1.33 EPS, Q3 2026 earnings at $1.36 EPS, Q4 2026 earnings at $2.69 EPS, FY2026 earnings at $6.44 EPS and FY2027 earnings at $7.08 EPS.

Other analysts also recently issued reports about the stock. Barclays reduced their price target on shares of Best Buy from $95.00 to $89.00 and set an "equal weight" rating for the company in a report on Thursday, January 9th. Truist Financial reduced their price objective on shares of Best Buy from $95.00 to $81.00 and set a "hold" rating for the company in a report on Wednesday. Morgan Stanley reduced their price objective on shares of Best Buy from $100.00 to $85.00 and set an "equal weight" rating for the company in a report on Wednesday. Piper Sandler reduced their price objective on shares of Best Buy from $102.00 to $92.00 and set an "overweight" rating for the company in a report on Wednesday. Finally, Loop Capital reduced their price objective on shares of Best Buy from $100.00 to $90.00 and set a "buy" rating for the company in a report on Wednesday. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating, ten have issued a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $93.50.

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Best Buy Stock Performance

Best Buy stock traded up $1.06 during mid-day trading on Thursday, reaching $79.66. The company had a trading volume of 3,116,016 shares, compared to its average volume of 2,963,150. The company has a quick ratio of 0.22, a current ratio of 1.00 and a debt-to-equity ratio of 0.37. Best Buy has a 52 week low of $69.29 and a 52 week high of $103.71. The company has a 50 day moving average of $85.58 and a 200-day moving average of $90.46. The firm has a market cap of $17.03 billion, a price-to-earnings ratio of 13.62, a PEG ratio of 2.10 and a beta of 1.43.

Best Buy (NYSE:BBY - Get Free Report) last issued its quarterly earnings results on Tuesday, March 4th. The technology retailer reported $2.58 earnings per share for the quarter, beating analysts' consensus estimates of $2.40 by $0.18. Best Buy had a net margin of 3.01% and a return on equity of 45.93%. The firm had revenue of $13.95 billion during the quarter, compared to the consensus estimate of $13.69 billion. During the same period in the prior year, the firm earned $2.72 EPS.

Best Buy Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, April 15th. Shareholders of record on Tuesday, March 25th will be given a $0.95 dividend. This represents a $3.80 annualized dividend and a yield of 4.77%. The ex-dividend date of this dividend is Tuesday, March 25th. This is a boost from Best Buy's previous quarterly dividend of $0.94. Best Buy's dividend payout ratio (DPR) is presently 88.99%.

Insider Buying and Selling at Best Buy

In other Best Buy news, CFO Matthew M. Bilunas sold 69,166 shares of the firm's stock in a transaction dated Wednesday, December 11th. The shares were sold at an average price of $87.46, for a total value of $6,049,258.36. Following the completion of the sale, the chief financial officer now owns 92,070 shares in the company, valued at approximately $8,052,442.20. This trade represents a 42.90 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 0.59% of the company's stock.

Institutional Investors Weigh In On Best Buy

Several hedge funds and other institutional investors have recently added to or reduced their stakes in BBY. Raymond James Financial Inc. acquired a new stake in Best Buy in the 4th quarter valued at about $514,483,000. Norges Bank acquired a new stake in shares of Best Buy during the 4th quarter worth approximately $178,015,000. Northern Trust Corp grew its position in shares of Best Buy by 31.3% during the 4th quarter. Northern Trust Corp now owns 2,942,832 shares of the technology retailer's stock worth $252,495,000 after buying an additional 701,287 shares during the period. Invesco Ltd. grew its position in shares of Best Buy by 20.5% during the 4th quarter. Invesco Ltd. now owns 3,692,118 shares of the technology retailer's stock worth $316,784,000 after buying an additional 629,180 shares during the period. Finally, Arrowstreet Capital Limited Partnership grew its position in shares of Best Buy by 101.4% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 1,114,928 shares of the technology retailer's stock worth $95,661,000 after buying an additional 561,413 shares during the period. Institutional investors and hedge funds own 80.96% of the company's stock.

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.