#7 - Best Buy (NYSE:BBY)
If you’re looking for a different way to play the entertainment sector, you could consider Best Buy (NYSE:BBY). The holidays will bring a new round of technology that consumers will use to entertain themselves. This will include video game consoles, streaming devices, and 5G smartphones. In fact, stores will have the Sony (NYSE:SNE) Playstation 5 and the Microsoft (NASDAQ:MSFT) Xbox available for Black Friday shoppers.
Somebody will have to make all this new holiday technology work together, and that’s what Best Buy does best. Best Buy was an essential business during the pandemic, and there’s no reason to believe it won’t be a major shopping destination both at brick-and-mortar locations and online.
At one point, BBY stock was up nearly 35% for the year. And even though the stock has come down a little bit, so has the rest of the market. That means that on a percentage basis, Best Buy remains a clear winner. And Best Buy pays out a solid, and it appears to be a soon-to-be-growing dividend.
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.
Read More - Current Price
- $89.56
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 10 Buy Ratings, 7 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $103.71 (15.8% Upside)
The good news for the entertainment sector is that it’s highly logical to believe that the sector will rebound once the pandemic ends. And despite the rumblings of further lockdown measures in the United States, there will be an end.
But that doesn’t mean you have to wait until that day to take advantage of this sector. There are still some ways to make money in this sector if you have the courage to jump in. Remember, while a good movie will play on your emotions, your job as an investor is to take the emotion out of investing. That means it doesn’t matter how you feel about spending your winter months watching Netflix, and it still makes a compelling stock to buy.
The seven stocks in this presentation all look to post strong growth for the rest of the year. Some of this will be because of holiday shopping, and some will be because of the virus that will likely require many of us to stay closer to home.
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