Richard M. Schulze, the founder and Chairman Emeritus of Best Buy Co., Inc. (BBY +1.62%), sold 900,000 shares on July 13 and July 14, 2026, according to the SEC Form 4 filing.
Transaction summaryMetricValueTransaction value~$74.0 millionShares sold (indirectly held)900,000Post-transaction shares (indirectly held)11,600,000Post-transaction value$976.89 millionTransaction value based on SEC Form 4 weighted average sale price ($82.21); post-transaction value based on July 14, 2026 market close ($83.98).
Key questionsWhat was the structural framework for this transaction?
The disposition was executed via a Rule 10b5-1 plan adopted on June 12, 2026, and was from indirect ownership through a revocable trust.How does this sale align with the company's recent equity performance?
As of the July 14, 2026 transaction date, the company has generated a 12-month total return of 18%, providing a valuation context for the exit at a weighted average price of $82.21 per share.What is the scale of the insider's remaining equity exposure?
Following this 7% reduction in holdings, the reporting person maintains an indirect interest in ~11.6 million shares, which constitutes 6% of the company's total outstanding shares and carries a market value of $976.89 million as of the July 14, 2026 market close.Company OverviewMetricValueShare Price (as of market close 2026-07-14)$83.98Market Capitalization$17.7 billionRevenue (TTM)$41.9 billionNet Income (TTM)$1.1 billionCompany SnapshotBest Buy operates as a comprehensive technology retailer offering computing devices, mobile phones, networking equipment, tablets, smartwatches, and related peripherals, with significant revenue generated through direct product sales and carrier commissions on mobile phone services.The company generates revenue through a dual-segment business model encompassing domestic and international operations, leveraging both physical retail locations and digital channels to serve technology-focused consumers across North America.Best Buy primarily targets technology-conscious consumers and households seeking consumer electronics, computing solutions, and mobile devices, with a customer base spanning both individual consumers and business segments across the United States and Canada.Best Buy Co., Inc. is a leading specialty retailer in the consumer technology sector with approximately 82,000 employees and a market capitalization of $17.7 billion. The company maintains a substantial revenue base of $41.9 billion on a TTM basis, demonstrating its significant scale within the specialty retail industry.
Best Buy's competitive positioning is anchored by its extensive product portfolio, omnichannel retail presence, and established relationships with major technology manufacturers and wireless carriers.
What this transaction means for investorsThe July 13 and July 14 sale of Best Buy stock by company founder and Chairman Emeritus Richard Schulze came at a time when shares were soaring. The stock eventually hit a 52-week high of $87.35 on July 16.
Even so, Schulze’s sale was a non-discretionary transaction executed as part of a pre-established Rule 10b5-1 plan. Such plans allow insiders to sell shares at predetermined times to avoid concerns of trading on non-public information.
Moreover, Schulze retained over 11 million shares post-disposition, distributed across a revocable trust, a 401(k) plan, an IRA, a limited partnership, a spousal grantor retained annuity trust (GRAT), his spouse, and a spouse irrevocable trust. His substantial equity stake in the company he founded suggests Schulze remains bullish on the stock.
Best Buy shares are up thanks to solid business performance. The company reported $8.9 billion in revenue for its fiscal first quarter ended May 2, up from $8.8 billion in the prior year. In addition, its fiscal Q1 diluted earnings per share skyrocketed to $1.31 compared to $0.95 in the previous year.
This year, as the market is preoccupied with how the Iran war is propping up the energy sector and how the memory chip shortage has been driving the AI rally, there has been little focus on consumer discretionary stocks' underperformance.
In 2026, consumer discretionary remains among the weakest S&P 500 sectors. The Consumer Discretionary Select Sector SPDR Fund, a commonly used proxy for the sector, is down nearly 4% year-to-date.
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But as Q2 earnings season continues, signs are pointing to a rebound in consumer confidence. While that may bode well for the sector broadly, a sampling of consumer discretionary companies shows that if it is sustainable, the results are anything but uniform.
After hitting all-time lows earlier this year, the University of Michigan’s Surveys of Consumers showed a minor uptick in July, with the index jumping from 49.5 in June to 54.4. Despite remaining below the critical threshold of 60—the historical level that serves as a recession risk warning—the sentiment reading marked the second straight month of a 10% increase and the highest reading since February.
However, economists chalk that up to lower prices at the pump over the past few weeks, which have already begun to reverse course as the United States and Iran have resumed fighting. That was reinforced with a lower June Consumer Price Index reading, with the moderated 3.5% year-over-year (YOY) increase attributed to a drop in gas prices.
Nonetheless, the reprieve from higher prices—even if momentary—has had a psychological impact on consumers. But thus far, consumer discretionary earnings have been a mixed bag, telling a more complicated story.
Domino’s Value Deals Drive Orders, But Not Meaningful GrowthDomino's Pizza Today
DPZ
Domino's Pizza
$327.72 -1.25 (-0.38%)
As of 02:27 PM Eastern
This is a fair market value price provided by Massive. Learn more.
52-Week Range$282.00▼
$486.68Dividend Yield2.43%
P/E Ratio18.89
Price Target$402.16
As Domino’s Pizza NASDAQ: DPZ recently demonstrated, everyday consumers may still be ordering, but they are barely growing their tabs. Instead, they are showing highly selective behavior.
The company reported Q2 earnings on Monday, July 20, announcing a revenue beat alongside YOY revenue growth of 4.3%.
But the real takeaway wasn’t revenue growth or even the earnings per share (EPS) miss. Rather, it was same-store sales, which rose just 0.1%.
As a result, Domino’s revised its 2026 guidance. While it maintained full-year sales and profit forecasts and still expects U.S. and international comps to rise in the low-single digits, the company trimmed its outlook for U.S. net unit growth to about 175 stores as franchisee profitability and the company’s development pipeline face elevated near-term pressure.
The EPS miss was symptomatic of a developing long-term trend. Dating back to Q4 2024, Domino’s has now missed on earnings in five of its last seven quarters, including three of the last four. Importantly, income from operations only grew by 2.6% in Q2, which the company admitted during its earnings call was below expectations.
Domino’s has a broad target market, but it ramped up its value-focused campaigns and lower price points—including lengthy Mix & Match and Best Pizza Deal Ever promotions—in 2026, which has successfully attracted a growing share of lower-income consumers. Much of that decision was driven by cautious consumer spending in the latter half of 2025 and into this year, but it has yet to translate to Domino’s income statements.
Full-Service Restaurants and High-End Brands Capture the Stronger ConsumerDarden Restaurants Today
DRI
Darden Restaurants
$192.84 -1.98 (-1.02%)
As of 02:27 PM Eastern
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52-Week Range$169.00▼
$220.65Dividend Yield3.36%
P/E Ratio18.58
Price Target$228.88
Meanwhile, multi-brand, full-service restaurant conglomerate Darden Restaurants NYSE: DRI tells a very different story.
The company, which owns and operates a portfolio including Olive Garden, LongHorn Steakhouse, Yard House, Ruth’s Chris Steak House, Cheddar’s, The Capital Grille, and Seasons 52—among others—reported its fiscal Q4 2026 earnings in late June.
EPS of $3.66 beat analyst expectations of $3.63, and while revenue of $3.72 billion just missed the forecasted $3.73 billion, it marked a 13.7% YOY increase.
With a trailing price-to-earnings (P/E) ratio of 18.76, the company’s earnings are expected to increase 9.84% over the next year.
Notably, Darden’s Q4 same-restaurant sales were up 4.6% YOY and 4.5% for the full fiscal year as diners continue to prioritize experiences over convenience. Olive Garden, LongHorn, and Yard House all posted their fifth consecutive year of positive comp sales, with LongHorn delivering 7.2% same-restaurant sales growth for the full fiscal year and 9.5% growth in Q4.
Cardenas specifically highlighted how Darden offers full-service dining for a variety-seeking demographic, offering “a collection of brands that gives us reach across multiple dining occasions, guest demographics, price points, geographies, and cuisine types.” In turn, the company doesn’t rely on a single brand or consumer segment.
High-end specialty retailer Williams-Sonoma NYSE: WSM also showed that higher-income consumers are spending more freely. When it reported fiscal Q1 earnings on May 21, it beat on earnings and revenue while announcing a 4.8% increase in comps and an operating margin of 16.2%.
Premium apparel maker Ralph Lauren NYSE: RL also beat on earnings and revenue when it reported fiscal Q4 2026 results on May 21, with revenue climbing 16.6% YOY.
Big-Ticket Purchases Are Still LaggingHome Depot Today
HD
Home Depot
$330.50 -2.55 (-0.76%)
As of 02:27 PM Eastern
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52-Week Range$289.10▼
$426.75Dividend Yield2.82%
P/E Ratio23.47
Price Target$371.71
Takeout pizza may be lagging the performances of high-end consumer goods and full-service restaurants aimed at affluent shoppers, but there are indications that middle-income consumers are also delaying gratification, especially for big-ticket items and home renovations.
Best Buy NYSE: BBY reported fiscal Q1 2027 revenue growth of just 1.9% YOY while comparable sales increased 2.0% YOY.
Another indication that middle- and lower-income consumers aren’t spending more: tepid financials from Home Depot NYSE: HD. Often regarded as a bellwether of the economy, the home improvement giant reported negative 4.35% YOY EPS growth for fiscal Q1 2016, while sales rose 4.8% and comparable sales increased 0.6%.
Taken together, despite minor improvements in consumer sentiment, the inconsistencies in consumer discretionary stocks continues to demonstrate that shoppers continue to navigate uncertainty, and any increases in spending are showing distinct disparities among income groups.
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Robotics and automation are rapidly becoming essential infrastructure across healthcare, manufacturing, logistics, and many other industries.
"Physical AI" is coming to the United States, and there are four ways that investors can gain exposure to this new robotics revolution. Plus, learn which seven companies are most positioned to benefit as intelligent robots enter the workforce.
SAN FRANCISCO--(BUSINESS WIRE)--Plaud, the company building the real-world AI interface for professionals, today announced its first major U.S. retail expansion through a strategic partnership with Best Buy. Plaud's award-winning AI note-takers are now available in select Best Buy stores nationwide, giving more customers the opportunity to experience Plaud's wearable AI products in person. This expansion marks a new phase for Plaud as it expands beyond a primarily online shopping experience int.
Best Buy Co Inc (NYSE:BBY)'s early bet on RGB TV is starting to pay off, Jefferies says, pointing to rising site traffic and social media buzz as signs the retailer is building consumer awareness of the emerging technology.
Jefferies analysts flagged that Best Buy holds exclusive rights to sell RGB TVs during the technology's first 12 months on the market, a head start that's translating into real search and traffic advantages.
RGB TV, also called Micro RGB, is a new TV backlight technology, pioneered by Samsung, that uses thousands of tiny individually controlled red, green, and blue LEDs behind the screen instead of the blue LED-with-phosphor or Mini LED setups used in conventional TVs.
In June, BestBuy.com captured visits from one in four consumers searching "RGB TV," up from 19% in May and 4% in April, making it the top retail destination for shoppers researching the technology, well ahead of the next-closest retail site at just 1%.
Digital creators are helping fuel that awareness: tech influencer Andrew Bond's July 13 video from a Best Buy store praising Samsung's Micro RGB TV drew about 2 million views in 24 hours, while lifestyle creators Brooke Mason and @lifewithcina posted similar videos name-checking Best Buy that pulled in tens of thousands of views apiece.
Jefferies estimates Best Buy holds roughly 33% market share in the TV category, a position the firm views favorably given the timing. The analysts note that US TV sell-through has been growing at a solid pace in recent weeks, and they see a major replacement cycle building as televisions purchased during the pandemic approach the end of their useful life.
Looking at the broader picture, Jefferies estimates about 13 million US TVs sold between 2020 and 2021 were the result of pandemic-driven pull-forward demand. With an average useful life of about six and a half years, the firm believes a first, smaller wave of replacement purchases has already begun, with the bulk of that replacement cycle still ahead in 2027 and 2028.
Best Buy: Managing a Massive Revenue BaseBest Buy (BBY 1.39%) primarily generates revenue by selling a wide array of consumer electronics, household appliances, and entertainment products, alongside offering consultation, repair, and technical support services to its customers.
It recently appointed Jason Bonfig as its new Chief Executive Officer, and for the quarter ended May 2, 2026, it reported a net income margin of 3%.
GameStop: Smaller Scale With Similar Seasonal ShiftsGameStop (GME +0.29%) earns most of its revenue by providing new and pre-owned video game consoles, software, and accessories, along with digital gaming content and licensed pop culture merchandise.
It recently submitted an unsolicited proposal to acquire eBay for $55.5 billion, which eBay’s Board of Directors rejected. For the quarter ended May 2, 2026, it recorded a net income margin of 47%.
Why Revenue Matters for Retail InvestorsRevenue here represents the total money a company brings in from its operations before any expenses are deducted, which helps investors gauge overall customer demand and business scale.
Quarterly Revenue for Best Buy and GameStopQuarter (Period End)Best Buy RevenueGameStop RevenueQ3 2024 (Aug. 2024)$9.3 billion$798.3 millionQ4 2024 (Nov. 2024)$9.4 billion$860.3 millionQ1 2025$13.9 billion (period ended Feb. 2025)$1.3 billion (period ended Jan. 2025)Q2 2025 (May 2025)$8.8 billion$732.4 millionQ3 2025 (Aug. 2025)$9.4 billion$972.2 millionQ4 2025 (Nov. 2025)$9.7 billion$821.0 millionQ1 2026 (Jan. 2026)$13.8 billion$1.1 billionQ2 2026 (May 2026)$8.9 billion$835.3 millionData source: Company filings. Data as of July 13, 2026.
Foolish TakeAs is typical for retailers, Best Buy and GameStop experience sales spikes over the holiday shopping season in November and December. The former’s vastly higher revenue illustrates how the electronics retailer successfully navigated shifts in its business as consumers abandoned physical movie and video game media for digital versions. Its sales edged up to $8.9 billion in its fiscal first quarter ended May 2 compared to $8.8 billion in the prior year.
GameStop is attempting to adjust to changes in shopping behavior by introducing collectibles, which helped drive 14% year-over-year sales growth in its fiscal first quarter ended May 2. The company also posted the highest quarterly net income in its history, reaching $389.6 million, as a result of a confluence of cost management, higher revenue, and gains on investments such as Bitcoin.
Over the long term, Best Buy stands to see continued revenue growth. It has diversified across computers, appliances, mobile phones, and other products that provide resilience against economic headwinds. Meanwhile, GameStop still needs to prove it has a sustainable business as its core video games offering is in rapid decline, especially after Sony announced its PlayStation console will only sell digital content starting in 2028.
With the S&P 500 dividend yield sitting well below 2%, income investors chasing meaningful cash flow are increasingly forced outside the usual REIT and utility sectors. The four names below all pay yields north of 4%, sit in industries most dividend screens ignore (PCs, consumer electronics retail, airlines, and semiconductors), and, more importantly, show the earnings coverage and free cash flow to keep those checks coming. Here are four higher-yield dividend stocks I think the market is distinctly overlooking.
Copa Holdings (CPA) Copa Holdings (NYSE:CPA | CPA Price Prediction) is a name you may not know – but you should. It’s a Latin American airline based in Panama, whose shares are up 25% year to date and about 42% over the past year, with a current yield of 4.58%.
Copa hiked its dividend to $1.71 per quarter in early 2026, up from $1.61, an increase of 6.2%. Q1 2026 EPS came in at $5.16 versus $4.42 expected, and trailing EPS is $16.93, which leaves the $6.84 annualized dividend covered several times over. Operating margin was 24.6%, load factor hit 87.2%, and Adjusted Net Debt to EBITDA sits at just 0.6x. Analysts carry a mean target of $173.13 with 13 buy or strong buy ratings against only 2 holds.
The risk: jet fuel is expensive (and pricing is uncertain due to various macro factors), and management guided operating margin down to 8% to 12% for that quarter. Airlines are cyclical, currency-sensitive, and capital intensive.
HP Inc. (HPQ) HP Inc. (NYSE:HPQ) trades at around $24, with a market cap of roughly $21 billion and a juicy dividend yield of 5.21%. The stock is up almost 10% year to date but still trades at just 7x forward earnings, one of the cheapest large-cap tech multiples in the market.
HP paid out $0.30 per share in each of its most recent quarters, an annualized rate of $1.20, against trailing EPS of $2.74, so things look well-covered. Q2 FY26 non-GAAP EPS came in at $0.86 versus the $0.7151 consensus, and free cash flow swung to $800 million from negative $100 million a year earlier. Management guided FY26 non-GAAP EPS to $2.90 to $3.10 and free cash flow to $2.8 billion to $3.0 billion, which comfortably funds the payout.
The risk: memory prices are climbing, tariff exposure is real, and printer hardware units fell 7% year over year last quarter. HP is a cash cow, but it is a cyclical one.
Best Buy Co. (BBY) Best Buy (NYSE:BBY) has been one of the quieter comeback stories of 2026, up ~20% year to date. The current yield sits at 4.84%, backed by a quarterly dividend that was raised to $0.96 in March 2026 (up from $0.95). The most recent payment landed July 9, 2026.
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Q1 FY27 gave dividend investors what they needed: adjusted EPS of $1.28 versus $1.23 expected, revenue of $8.94 billion, and enterprise comparable sales of +2.0% after a negative print a year earlier. Management guided FY27 adjusted EPS to $6.30 to $6.60, which supports the $3.84 annualized payout with room to spare, and plans roughly $300 million in buybacks. Trailing EPS of $5.40 and a 14x trailing multiple leave the payout well covered.
The risk: consumer electronics remain cyclical, appliances comps were down 10.5% domestically, and the CEO transition to Jason Bonfig on November 1, 2026 introduces additional execution uncertainty.
Skyworks Solutions (SWKS) Skyworks Solutions (NASDAQ:SWKS) is the contrarian pick. Shares are trading around $60, down 22% over the past month. That drawdown pushed the yield up to 4.57%, with the quarterly dividend at $0.71 and annualized at $2.84. Forward P/E is 12x.
Q2 FY26 non-GAAP EPS beat at $1.15 versus $1.04, and revenue of $943.7 million topped estimates. The bigger catalyst is a multi-generational design win with a leading Android OEM that management expects to generate more than $1 billion in revenue through 2030, finally reducing Apple concentration. Q1 FY26 free cash flow hit $339 million at a 32.7% margin, which is more than enough to fund the payout. CEO Phil Brace noted, “Mobile outperformed expectations on healthy demand, while Broad Markets continues to accelerate.”
The risk: the proposed Qorvo merger, approved by 81% of shareholders, still faces regulatory review and adds leverage. Semiconductor cyclicality and Apple exposure remain the wild cards.
What to Watch Next All four of these names offer 4%+ dividends – without the direct interest rate exposure problems that plague REITs and utilities. HP and Best Buy hinge on holiday demand and tariff clarity, Copa on fuel prices, and Skyworks on the Qorvo close and the Android ramp. For income investors willing to accept cyclical exposure in exchange for yields well above the market, these offer four distinct sources of covered cash flow…from names that I think the market is distinctly overlooking.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and HP didn't make the cut. Grab the names FREE today.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
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Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
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Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
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Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
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Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Best Buy (BBY - Free Report) Founded in 1966 and headquartered in Richfield, MN, Best Buy Co., Inc. (BBY - Free Report) is one of North America's largest specialty retailers of consumer electronics, computing products, appliances, entertainment products, mobile phones and technology-related services. The company operates as an omnichannel retailer, combining its extensive store network with e-commerce capabilities to provide customers with a seamless shopping experience across physical and digital channels.
BBY is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Momentum investors should take note of this Retail-Wholesale stock. BBY has a Momentum Style Score of B, and shares are up 4.3% over the past four weeks.
For fiscal 2027, eight analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.06 to $6.56 per share. BBY boasts an average earnings surprise of +5.5%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, BBY should be on investors' short list.
This is a fair market value price provided by Massive. Learn more.
52-Week Range$55.10▼
$84.99Dividend Yield5.10%
P/E Ratio13.95
Price Target$79.50
Best Buy NYSE: BBY is accomplishing what many thought unlikely.
After a pandemic-fueled surge came and went, the company is showing signs of stabilizing sales and online momentum. Rather than another big-box victim, it is focused on improving its margins and expanding its business. And it is maintaining strong profitability despite sluggish consumer electronics demand.
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In fact, the most-recent three month results came in above what most analysts expected. Comparable store sales rose. And management reiterated full-year guidance with enough specifics to suggest the direction had changed.
Investors who had written off the company as too old-fashioned might be surprised by the evidence that arrived. Whether now is the time to jump into the stock depends a lot on what happens next.
Best Buy Delivers Better-Than-Expected ResultsBest Buy’s first fiscal quarter, which ended on May 2, tells a solid story of incremental progress across a number of key pursuits.
Revenue beat expectations and reached $8.94 billion in the quarter, up from $8.77 billion a year earlier, and reversing a fourth-quarter slide during the key holiday season. Adjusted diluted earnings per share climbed to $1.28 from $1.15, also above what analysts expected. Reported net earnings climbed more than one-third to $276 million from $202 million a year earlier.
Comparable sales rose 2%, more than the company had anticipated and in contrast to a drop of 0.7% in the year-ago period. Domestic revenue increased 1.5% to $8.25 billion, with domestic comparable sales up 1.8%.
Operational results were also encouraging. Operating income reached 4.1% of revenue, the company’s domestic gross margin expanded to 23.7% from 23.5%, and adjusted selling, general, and administrative (SG&A) expenses as a share of domestic revenue edged down to 19.3% from 19.4%.
Those were not big changes, but in retail, those fractions of a percentage point matter. Extracting more margin from a little more revenue shows positive direction, even if the headline numbers don’t show a big change.
New Growth Businesses Are Gaining MomentumWhere the growth came from is perhaps more important than the growth itself. The company said its biggest contributors to comparable-sales gains were gaming, computing, mobile phones, and services, categories with momentum. In contrast, sales of consumer electronics slid slightly while appliances fell nearly 14%.
The recent numbers also gave proof that the company’s recent strategy is delivering. Best Buy Ads, which promotes brands and products through Best Buy’s customer base, and the company's online Marketplace, which hosts third-party sellers, also delivered strong performances. For lines of business that barely existed a few years ago, the company is nicely expanding its profile beyond TVs and computers.
Results from the company’s international operations were also encouraging. Revenue in that segment rose 7.3% to $687 million, led by 4.7% sales growth and the rest attributable to favorable foreign exchange rates.
Wall Street Remains CautiousBest Buy is also regaining investor attention. Shares are up more than 16% since the start of the year, but the stock still trades below $80, well under its level above $100 less than two years ago and below its 52-week high near $85.
Even with the recent results, analysts remain cautious. Of the 22 analysts following the company, the average rating is a Hold on the stock. Six analysts say Buy, 14 suggest Hold, and two recommend Sell.
With a 12-month average price target of $79.50 per share, analysts see only limited upside from recent trading levels.
Risks Continue to Limit the UpsideThe recommendation to Hold is also a reflection of other possible factors.
Best Buy Dividend PaymentsDividend Yield5.11%
Annual Dividend$3.84
Dividend Increase Track Record22 Years
Annualized 5-Year Dividend Growth11.55%
Dividend Payout Ratio71.11%
Next Dividend PaymentJul. 9
BBY Dividend History
Best Buy raised its quarterly payout by 1 cent to 96 cents per share in March and paid $202 million in dividends in the first quarter. That represents an over 5% yield based on current prices.
But the company’s guidance for 2027, though solid and suggesting that the improvement is durable, is roughly flat compared to the results reported last year.
The bear case has also not completely disappeared. The retail sector is notoriously volatile. And with the housing market not helping, the decline in appliance sales, which now represents 10% of its business, is not likely to recover anytime soon.
The broader competitive pressure from e-commerce, warehouse clubs, mobile carriers, and direct-to-consumer brands is also as real as it has ever been. Amazon NASDAQ: AMZN, Walmart NASDAQ: WMT, Costco NASDAQ: COST, and Apple NASDAQ: AAPL each compete for the same shoppers.
Another question hanging over the company is some recent changes in senior management. Best Buy changed both its future chief executive officer and its chief financial officer within a short span.
The company has announced that Jason Bonfig, who oversees merchandising, ecommerce, marketing, supply chain, Best Buy Canada, and Best Buy Ads, will succeed Corie Barry as CEO at the end of October. The company’s chief financial officer will also step down at the end of July.
Best Buy's Comeback Still Needs More ProofPatient investors attracted by high dividends and a leading brand retailer are likely paying attention. With execution improving and its expansion of profit pools, Best Buy is making a credible case. Profits are up, and its efficiency strategy appears to be working.
Other investors might want more proof. A leadership transition and a muted sales trajectory make a quick run-up unlikely in the near term. Waiting for results from another quarter or two might be the smart move to ensure the comeback is real.
Should You Invest $1,000 in Best Buy Right Now?Before you consider Best Buy, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Best Buy wasn't on the list.
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Best Buy is undergoing a pivotal leadership change, with Jason Bonfig—architect of its marketplace and retail media—taking the helm as CEO. BBY is strategically shifting toward higher-margin growth engines: expanding its third-party marketplace, scaling Best Buy Ads, and leveraging Geek Squad services. The stock trades at a discounted 12x trailing earnings and 6.3% yield, undervaluing BBY's transformation potential and margin expansion opportunities.
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Stock to Watch: Best Buy (BBY - Free Report) Founded in 1966 and headquartered in Richfield, MN, Best Buy Co., Inc. (BBY - Free Report) is one of North America's largest specialty retailers of consumer electronics, computing products, appliances, entertainment products, mobile phones and technology-related services. The company operates as an omnichannel retailer, combining its extensive store network with e-commerce capabilities to provide customers with a seamless shopping experience across physical and digital channels.
BBY is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 11.84; value investors should take notice.
Eight analysts revised their earnings estimate upwards in the last 60 days for fiscal 2027. The Zacks Consensus Estimate has increased $0.06 to $6.56 per share. BBY boasts an average earnings surprise of +5.5%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, BBY should be on investors' short list.
Shares of Best Buy BBY have declined following the announcement that Matt Bilunas, the company's Chief Financial and Strategy Officer, will depart at the end of July. This marks a significant leadership transition as Jason Bonfig is set to take over as CEO on November 1. Investors are concerned about the timing, as the company navigates a leadership change while facing challenges such as cautious consumer spending and margin pressures.
Leadership Setup: Bilunas has been with BBY for 20 years, overseeing finance, strategy, procurement, financial services, real estate, and omnichannel operations. His departure represents a broader change than a typical CFO transition. Transition Risk: Best Buy is engaging an external search firm to find a successor with prior CFO experience. Current CEO Corie Barry, a former CFO herself, will provide financial oversight during the transition if necessary. Operating Momentum: The company's recent performance has shown improvement, with better-than-expected Q1 profitability and eight consecutive quarters of positive computing comparisons. Margin Framework: For FY27, Best Buy anticipates a gross profit rate improvement of about 30 basis points, supported by initiatives like Best Buy Ads and U.S. Marketplace, although core product margins are under pressure from promotional activities. Demand Friction: BBY is encountering a mixed consumer-electronics market, with value-focused shoppers and softness in home theater and appliances, despite some strengths in certain categories. Capital Returns: The company has maintained its quarterly dividend of $0.96 and plans approximately $300 million in share repurchases for FY27, indicating that the leadership transition has not altered its capital-return strategy.The key takeaway is that while BBY's operational plan appears stable, the departure of the CFO adds execution and communication risks during this critical CEO transition. Investors are particularly attentive as the company manages multiple challenges, including a fragile consumer-electronics recovery and uncertainties in component costs and pricing. The transition does not inherently signal operational issues, especially with Barry's oversight and Bonfig's involvement in the company's digital strategy. However, the urgency for a credible successor announcement increases, and positive sentiment may hinge on a swift CFO appointment and continued operational stability.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
As the exclusive national retailer, Best Buy brings next-generation TV technology from Samsung, Sony, LG, TCL and Hisense to stores
MINNEAPOLIS--(BUSINESS WIRE)--The most significant advancement in TV technology in more than a decade is now available at Best Buy stores nationwide. Through exclusive partnerships with Samsung, Sony, LG, TCL and Hisense, Best Buy is the only national retailer where customers can shop RGB LED TVs and see color and brightness never before possible, from anywhere in the room.
The arrival of RGB LED TV comes at an important moment for customers, as more than 48 million televisions were purchased in 2020.1 With most TVs being replaced every five to seven years, millions of households are beginning to consider their next TV upgrade. To get ready, Best Buy trained and certified more than 15,000 Blue Shirts on the new technology, in partnership with the leading home theater brands.
Best Buy is also creating a seamless end-to-end experience for customers who buy a new RGB LED TV. Customers will get free delivery and installation, including mounting, as well as free haul-away of their current TV with most RGB LED TV purchases.
“RGB LED is the biggest leap in TV technology since OLED arrived in 2013. It is not just a spec change — the colors are physically produced differently, and it’s something you’ll notice immediately,” said Jason Bonfig, incoming CEO and chief customer, product and fulfillment officer at Best Buy. “As customers are ready for a new TV, we’re ready to show them Best Buy is the best place to experience RGB LED TVs."
Shop and experience RGB LED TVs at Best Buy
As shoppers begin to upgrade and replace their TVs, Best Buy has built an experience for its customers they won’t find anywhere else — bringing together the industry’s leading RGB LED TV brands, thousands of specially-trained experts across the country, free delivery and installation, and more.
Exclusive national retail partner: Best Buy is the only national retailer where customers can experience and shop RGB LED TVs from Samsung, Sony, LG, TCL and Hisense — in stores, on the Best Buy App and on BestBuy.com. Experience RGB LED TVs in store: Customers can find RGB LED TVs now on display in nearly every Best Buy store, with screen sizes starting at 50 inches and extending into Best Buy’s XXL TV lineup, including 116-inch displays. Expert support: In partnership with leading RGB LED TV brands, Best Buy has trained and certified more than 15,000 Blue Shirts nationwide on the new technology to help customers find the right TV for their home. Easy upgrade: Best Buy customers can receive free delivery, installation and mounting, in addition to haul-away of their old TV, with all RGB LED TV purchases — making it easier than ever to upgrade. RGB LED technology: Color and brightness never before possible
RGB LED is more than the latest TV technology — it’s a new standard for the viewing experience. By combining thousands of precision dimming zones with dedicated red, green and blue LEDs, RGB LED TVs deliver more lifelike color, higher brightness and enhanced clarity for a truly immersive experience.
Lifelike color: RGB LED TVs can produce nearly 76% of colors the human eye can see — unlocking richer, more accurate and lifelike images customers don’t experience on current TVs. Brightness: RGB LED TVs are the brightest TVs on the market. Independent control of red, green and blue LEDs enables more precise brightness, creating deeper contrast and greater dynamic range. Wide viewing angles: Virtually every seat in the room, from any angle, will get the same excellent picture quality, color and brightness. Clarity: Advanced processing uses AI upscaling that enhances color and content for a sharper, more detailed viewing experience. 1Circana, LLC, Retail Tracking Service, Unit Sales, 52 WE Jan 9, 2021
About Best Buy
Best Buy (NYSE: BBY) is the world's largest specialty consumer electronics retailer. Our purpose is to enrich lives through technology, which we do by providing our customers a unique mix of advice, products and services in our stores, online, and in homes. Our expert associates advise customers on our curated assortment of the latest, name-brand technology, while our highly trained services teams help with designs, consultations, delivery, installation, tech support and repair. We are a leader in corporate responsibility and sustainability issues, including through the Best Buy Foundation's nationwide Best Buy Teen Tech Center® network and the significant role we play in the circular economy through repair, trade-in and recycling programs. We generated $41.7 billion of revenue in fiscal 2026, operate more than 1,000 retail stores in North America, and have more than 80,000 employees. For more information, visit corporate.bestbuy.com and investors.bestbuy.com.
Consumer electronics giant Best Buy (NYSE: BBY | BBY Price Prediction) just declared a $0.96 quarterly payout, pushing the annualized dividend to $3.84 per share. At a recent price of $73.10, that is a yield of roughly 5.0%, well north of the 4.43% 10-year Treasury. With Kevin Warsh signaling a more hawkish Fed posture and retiree portfolios bracing for volatility, the question I want to answer is simple: how safe is this dividend?
Dividend Snapshot Metric Value Annual Dividend $3.84 per share Dividend Yield ~5.0% Most Recent Increase 1% (March 2026) Years Paid Without Cut 20+ years Dividend Aristocrat/King No Payout Ratios Leave Real Breathing Room Best Buy generated $1.258 billion in free cash flow on $1.962 billion of operating cash flow in FY26, against roughly $820 million in dividends paid. FY26 adjusted EPS of $6.43 easily covers the $3.84 payout.
Metric TTM Assessment Earnings Payout Ratio ~60% Healthy FCF Payout Ratio ~65% Healthy OCF Coverage ~2.4x Strong FY27 guidance of $6.30 to $6.60 in adjusted EPS keeps that earnings payout ratio firmly under 65% even at the low end.
The Balance Sheet Backs the Check Metric Value Assessment Cash on Hand $1.749B Solid Buffer Shareholders’ Equity $3.083B Stable EV/EBITDA 8x Conservative Cash alone covers more than two years of dividends. With EBITDA of $2.618 billion, leverage is manageable, and management is still funding ~$300 million in FY27 buybacks on top of the dividend.
A Streak That Survived COVID Year Annual Dividend 2026 $3.84 2025 $3.80 2024 $3.76 2023 $3.68 2022 $3.52 Best Buy never cut during the pandemic and the five-year dividend CAGR runs around 6.5%. The most recent 1% bump is modest, signaling caution but not stress.
Management Is Funding the Dividend Through a CEO Handoff CEO Corie Barry, who hands the reins to Jason Bonfig on November 1, 2026, said on the Q1 FY27 call: “We also drove operating income rate expansion and EPS growth.” The board approved the raise alongside the buyback plan, which tells me capital return remains a priority through the transition.
The Verdict: Safe Dividend Safety Rating: Safe. A ~60% earnings payout, ~65% FCF payout, $1.7 billion in cash, and an unbroken 20-year payment record give me confidence. The dividend looks well-supported for income-focused investors who expect computing and gaming refresh cycles to keep comparable sales positive. The risk profile worsens if consumer sentiment (49.8) keeps sliding and appliance weakness deepens. For now, the 5% yield looks well earned.
Matt Bilunas to step down on July 31 after 20 years with the company, including seven as CFO
Company is conducting an external search for a successor to partner with incoming CEO Jason Bonfig
MINNEAPOLIS--(BUSINESS WIRE)--Best Buy Co., Inc. (NYSE: BBY) today announced that Matt Bilunas will step down as Chief Financial Officer and depart the company at the end of July.
Best Buy has engaged an external search firm for its next chief financial officer and expects to name a successor with previous CFO experience. Current CEO Corie Barry, who previously served as CFO, will provide financial oversight during the transition if needed.
"I am truly honored to have been part of this great company and grateful to those who have made a lasting impact on my life and career. I am proud of what we have accomplished together, and even more proud of the people and teams I have had the privilege to work alongside,” said Bilunas. “Best Buy is well positioned for the future, and I have tremendous confidence in Jason and the next generation of leaders who will continue to build on the momentum we’ve created.”
Bilunas served as CFO for the last seven years, working hand in hand with Barry and Bonfig to navigate a range of challenging environments to help generate the momentum driving Best Buy and its business today.
"We wouldn't be where we are today, or have such confidence in the future ahead of us, without Matt,” said Bonfig. “He helped build Best Buy in invaluable ways, and I'm genuinely grateful for everything he has contributed and everything I've learned from him over the years.”
“The past seven years have been exciting, challenging, unpredictable and meaningful, and I truly believe we wouldn't have navigated them as well as we did if it weren't for Matt,” said Barry. “His impact on this company will last for years to come; not only because of his financial leadership, but because of the way he has developed talent and helped shape our strategy. His impact on me personally will last a lifetime.”
Bilunas joined Best Buy in July 2006 as a Territory Finance Director. During his tenure, he held numerous finance roles across the company, including Senior Vice President of Enterprise Finance, before assuming the CFO role in 2019. Most recently, Bilunas was responsible for finance, enterprise strategy, procurement, financial services, real estate and omnichannel operations.
Bonfig will become the company’s sixth CEO when he officially takes over the role on November 1, 2026. He recently unveiled the four priorities Best Buy will focus on to grow the business: Advancing Best Buy as a Retail, Media and Advertising, and Technology company; Expanding and growing our reach; Elevating the Best Buy experience; and being a human-powered, customer-focused company.
About Best Buy
Best Buy (NYSE: BBY) is the world's largest specialty consumer electronics retailer. Our purpose is to enrich lives through technology, which we do by providing our customers a unique mix of advice, products and services in our stores, online, and in homes. Our expert associates advise customers on our curated assortment of the latest, name-brand technology, while our highly trained services teams help with designs, consultations, delivery, installation, tech support and repair. We are a leader in corporate responsibility and sustainability issues, including through the Best Buy Foundation's nationwide Best Buy Teen Tech Center® network and the significant role we play in the circular economy through repair, trade-in and recycling programs. We generated $41.7 billion of revenue in fiscal 2026, operate more than 1,000 retail stores in North America, and have more than 80,000 employees. For more information, visit corporate.bestbuy.com and investors.bestbuy.com.
Forward-Looking and Cautionary Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 as contained in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. You can identify these statements by the fact that they use words such as "anticipate," "appear," "approximate," "assume," "believe," "continue," "could," "estimate," "expect," "foresee," "guidance," "intend," "may," "might," "outlook," "plan," "possible," "project" "seek," "should," "would," and other words and terms of similar meaning or the negatives thereof. Such statements reflect our current views and estimates with respect to the Company’s positioning and our ability to create meaningful growth for the company and its shareholders and our opportunities. These statements involve a number of judgments and are subject to certain risks and uncertainties, many of which are outside the control of the Company, that could cause actual results to differ materially from the potential results discussed in such forward-looking statements. Readers should review Item 1A, Risk Factors, of our most recent Annual Report on Form 10-K, and any updated information in subsequent Quarterly Reports on Form 10-Q, for a description of important factors that could cause our actual results to differ materially from those contemplated by the forward-looking statements made in this release. Among the factors that could cause actual results and outcomes to differ materially from those contained in such forward-looking statements are the following: macroeconomic pressures in the markets in which we operate (including but not limited to real GDP growth, inflation, recession, consumer confidence, employment levels, effects of the government closures, cost of living, uncertainty over the availability of government benefits, tax rates, availability of consumer financing, interest rates, housing market conditions, foreign currency exchange rates, the price of oil, gas and other commodities and other macroeconomic trends); geopolitical pressures (including issues related to trade policies, tariff increases and/or volatility and geopolitical instability); catastrophic events, health crises and pandemics; susceptibility of the products we sell to technological advancements, product life cycle fluctuations and changes in consumer preferences; competition (including from multi-channel retailers, e-commerce business, technology service providers, traditional store-based retailers, vendors and mobile network carriers, in the provision of delivery speed and options and with the strategic use of artificial intelligence); our ability to attract and retain qualified employees and changes in market compensation rates; our focus on services as a strategic priority; our reliance on key vendors and mobile network carriers (including product availability); our ability to maintain positive brand perception and recognition; our ability to effectively identify, manage and execute enterprise-wide strategies, such as strategic ventures, alliances or acquisitions; our ability to effectively manage our infrastructure, real estate portfolio and market segmentation strategy; interruptions and other factors affecting our supply chain (impacting our stores or other aspects of our operations); our utilization of third-party vendors for certain aspects of our operations; risks associated with the products we sell, including those products sold on our Marketplace platforms and products under our exclusive brand labels; our reliance on our information technology systems, internet and telecommunications access and capabilities; our ability to prevent or effectively respond to a cyber-attack, privacy or security breach; and statutory, regulatory and legal developments (including statutes and/or regulations related to tax or privacy). We caution that the foregoing list of important factors is not complete. Any forward-looking statements speak only as of the date they are made and we assume no obligation to update any forward-looking statement that we may make.
Best Buy Co Inc (NYSE:BBY) is positioned for a new phase of growth under incoming CEO Jason Bonfig, according to Jefferies analysts, who said that recent discussions with the executive left them increasingly confident in the company’s outlook amid shifting dynamics in consumer electronics.
Jefferies sees a supportive backdrop for the retailer as replacement cycles, product innovation and category complexity converge, creating what it describes as an opportunity for higher industry growth and above-average expansion for Best Buy.
The firm highlighted potential upside drivers, including retail media, third-party marketplace growth, TV replacement demand, and share gains in appliances.
Jefferies pointed to Bonfig’s long-standing relationships with key vendors as a strategic advantage, particularly in the context of ongoing supply chain constraints such as memory chip shortages.
The analysts also highlighted his role in securing Best Buy’s early exclusivity around RGB televisions, citing it as evidence of his ability to commercialize emerging technology trends.
According to Jefferies, the launch of RGB TVs is expected imminently, with employee training completed and a broad marketing campaign set to begin later this month. The rollout will include bundled services such as delivery, installation and haul-away, which the firm said reflects a deliberate effort to target consumers who may not yet have an urgent replacement need.
On Best Buy’s advertising business, Jefferies said recent technology investments could enable more flexible and scalable campaign formats, including multiple simultaneous store “takeover” campaigns across different geographies and customer segments. The firm described this as a potential acceleration point for what is already a high-margin revenue stream.
Jefferies also compared Best Buy’s positioning in the current AI cycle to the early days of Wi-Fi adoption, arguing that new technology waves tend to benefit the retailer as consumers rely on in-store expertise to navigate complex product shifts.
In appliances, the note highlighted a strategy focused on delivery speed and fulfillment optimization, including expanded rural inventory positioning and later cutoffs for next-day delivery in urban markets. Jefferies wrote that these changes could help capture incremental demand from time-sensitive purchases.
The firm added that Best Buy’s third-party marketplace expansion is expected to scale faster in the US than it did in Canada, where Bonfig previously led similar efforts.
Jefferies concluded that Best Buy is well positioned in an “agentic commerce” environment, where automated shopping tools may increase price transparency but also surface fulfillment and service advantages such as rapid delivery and installation—areas where the retailer maintains structural strengths.
Best Buy shares traded hands at about $74 on Tuesday, up almost 11% in the year to date.
Shares of Best Buy BBY surged 18% on Thursday after the electronics retailer reported stronger-than-expected first-quarter earnings, boosted by higher margins and modest sales growth.
The stock rally followed quarterly operating earnings of $1.28 per share, up from $1.15 a year earlier.
Revenue rose 2% year over year to $8.94 billion from $8.78 billion, while same-store sales increased 2%.
Despite the sharp gain, investor attention has increasingly shifted toward the company’s dividend, which currently yields around 5%, among the highest payouts in the S&P 500.
Best Buy shares traded around $76 during Thursday’s session, still below their October 2025 high near $84.
The company’s latest results reinforced confidence that the dividend remains well supported despite concerns about slowing consumer electronics demand and rising memory costs.
Best Buy currently pays a quarterly dividend of 96 cents per share, translating to an annualized payout of $3.84 per share.
Wall Street analysts expect the company to generate fiscal 2027 earnings of approximately $6.48 per share, comfortably covering the dividend obligation.
In addition to dividends, Best Buy said it repurchased $202 million worth of stock during the first quarter and plans to buy back another $300 million by the end of the fiscal year.
The company maintained its full-year operating earnings guidance of $6.30 to $6.60 per share, compared with $6.43 in fiscal 2026.
Jefferies also raised its price target on Best Buy shares to $89 from $83 while maintaining a Buy rating, citing stronger-than-expected comparable sales and improving momentum.
The firm noted that growth in third-party marketplace operations and advertising initiatives through Best Buy Ads could provide additional margin expansion opportunities that remain underappreciated by the market.
Investors remain cautious about the broader outlook for consumer electronics demand as rising memory chip costs threaten to increase prices for PCs and other technology products.
The memory shortage, sometimes referred to as “RAMageddon,” has raised concerns that higher hardware prices could discourage consumer purchases.
Incoming CEO Jason Bonfig acknowledged the pressure during a call with reporters.
“We did see some staggered price increases in Q1. As we move into Q2, we do expect ASPs to increase, and units from an elasticity perspective to be impacted,” Bonfig said. “We continue to work very closely with our vendors to mitigate this.”
However, executives suggested consumers have not yet shown signs of pulling forward purchases due to pricing fears.
“We are not seeing any indicators that would say the customer's pulling forward purchases. In fact, very few are worried about memory,” CEO Corie Barry said.
“While they're thoughtful about the big-ticket buys, they're absolutely willing to spend on those high price points when they need to or when the technology is compelling enough,” she added.
Bonfig echoed similar comments.
“They don't walk into our store with fear about memory prices, and we're not seeing any indication that they're pulling core purchases as a result of it,” he said.
Best Buy has also continued diversifying beyond its traditional electronics business.
Last August, the company launched Best Buy Marketplace, allowing third-party sellers to offer products through its platform.
The retailer has also expanded its digital advertising business through Best Buy Ads, following strategies used by larger retail rivals including Amazon and Walmart.
The company reported sales growth across gaming, computing, mobile phones, and services during the quarter.
Appliance sales remained weaker due to a sluggish housing market, though management said recent improvements in marketing and delivery speed helped performance improve during May and the Memorial Day shopping period.
While analysts do not expect Best Buy to become a high-growth technology stock, the combination of stable earnings, shareholder returns, and a sizable dividend continues attracting income-focused investors.
MINNEAPOLIS--(BUSINESS WIRE)--The Board of Directors of Best Buy Co., Inc. (NYSE:BBY) has authorized the payment of a regular quarterly cash dividend of $0.96 per common share. The quarterly dividend is payable on July 9, 2026, to shareholders of record as of the close of business on June 18, 2026. The company had 210,718,220 shares of common stock issued and outstanding as of May 2, 2026.
Meta Lab @ Best Buy to open in more than 50 storesMINNEAPOLIS--(BUSINESS WIRE)--In partnership with Meta, Best Buy is bringing Meta Lab @ Best Buy to more than 50 of its stores this summer. These 900-square-foot experiential spaces give customers a hands-on way to explore Meta’s full product lineup of AI glasses and VR headsets through interactive demos and displays, smart mirrors, personalized fittings and more. Meta AI Glasses are designed to be worn and explored firsthand. Customers want to know the fit, feel and experience, which is where...
Best Buy Reports First Quarter ResultsMINNEAPOLIS--(BUSINESS WIRE)--Best Buy Co., Inc. (NYSE: BBY) today announced results for the 13-week first quarter ended May 2, 2026 (“Q1 FY27”), as compared to the 13-week first quarter ended May 3, 2025 (“Q1 FY26”). Q1 FY27 Q1 FY26 Revenue ($ in millions) Enterprise $ 8,936 $ 8,767 Domestic segment $ 8,249 $ 8,127 International segment $ 687 $ 640 Enterprise comparable sales % change1 2.0 % (0.7 )% Domestic comparable sales % change1 1.8 % (0.7 )% Domestic comparable...
Best Buy Introduces Reward Points for My Best Buy Plus and Total MembersMINNEAPOLIS--(BUSINESS WIRE)--Starting June 4, Best Buy is introducing reward points for its My Best Buy Plus and My Best Buy Total memberships. Plus and Total members will earn 1% back in rewards on every eligible purchase, and 6% back1 in rewards when they use their My Best Buy® Credit Card. Points are in addition to the many benefits members enjoy today, like exclusive pricing and deals, 24/7 tech support, product protection2, free two-day shipping3 and more. More than 80% of customers want...
Best Buy Co., Inc. NYSE: BBY just delivered an earnings report for Q1 of its fiscal year 2027 that was exactly what the bulls had been waiting for. One of the most encouraging signs was that comparable sales were up 2%, ahead of guidance. That may sound modest, but context matters. Best Buy had been running negative comps for the better part of two years, so positive territory is genuinely significant.
Best Buy Today
$78.70 +1.60 (+2.07%)
As of 03:59 PM Eastern
This is a fair market value price provided by Massive. Learn more.
52-Week Range$55.10▼
$84.99Dividend Yield4.88%
P/E Ratio14.57
Price Target$79.05
Digging into the category mix, the largest contributors on a weighted basis were gaming, computing, and mobile phones, with services adding support.
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Appliances were the notable drag, down 13.6% on a comparable basis, which tracks with the ongoing housing market freeze keeping renovation and move-related purchases depressed.
Adjusted EPS was up 11% to $1.28. BBY reacted accordingly, surging approximately 15% on the day to close at $74.84. After years of grinding revenue declines, this is a meaningful data point.
The question worth sitting with is whether it marks an inflection, or whether investors are front-running a story that still has plenty of ways to disappoint.
AI PCs and Gaming Powered the Q1 Earnings BeatThe computing and gaming strength is where the AI narrative starts to look real. Computing and mobile phones now make up 47% of domestic revenue, and that category grew 4.2% on a comparable basis. Gaming was the single biggest driver, benefiting from what management described as a "very successful gaming launch" in the prior June period that they'll be lapping in Q2. But the computing strength is the more durable signal here, and it ties directly to the AI PC thesis that's been circulating for over a year.
The margin picture was also encouraging. Domestic gross profit rate expanded to 23.7% from 23.5%, driven by growth in Best Buy Ads and Marketplace. These are the newer profit stream initiatives the company has been building out, and they're starting to move the needle. Adjusted SG&A actually held flat as a percentage of revenue at 19.3%, which means the operating leverage is real—not just top-line driven.
Is the AI Laptop Upgrade Cycle Just Beginning?The AI PC refresh cycle has been the central bull thesis for Best Buy for the better part of 18 months. The logic is straightforward: Microsoft's Copilot+ requirements, combined with a massive installed base of aging laptops (many purchased during the 2020–2021 pandemic surge), create a natural upgrade wave.
Best Buy, as the dominant brick-and-mortar electronics retailer, stands to be the primary physical destination for those purchases. This is particularly true given that consumers tend to want to touch and compare laptops before buying.
The Q1 results offer some validation of that thesis. A 4.2% comp in computing is good. But the real question is whether the cycle is in its early innings or whether a portion of the upgrade demand has already been pulled forward?
Given that management maintained rather than raised full-year guidance—revenue of $41.2 to $42.1 billion, comparable sales of -1.0% to +1.0%—they're clearly not extrapolating the Q1 beat into the rest of the year. That's either prudent conservatism or a signal that the back half looks murkier than the front.
The tariff environment adds another layer of uncertainty. Best Buy sells a lot of hardware manufactured in Asia, and while tariff impacts weren't a major topic in the earnings release, the risk sits squarely in the background for any consumer electronics retailer. If tariffs drive price increases on laptops and TVs, unit volumes could soften even if average selling prices hold up.
The CEO Transition Adds a New Variable for BBYThere was also an unexpected element in the earnings announcement that deserves attention: Corie Barry is stepping down as CEO, with Chief Customer and Product Officer Jason Bonfig taking the reins on Nov. 1, 2026. Barry framed the transition positively, and from a surface read, it appears orderly—an internal promotion rather than an external hire or an emergency change.
But leadership transitions during a potential cyclical inflection always introduce execution risk. Bonfig will inherit a company with real momentum and will need to keep the Ads and Marketplace initiatives scaling without disruption.
What the Technical Setup Says About BBY StockBefore earnings, BBY was trading well below both its 50-day SMA (about $61.84) and its 200-day SMA (about $69.75) and had been in a sustained downtrend since late 2024. The earnings gap launched the stock to $77, decisively through both moving averages as well as its consensus price target of $70.70.
That kind of move is exciting for investors who are already long. For new buyers, it creates a tactical problem. Gap-ups of 15% on earnings frequently see at least partial mean reversion in the weeks following, particularly when the stock is clearing major technical resistance levels all at once. The 200-day SMA near $69.75 is now a logical first support level on any pullback, and the prior resistance zone around $75–$77 will need to be digested before the stock can sustain levels above it.
Is BBY a Buy After Earnings?Chasing a gap of this magnitude is typically a losing proposition. The more patient approach is to let the stock work off some of the excitement, watch whether the $70–$72 range holds on any pullback (former resistance becoming support), and look for a setup with a more defined risk level.
The full-year guidance of $6.30–$6.60 in adjusted EPS—reiterated, not raised—gives you a valuation anchor. At $76, the stock trades at roughly 11x–12x that range, which is not expensive for a company that's re-accelerating on comps and building out higher-margin revenue streams. But the multiple expansion argument requires solid execution over multiple quarters.
The fundamental thesis is cleaner than it's been in years. AI PCs are a real cycle, Ads and Marketplace are working, the operational discipline appears intact, and the dividend—which has a yield of 4.9%—looks safe. The trade is watching for a pullback that offers a better risk-reward entry, likely somewhere in the low-to-mid $70s, rather than following the gap on day one.
Should You Invest $1,000 in Best Buy Right Now?Before you consider Best Buy, you'll want to hear this.
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Finding a good, high-yielding dividend stock isn't easy these days. Stock prices have been rising, and that's been pushing yields down in the process. One stock that still offers a fairly high yield, however, is Best Buy (BBY +1.85%), which currently yields about 4.9%. That's more than four times the S&P 500 average of just over 1%.
Could this retail stock, which is coming off a strong quarterly performance, be a solid income investment to put in your portfolio today?
Image source: Getty Images.
The company shows progress in its recent earnings report A common concern for income investors is that when it comes to a high-yielding stock, there's often some risk or worry attached with it. Best Buy, while it's a big name in retail, has been struggling in recent years to generate growth, and its shares have declined by around 35% over the past five years.
But when the company reported its first-quarter earnings for Fiscal 2027 last month, the results were encouraging. The company beat expectations on both its top and bottom lines, and it generated comparable sales growth of 2%. That's a key metric for investors because it means that organically, the business has been growing, without simply relying on acquisitions or new store openings.
Even more encouraging was that the growth was across most of its product categories, and it achieved this while also improving its margins along the way. The results were positive across the board for Best Buy, and if it can build on them, the retail stock could be due for much better days ahead.
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Is Best Buy a good dividend stock to own? Best Buy has been paying dividends for decades, and it currently pays shareholders $0.96 per share every quarter. In its most recent quarter, its diluted per-share profit was $1.31 -- comfortably above the rate of its dividend. And if it were to maintain that level of profitability, its dividend payout ratio would be approximately 73%.
It's a sustainable payout that should give investors confidence in the dividend. Along with some solid results of late, there are plenty of reasons to like Best Buy's stock right now. Trading at just 12 times its projected earnings (based on analyst expectations), it also comes at a fairly low price tag, potentially making this a great dividend stock to buy right now. While its yield may seem a bit high, Best Buy's payout looks safe, and it may generate a lot of recurring income for your portfolio.
On June 01, 2026, Best Buy Co Inc BBY shares fell 3.8% today to a current price of $74.98. Despite today's decline, the stock has shown strong performance over the past week, increasing by 21.7%, and has risen 24.9% over the last month. The stock has experienced significant volatility over the past year, with a 52-week range between $55.10 and $84.99.
GF Value™ verdict: The current price is $74.98, which is 1.4% below the GF Value™ estimate of $76.08.GF Score™: 72/100, indicating an above-average ranking.Most notable signal: Insiders sold $4.9 million in shares over the last three months with no insider buying reported. Is BBY Overvalued or Undervalued? The current price of Best Buy Co Inc BBY is $74.98, which is marginally below the GF Value™ of $76.08, suggesting that the stock is 1.4% undervalued. This creates a slight margin of safety for potential investors, as the stock trades below its calculated intrinsic value. However, the GF Valuation label indicates that the stock is fairly valued, which suggests that while there may be some upside based on the GF Value™, investors should approach with caution as market dynamics can shift quickly.
GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. The current valuation suggests that while there is a small opportunity for growth, it is essential to consider the overall market conditions and the company's performance trends.
How Does BBY's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 18.3x 13.1x (5-Year Median) Forward P/E 11.5x N/A The current P/E ratio of 18.3x is significantly above its 5-year median of 13.1x, indicating that BBY is trading at a higher valuation compared to its historical averages. This is in contrast to the GF Value™ verdict, which suggests that the stock is fairly valued. The elevated P/E ratio may raise concerns about whether the current price reflects an accurate valuation based on the company's historical performance.
What Does BBY's GF Score™ Tell Us? Metric Rating GF Score™ 72/100 Financial Strength 7/10 Profitability 7/10 Growth 3/10 Valuation 7/10 Momentum 4/10 BBY's GF Score™ of 72/100 suggests that the stock has several positive attributes, particularly in terms of financial strength and profitability, both rated 7/10. However, the growth rank of 3/10 indicates a weakness in this area, which may limit future performance potential. The valuation rank of 7/10 aligns with the GF Value™ verdict, suggesting that BBY maintains a strong financial position, but growth prospects may raise concerns for some investors.
What Are Insiders Doing with BBY Stock? In the last three months, insiders have sold approximately $4.9 million in shares of Best Buy Co Inc BBY , and there have been no reported purchases. This pattern of selling may suggest a lack of confidence among insiders regarding the short-term performance of the stock. When insiders sell substantial amounts of stock without buying, it can be interpreted as a signal that they may believe the stock is nearing its peak or that they have concerns about future performance.
What This Means for Investors Based on the GF Value™ assessment, Best Buy Co Inc BBY is currently undervalued, with a slight margin of safety at 1.4%. However, the elevated P/E ratio relative to its historical median suggests caution, as the stock may be trading at a premium compared to its past performance. As such, while there is potential for upside, investors should consider the broader market context and the company's growth prospects before making decisions.
For the complete analysis, visit the Best Buy Co Inc BBY stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is BBY's GF Score™?
BBY has a GF Score™ of 72/100, indicating an above-average ranking based on key financial metrics.
Is BBY overvalued or undervalued?
BBY is currently undervalued according to the GF Value™, which estimates a fair value of $76.08 against the current price of $74.98.
What is BBY's P/E ratio?
BBY's P/E (TTM) is 18.3x, which is significantly higher than its 5-year median P/E of 13.1x, indicating that it is trading at a premium compared to its historical valuation.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
Zacks Premium also includes the Zacks Style Scores.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Best Buy (BBY - Free Report) Incorporated in 1966 and headquartered in Richfield, MN, Best Buy Company Inc. (BBY - Free Report) is a multinational specialty retailer of consumer electronics, home office products, entertainment software, communication, food preparation, wellness, health, security, appliances and related services. The company retails technology products in the United States and Canada.
BBY is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Momentum investors should take note of this Retail-Wholesale stock. BBY has a Momentum Style Score of A, and shares are up 27.1% over the past four weeks.
Six analysts revised their earnings estimate upwards in the last 60 days for fiscal 2027. The Zacks Consensus Estimate has increased $0.03 to $6.55 per share. BBY boasts an average earnings surprise of +5.5%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, BBY should be on investors' short list.
Best Buy overcame a decline in appliance sales with strong domestic sales growth in its broad electronics categories, including gaming consoles, computing, and mobile phones. The company also noted that consumers have shown an appetite for larger-ticket items despite the more challenged macroeconomic environment. The positive takes were paired with reaffirmation of the full-year outlook.
MINNEAPOLIS--(BUSINESS WIRE)--In partnership with Meta, Best Buy is bringing Meta Lab @ Best Buy to more than 50 of its stores this summer. These 900-square-foot experiential spaces give customers a hands-on way to explore Meta’s full product lineup of AI glasses and VR headsets through interactive demos and displays, smart mirrors, personalized fittings and more.
Meta AI Glasses are designed to be worn and explored firsthand. Customers want to know the fit, feel and experience, which is where demos can make all the difference. More than 50% of Best Buy customers say they want to see Meta’s AI glasses in person before making a purchase. Expanding Meta Lab to Best Buy stores builds on that momentum — giving customers an elevated experience and more opportunities to try out the tech for themselves.
“Our customers are passionate about experiencing what’s next and they turn to Best Buy to bring it to life,” said Patrick McGinnis, chief merchandising officer at Best Buy. “Meta Lab @ Best Buy is an experience customers can’t find at any other retailer and sets a new standard for how our customers will explore, play with and discover the latest cutting-edge tech.”
"Best Buy is an incredible partner,” said Christa Wittenberg, vice president of global retail sales at Meta. “Together we're reimagining how consumers shop the next generation of personal technology. These are immersive, hands-on spaces built for real discovery — where people can experience firsthand just how stylish, fun, and personal AI glasses and VR really are. We want customers to walk in curious and leave genuinely excited about what's possible."
Inside Meta Lab @ Best Buy
In all Meta Lab @ Best Buy locations, customers can work with a dedicated Meta Sales Specialist to learn more and try on the largest assortment across big-box retail. Here’s a look at what customers can expect:
Try-on each style: The experience will have a dedicated wall highlighting the large assortment of AI glasses and will allow customers to get a hands-on fit and feel for them. Plus, displays nearby use interactive UV light to capture how lenses may adjust in different light settings. Immersive demos: Customers can get hands-on with cutting-edge technology as they demo Meta Quest 3, Meta Ray-Ban Display glasses, and more. With Meta Quest customers can get fully immersed in a favorite game, show or workout. Customers can try on Meta Ray-Ban Display glasses and use hand movements to control the glasses without ever taking out a phone. Plus, Meta Sales Specialists are there to guide the experience so shoppers can explore all the features the tech has to offer. Built-in prompts: While trying on the Ray-Ban Meta AI glasses, shoppers can interact with displays that feature prompts to ask Meta AI and showcase how the technology can be used in everyday life. Tech-forward displays: With the click of a button, customers can virtually try on different shades and styles of the Ray-Ban Meta AI glasses using high-tech smart mirrors. In the mirror, customers can see the glasses on themselves virtually, browse frames and colors with the touchscreen or take a photo to compare favorite looks side-by-side. Where to visit Meta Lab @ Best Buy
The first Meta Lab @ Best Buy experiences launch this June, with additional locations rolling out throughout the summer. Here’s a look at some of the first places shoppers can see the spaces:
San Carlos, Calif. Roseville, Minn. Woodland Park, N.J. Greenville, S.C. Columbus, Ohio More News From Best Buy Co., Inc.
Meta wants to give more customers a chance to experience its hardware in person.
To that end, Best Buy on Monday (June 8) announced the launch of the “Meta Lab @ Best Buy” partnership, which involves establishing “900-square-foot experiential spaces,” for shoppers to test Meta’s virtual reality (VR) headsets and artificial intelligence (AI) glasses.
“These are immersive, hands-on spaces built for real discovery — where people can experience firsthand just how stylish, fun, and personal AI glasses and VR really are,” said Christa Wittenberg, vice president of global retail sales at Meta. “We want customers to walk in curious and leave genuinely excited about what’s possible.”
The glasses were created to be “worn and explored firsthand,” the announcement added, noting that more than 50% of Best Buy customers have said they want to see Meta’s AI glasses in person before making a purchase.
“Our customers are passionate about experiencing what’s next and they turn to Best Buy to bring it to life,” said Patrick McGinnis, chief merchandising officer at Best Buy. “Meta Lab @ Best Buy is an experience customers can’t find at any other retailer and sets a new standard for how our customers will explore, play with and discover the latest cutting-edge tech.”
The program is slated to reach 50 Best Buy locations throughout the summer, starting this month. The initial stores taking part in the program are based in San Carlos, California; Roseville, Minnesota; Woodland Park, New Jersey; Greenville, South Carolina; and Columbus, Ohio.
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Meta already has five Meta Lab stores where it lets consumers experience its smart glasses and headsets. The company said earlier this year it plans to share what it learns at its Meta Lab stores with the retailers of its AI and VR-enabled wearables.
“We can see what’s drawing people in, and if the layout is confusing, we’ll fix it,” said Nicola Mendelsohn, head of global business group at Meta, per a Retail Touchpoints report. “We want to bring people together not just to browse but to participate.”
Meanwhile, PYMNTS wrote earlier this year about the impact of AI large language models on augmented reality (AR) smart glasses, turning them from display devices to “intelligent companions,” and offering a “gateway to real-time assistance.”
That assistance includes things like summarizing conversations, translating languages and offering contextual prompts according to what the wearer sees.
“But AI does not eliminate the need for a clear use case,” the report added. “It enhances interactions, but it does not define them. The question of why a user should wear AR glasses for hours each day, rather than pull out a smartphone when needed, remains open.”
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Best Buy (BBY - Free Report) Founded in 1966 and headquartered in Richfield, MN, Best Buy Co., Inc. (BBY - Free Report) is one of North America's largest specialty retailers of consumer electronics, computing products, appliances, entertainment products, mobile phones and technology-related services. The company operates as an omnichannel retailer, combining its extensive store network with e-commerce capabilities to provide customers with a seamless shopping experience across physical and digital channels.
BBY is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 11.31; value investors should take notice.
Seven analysts revised their earnings estimate upwards in the last 60 days for fiscal 2027. The Zacks Consensus Estimate has increased $0.04 to $6.56 per share. BBY boasts an average earnings surprise of +5.5%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, BBY should be on investors' short list.
Best Buy is downgraded to Hold as the stock reflects much of the recent business improvement. BBY's Q1 showed positive comps, margin expansion, and growth in Marketplace and Ads, but Appliances and Consumer Electronics remain weak. Guidance was not raised despite a strong May, signaling ongoing uncertainty in high-ticket discretionary categories.
