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Will Best Buy (BBY) Retain Its Earnings Beat Streak in Q3?
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Best Buy Company Inc. (BBY - Free Report) is likely to register top and bottom-line growth when it reports third-quarter fiscal 2021 numbers on Nov 24, before the opening bell. The Zacks Consensus Estimate for revenues is pegged at $10,899 million, which indicates an increase of 11.6% from the year-ago quarter’s levels. The company had witnessed top-line growth of 4% in the last reported quarter.
The Zacks Consensus Estimate for quarterly earnings went up by 3 cents in the past 30 days and is currently pegged at $1.69 per share. The figure suggests a rise of 49.6% from earnings of $1.13 reported in the year-ago quarter. Notably, the company has a trailing four-quarter earnings surprise of 33.5%, on average. In the last reported quarter, this specialty retailer’s company’s bottom line came in at $1.71 per share, which surpassed the Zacks Consensus Estimate by 56.9%.
Aspects Likely to Show on Q3 Performance
Best Buy’s top line during the third quarter is likely to have gained from consumer’s inclination toward products that support the ongoing stay-at-home practices amid the coronavirus pandemic. We note that products such as tablets, computing devices, at-home fitness equipments and household appliances have been gaining popularity, as they help in making work-from-home and stay-at-home practices more convenient.
Additionally, Best Buy’s strong online presence is likely to have remained an upside during the quarter in review. Markedly, higher conversion and traffic rates have been aiding the company’s online sales. Moreover, the online division has been gaining more traction owing to the company’s efficient delivery systems. The company has been on track with adding new functionalities to its curbside pickup services as well as increasing third party physical pickup locations. Such prudent measures are likely to have boosted Best Buy’s online sales during the third quarter. Apart from these, the company has been gaining from the superior consultation services offered by its well-trained In-Home Advisors and Geek Squad Agents. These experts are trained for providing technical support across stores, in home and via chat.
The aforementioned factors raise optimism regarding third-quarter results. However, COVID-19 related challenges, promotional environment and stiff competition remain concerns. We also note that the company has been incurring higher supply-chain costs owing to increased mix of online revenues.
Best Buy Co., Inc. Price, Consensus and EPS Surprise
Our proven model predicts an earnings beat for Best Buy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Best Buy carries a Zacks Rank #2 and an Earnings ESP of +14.92%.
Other Stocks Poised to Beat Earnings Estimates
Here are some more companies you may want to consider, as our model shows that these also have the right combination of elements to post an earnings beat.
DICKS Sporting Goods, Inc. (DKS - Free Report) has an Earnings ESP of +16.18% and a Zacks Rank #3.
Bed Bath & Beyond Inc. has an Earnings ESP of +11.77% and a Zacks Rank #3.
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.
Image: Bigstock
Will Best Buy (BBY) Retain Its Earnings Beat Streak in Q3?
Best Buy Company Inc. (BBY - Free Report) is likely to register top and bottom-line growth when it reports third-quarter fiscal 2021 numbers on Nov 24, before the opening bell. The Zacks Consensus Estimate for revenues is pegged at $10,899 million, which indicates an increase of 11.6% from the year-ago quarter’s levels. The company had witnessed top-line growth of 4% in the last reported quarter.
The Zacks Consensus Estimate for quarterly earnings went up by 3 cents in the past 30 days and is currently pegged at $1.69 per share. The figure suggests a rise of 49.6% from earnings of $1.13 reported in the year-ago quarter. Notably, the company has a trailing four-quarter earnings surprise of 33.5%, on average. In the last reported quarter, this specialty retailer’s company’s bottom line came in at $1.71 per share, which surpassed the Zacks Consensus Estimate by 56.9%.
Aspects Likely to Show on Q3 Performance
Best Buy’s top line during the third quarter is likely to have gained from consumer’s inclination toward products that support the ongoing stay-at-home practices amid the coronavirus pandemic. We note that products such as tablets, computing devices, at-home fitness equipments and household appliances have been gaining popularity, as they help in making work-from-home and stay-at-home practices more convenient.
Additionally, Best Buy’s strong online presence is likely to have remained an upside during the quarter in review. Markedly, higher conversion and traffic rates have been aiding the company’s online sales. Moreover, the online division has been gaining more traction owing to the company’s efficient delivery systems. The company has been on track with adding new functionalities to its curbside pickup services as well as increasing third party physical pickup locations. Such prudent measures are likely to have boosted Best Buy’s online sales during the third quarter. Apart from these, the company has been gaining from the superior consultation services offered by its well-trained In-Home Advisors and Geek Squad Agents. These experts are trained for providing technical support across stores, in home and via chat.
The aforementioned factors raise optimism regarding third-quarter results. However, COVID-19 related challenges, promotional environment and stiff competition remain concerns. We also note that the company has been incurring higher supply-chain costs owing to increased mix of online revenues.
Best Buy Co., Inc. Price, Consensus and EPS Surprise
Best Buy Co., Inc. price-consensus-eps-surprise-chart | Best Buy Co., Inc. Quote
What the Zacks Model Unveils
Our proven model predicts an earnings beat for Best Buy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Best Buy carries a Zacks Rank #2 and an Earnings ESP of +14.92%.
Other Stocks Poised to Beat Earnings Estimates
Here are some more companies you may want to consider, as our model shows that these also have the right combination of elements to post an earnings beat.
Casey’s General Stores, Inc. (CASY - Free Report) has an Earnings ESP of +3.32% and a Zacks Rank #1, at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
DICKS Sporting Goods, Inc. (DKS - Free Report) has an Earnings ESP of +16.18% and a Zacks Rank #3.
Bed Bath & Beyond Inc. has an Earnings ESP of +11.77% and a Zacks Rank #3.
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>