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Best Buy (BBY) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Best Buy (BBY - Free Report) closed at $123.91, marking a +1.37% move from the previous day. This move outpaced the S&P 500's daily gain of 0.18%.
Coming into today, shares of the consumer electronics retailer had gained 16.08% in the past month. In that same time, the Retail-Wholesale sector gained 2.4%, while the S&P 500 gained 5.68%.
Wall Street will be looking for positivity from BBY as it approaches its next earnings report date. The company is expected to report EPS of $1.91, down 7.28% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.6 billion, down 2.16% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.04 per share and revenue of $51.87 billion. These totals would mark changes of +26.93% and +9.74%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for BBY. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.8% higher. BBY currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that BBY has a Forward P/E ratio of 12.18 right now. Its industry sports an average Forward P/E of 8.88, so we one might conclude that BBY is trading at a premium comparatively.
Investors should also note that BBY has a PEG ratio of 1.61 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Consumer Electronics was holding an average PEG ratio of 0.93 at yesterday's closing price.
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 29, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Best Buy (BBY) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Best Buy (BBY - Free Report) closed at $123.91, marking a +1.37% move from the previous day. This move outpaced the S&P 500's daily gain of 0.18%.
Coming into today, shares of the consumer electronics retailer had gained 16.08% in the past month. In that same time, the Retail-Wholesale sector gained 2.4%, while the S&P 500 gained 5.68%.
Wall Street will be looking for positivity from BBY as it approaches its next earnings report date. The company is expected to report EPS of $1.91, down 7.28% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.6 billion, down 2.16% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.04 per share and revenue of $51.87 billion. These totals would mark changes of +26.93% and +9.74%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for BBY. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.8% higher. BBY currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that BBY has a Forward P/E ratio of 12.18 right now. Its industry sports an average Forward P/E of 8.88, so we one might conclude that BBY is trading at a premium comparatively.
Investors should also note that BBY has a PEG ratio of 1.61 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Consumer Electronics was holding an average PEG ratio of 0.93 at yesterday's closing price.
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 29, putting it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.