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Best Buy (BBY) Gains As Market Dips: What You Should Know
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Best Buy (BBY - Free Report) closed the most recent trading day at $99.35, moving +0.72% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.97%. Elsewhere, the Dow lost 0.96%, while the tech-heavy Nasdaq added 0.23%.
Heading into today, shares of the consumer electronics retailer had gained 1.19% over the past month, outpacing the Retail-Wholesale sector's loss of 5.18% and the S&P 500's loss of 0.78% in that time.
Wall Street will be looking for positivity from Best Buy as it approaches its next earnings report date. In that report, analysts expect Best Buy to post earnings of $2.81 per share. This would mark a year-over-year decline of 19.25%. Meanwhile, our latest consensus estimate is calling for revenue of $16.73 billion, down 1.25% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.09 per share and revenue of $52.12 billion, which would represent changes of +27.56% and +10.27%, respectively, from the prior year.
Any recent changes to analyst estimates for Best Buy should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.2% lower within the past month. Best Buy is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Best Buy has a Forward P/E ratio of 9.78 right now. This valuation marks a premium compared to its industry's average Forward P/E of 7.85.
Investors should also note that BBY has a PEG ratio of 1.08 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Consumer Electronics industry currently had an average PEG ratio of 0.67 as of yesterday's close.
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 247, putting it in the bottom 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Best Buy (BBY) Gains As Market Dips: What You Should Know
Best Buy (BBY - Free Report) closed the most recent trading day at $99.35, moving +0.72% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.97%. Elsewhere, the Dow lost 0.96%, while the tech-heavy Nasdaq added 0.23%.
Heading into today, shares of the consumer electronics retailer had gained 1.19% over the past month, outpacing the Retail-Wholesale sector's loss of 5.18% and the S&P 500's loss of 0.78% in that time.
Wall Street will be looking for positivity from Best Buy as it approaches its next earnings report date. In that report, analysts expect Best Buy to post earnings of $2.81 per share. This would mark a year-over-year decline of 19.25%. Meanwhile, our latest consensus estimate is calling for revenue of $16.73 billion, down 1.25% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $10.09 per share and revenue of $52.12 billion, which would represent changes of +27.56% and +10.27%, respectively, from the prior year.
Any recent changes to analyst estimates for Best Buy should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.2% lower within the past month. Best Buy is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Best Buy has a Forward P/E ratio of 9.78 right now. This valuation marks a premium compared to its industry's average Forward P/E of 7.85.
Investors should also note that BBY has a PEG ratio of 1.08 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Consumer Electronics industry currently had an average PEG ratio of 0.67 as of yesterday's close.
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 247, putting it in the bottom 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.