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Best Buy (BBY) Dips More Than Broader Markets: What You Should Know
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Best Buy (BBY - Free Report) closed the most recent trading day at $93.23, moving -0.99% from the previous trading session. This move lagged the S&P 500's daily loss of 0.34%. At the same time, the Dow lost 0.26%, and the tech-heavy Nasdaq gained 0.09%.
Heading into today, shares of the consumer electronics retailer had lost 0.51% over the past month, lagging the Retail-Wholesale sector's gain of 5.46% and the S&P 500's gain of 5.03% in that time.
Wall Street will be looking for positivity from Best Buy as it approaches its next earnings report date. The company is expected to report EPS of $1.57, down 29.6% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $10.34 billion, down 11.16% from the year-ago period.
BBY's full-year Zacks Consensus Estimates are calling for earnings of $8.97 per share and revenue of $50.08 billion. These results would represent year-over-year changes of -10.39% and -3.24%, respectively.
Investors should also note any recent changes to analyst estimates for Best Buy. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Best Buy is currently a Zacks Rank #3 (Hold).
Investors should also note Best Buy's current valuation metrics, including its Forward P/E ratio of 10.49. This valuation marks a premium compared to its industry's average Forward P/E of 10.26.
It is also worth noting that BBY currently has a PEG ratio of 1.11. 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. Retail - Consumer Electronics stocks are, on average, holding a PEG ratio of 0.78 based on yesterday's closing prices.
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 247, which puts it in the bottom 3% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Best Buy (BBY) Dips More Than Broader Markets: What You Should Know
Best Buy (BBY - Free Report) closed the most recent trading day at $93.23, moving -0.99% from the previous trading session. This move lagged the S&P 500's daily loss of 0.34%. At the same time, the Dow lost 0.26%, and the tech-heavy Nasdaq gained 0.09%.
Heading into today, shares of the consumer electronics retailer had lost 0.51% over the past month, lagging the Retail-Wholesale sector's gain of 5.46% and the S&P 500's gain of 5.03% in that time.
Wall Street will be looking for positivity from Best Buy as it approaches its next earnings report date. The company is expected to report EPS of $1.57, down 29.6% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $10.34 billion, down 11.16% from the year-ago period.
BBY's full-year Zacks Consensus Estimates are calling for earnings of $8.97 per share and revenue of $50.08 billion. These results would represent year-over-year changes of -10.39% and -3.24%, respectively.
Investors should also note any recent changes to analyst estimates for Best Buy. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Best Buy is currently a Zacks Rank #3 (Hold).
Investors should also note Best Buy's current valuation metrics, including its Forward P/E ratio of 10.49. This valuation marks a premium compared to its industry's average Forward P/E of 10.26.
It is also worth noting that BBY currently has a PEG ratio of 1.11. 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. Retail - Consumer Electronics stocks are, on average, holding a PEG ratio of 0.78 based on yesterday's closing prices.
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 247, which puts it in the bottom 3% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.