Zacks Investment Research lowered shares of Best Buy Co., Inc. (NYSE:BBY) from a buy rating to a hold rating in a report released on Thursday.

According to Zacks, “Best Buy has exhibited a bullish run in the index and outpaced the industry in the past year driven by its strategic efforts, sturdy online sales growth and solid earnings surprise history. Despite reporting robust results in second-quarter fiscal 2018, the stock took a hit as investors are concerned about margins which may come under pressure due to increase in investment. The company is making extensive investments to upgrade operations with special focus on developing omni-channel capabilities and strengthening partnership with vendors. Moreover, following the completion of “Renew Blue” program, it launched a fresh strategy called “Best Buy 2020: Building the New Blue”. Under this strategy, the top most priority is to explore and pursue growth opportunities and optimize cost with focus on key areas. However, the challenging retail landscape, aggressive promotional strategies and waning store traffic remain concerns.”

Other research analysts have also recently issued reports about the company. UBS AG reissued a buy rating and issued a $51.00 price target (up from $47.00) on shares of Best Buy Co. in a report on Wednesday, May 24th. Bank of America Corporation reaffirmed a buy rating and set a $68.00 price objective (up from $58.00) on shares of Best Buy Co. in a report on Sunday, May 28th. ValuEngine cut Best Buy Co. from a buy rating to a hold rating in a report on Friday, May 26th. Loop Capital raised Best Buy Co. from a sell rating to a hold rating and decreased their price objective for the stock from $37.00 to $35.00 in a report on Monday, May 15th. Finally, Jefferies Group LLC reaffirmed a hold rating and set a $60.00 price objective on shares of Best Buy Co. in a report on Wednesday, August 9th. Three analysts have rated the stock with a sell rating, four have issued a hold rating, seventeen have given a buy rating and one has issued a strong buy rating to the company’s stock. The stock currently has an average rating of Buy and a consensus target price of $58.92.

Shares of Best Buy Co. (NYSE BBY) traded down 0.52% on Thursday, reaching $53.98. 2,596,883 shares of the company’s stock were exchanged. Best Buy Co. has a one year low of $36.51 and a one year high of $63.32. The firm has a market cap of $16.42 billion, a PE ratio of 14.28 and a beta of 1.45. The company has a 50 day moving average price of $58.38 and a 200 day moving average price of $52.86.

Best Buy Co. (NYSE:BBY) last posted its quarterly earnings results on Tuesday, August 29th. The technology retailer reported $0.69 EPS for the quarter, topping the Zacks’ consensus estimate of $0.63 by $0.06. Best Buy Co. had a return on equity of 27.41% and a net margin of 3.00%. The company had revenue of $8.94 billion for the quarter, compared to analysts’ expectations of $8.67 billion. During the same period in the previous year, the firm earned $0.57 EPS. The firm’s revenue was up 4.8% compared to the same quarter last year. Analysts expect that Best Buy Co. will post $4.04 EPS for the current fiscal year.

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The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 10th. Shareholders of record on Tuesday, September 19th will be given a $0.34 dividend. This represents a $1.36 annualized dividend and a yield of 2.51%. The ex-dividend date is Monday, September 18th. Best Buy Co.’s dividend payout ratio (DPR) is presently 35.88%.

In other Best Buy Co. news, CEO Hubert Joly sold 14,734 shares of the company’s stock in a transaction on Monday, August 21st. The stock was sold at an average price of $59.92, for a total value of $882,861.28. Following the transaction, the chief executive officer now owns 540,694 shares of the company’s stock, valued at approximately $32,398,384.48. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Asheesh Saksena sold 22,255 shares of the company’s stock in a transaction on Friday, June 16th. The shares were sold at an average price of $55.66, for a total value of $1,238,713.30. Following the completion of the transaction, the insider now directly owns 82,440 shares in the company, valued at approximately $4,588,610.40. The disclosure for this sale can be found here. Insiders sold a total of 61,924 shares of company stock worth $3,562,092 in the last ninety days. 1.21% of the stock is currently owned by corporate insiders.

Institutional investors have recently bought and sold shares of the company. FNY Managed Accounts LLC increased its position in Best Buy Co. by 18,281.8% in the second quarter. FNY Managed Accounts LLC now owns 2,000 shares of the technology retailer’s stock worth $114,000 after buying an additional 2,011 shares during the last quarter. Huntington National Bank increased its position in Best Buy Co. by 18.4% in the second quarter. Huntington National Bank now owns 2,050 shares of the technology retailer’s stock worth $118,000 after buying an additional 318 shares during the last quarter. Advisory Services Network LLC purchased a new position in Best Buy Co. during the first quarter worth about $134,000. Heritage Trust Co purchased a new position in Best Buy Co. during the first quarter worth about $137,000. Finally, TrimTabs Asset Management LLC increased its position in Best Buy Co. by 89.1% in the first quarter. TrimTabs Asset Management LLC now owns 2,819 shares of the technology retailer’s stock worth $139,000 after buying an additional 1,328 shares during the last quarter. 86.43% of the stock is currently owned by institutional investors and hedge funds.

About Best Buy Co.

Best Buy Co, Inc is a provider of technology products, services and solutions. The Company offers products and services to the customers visiting its stores, engaging with Geek Squad agents, or using its Websites or mobile applications. It has operations in the United States, Canada and Mexico. The Company operates through two segments: Domestic and International.

Analyst Recommendations for Best Buy Co. (NYSE:BBY)

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