Best Buy Co. Inc

Best Buy Co., Inc. raised its fiscal 2027 outlook after a better-than-expected second quarter, lifting revenue guidance to $42.3-$42.8 billion from $41.2-$42.1 billion and adjusted earnings guidance to $6.70-$6.90 per share from $6.30-$6.60. The company also raised its adjusted operating income rate forecast to 4.4-4.5% from 4.3-4.4%, and now expects comparable sales to increase 1.9-3%, versus the prior range of a 1% decline to 1% growth. Domestic gross margin expanded 60 basis points to 24% in the second quarter, helped by Marketplace, Best Buy Ads and about $34 million of tariff refunds, and management expects the fiscal 2027 gross profit rate to improve about 30-40 basis points. Domestic Marketplace gross merchandise value reached about $300 million in the second quarter, and Best Buy raised its full-year Marketplace expectation to $1.3 billion, while Best Buy Ads is expected to grow 10% in fiscal 2027 after roughly $900 million in collections last year. Computing recorded its 10th consecutive quarter of positive comparable sales growth and domestic TV sales rose more than 10%, though industry-wide memory cost increases are raising computing prices, with average selling prices up in the mid-teens and unit volumes down in the high single digits.

Best Buy Co., Inc. raised its fiscal 2027 revenue guidance to $42.3-$42.8 billion and adjusted earnings guidance to $6.70-$6.90 per share, with comparable sales now expected to increase 1.9-3% versus a prior outlook ranging from a 1% decline to 1% growth. The Zacks Consensus Estimate for fiscal 2027 earnings stands at $6.79 per share, above $6.43 in fiscal 2026, and that estimate has moved 3.8% higher over the past four weeks, following a latest quarterly earnings surprise of 7.3%. The stock now trades at 12.5X forward 12-month earnings, above its five-year median of 11.5X, though still within its five-year range of 7.0X to 15.5X, with a PEG ratio of 2.10. Best Buy generated $1.30 billion of operating cash flow in the first half, up from $783 million a year earlier, and held $2.26 billion in cash and cash equivalents at quarter-end versus $1.46 billion a year ago, while carrying a dividend yield of about 4.4% and expecting approximately $300 million of fiscal 2027 share repurchases. Risks include industry-wide memory cost increases that lifted computing average selling prices in the mid-teens in the second quarter while unit volumes fell in the high single digits, a planned roughly 20 basis point increase in the annual adjusted SG&A rate, and a promotional backdrop reinforced by Target Corporation's 3.8% second-quarter comparable sales growth and price cuts on more than 10,000 frequently purchased items and Walmart Inc.'s 23% global e-commerce growth. The stock carries a Zacks Rank #3 (Hold) along with Value, Growth, Momentum and VGM Scores of A.

Best Buy reported fiscal second-quarter results on August 27 that beat expectations, with comparable sales rising 4.1% versus management's guidance of roughly 1%, and raised its full-year outlook. The company also announced a leadership transition, with CEO Corie Barry handing over to Jason Bonfig on November 1. Growth was broad-based, spanning computing, home theater, and emerging products like AI glasses and health rings, with home theater posting its best growth since fiscal 2022. However, management expects computing growth to slow in the second half, and rising memory costs are pushing up prices. International revenue fell 4.2%, and the company flagged about $130 million more in incentive compensation for the year, partially offset by a $34 million tariff refund. As of August 31, the stock traded at a forward P/E of 12.76, with short interest at 7.52% of float.

Best Buy reported better-than-expected fiscal second-quarter results, with comparable sales up 4.1% and adjusted earnings per share of $1.47, up 15% year over year, and raised its full-year guidance. CEO Corie Barry, who noted this is her last earnings call as CEO, said revenue reached $9.8 billion with an adjusted operating income rate of 4.3%. The company now expects full-year comparable sales growth of 1.9% to 3% and adjusted EPS of $6.70 to $6.90. Incoming CEO Jason Bonfig highlighted strong growth in emerging categories like AI glasses and trading cards, which more than doubled in the quarter, and announced the launch of Ask Blue, a conversational AI shopping assistant. Best Buy also raised its U.S. Marketplace GMV forecast to $1.3 billion for the year, up from a prior expectation, and expects to add international sellers later this quarter.

All 18 S&P 500 companies that reported earnings last week beat Wall Street's EPS estimates and posted year-over-year earnings growth, with 17 of 18 also beating revenue estimates. Notable results included CrowdStrike, which surged after Q2 revenue rose 25.8% to $1.47B, and Nvidia, whose Q2 revenue more than doubled to $96.22B. HP lifted its FY2026 adjusted EPS outlook to $3.19-$3.29, while Best Buy raised its FY2027 revenue outlook to $42.3B-$42.8B. Marvell Technology delivered Q2 revenue of $2.74B, up 37% year-over-year, and Autodesk raised its FY2027 billings outlook to $8.575B-$8.65B. Intuit beat Q4 estimates but fell on softer FY2027 guidance. Upcoming reports include Palo Alto Networks, Broadcom, Medtronic, and lululemon athletica.

Best Buy Co., Inc. reported stronger fiscal second-quarter results, with revenue up 3.6% year over year to $9.78 billion and comparable sales rising 4.1%. The company raised its fiscal 2027 comparable-sales guidance to growth of 1.9% to 3.0% from a previous range of a 1.0% decline to 1.0% growth, and lifted revenue guidance to $42.3 billion to $42.8 billion. However, domestic product margin rates declined, and the margin improvement was largely driven by approximately $34 million in IEEPA tariff refunds, which contributed roughly 38 basis points of the domestic margin increase. Best Buy Ads and Marketplace are helping to offset product margin pressure, but their associated costs contributed to a rise in domestic adjusted SG&A to $1.78 billion, or 19.6% of revenue. International comparable sales declined 1.8%, and revenue fell 4.2% to $709 million, with adjusted operating margin down to 1.8% from 2.4%.

Fairstone Bank of Canada and Best Buy Canada Ltd. have renewed their exclusive point-of-sale financing partnership. The collaboration, which began in 2020, allows Best Buy customers to access in-store and online financing through a digital application that provides approval or prequalification in under two minutes. Best Buy is one of more than 2,100 merchant partners that use Fairstone Bank's retail financing programs. The renewal was announced by Emilie Boulay, Senior Vice President, Chief Card Services Officer at Fairstone Bank, and Bryan Kooistra, Chief Financial Officer of Best Buy Canada.

Best Buy's next chief executive Jason Bonfig plans to open compact stores in towns and neighborhoods that its full-size locations never served. Bonfig, who becomes CEO on November 1, told CNBC that smaller-format stores of about 12,000 to 15,000 square feet can enter markets too small to support a traditional 40,000-square-foot store. The company recently opened two examples in Jonesboro, Arkansas, and Cape Cod, Massachusetts, and Bonfig described the smaller stores as an enhancement that extends Best Buy's reach rather than replacing existing locations. The strategy arrives after a first-quarter fiscal 2027 report that beat expectations with enterprise revenue of about $8.94 billion and adjusted earnings of $1.28 a share, while comparable sales rose 2%. Best Buy stock closed at $86.26 on July 31, up more than 10% over the prior month, and the company maintained its full-year outlook for comparable sales between down 1% and up 1% and adjusted earnings of $6.30 to $6.60 a share.

Dick's Sporting Goods posted the fastest revenue growth among seven tracked specialty retailers in the first quarter, with sales surging 62.7% year on year to $5.16 billion, beating analyst estimates by 2.1%. Despite also delivering the highest full-year guidance raise in the group, Dick's shares have fallen 6.7% since the report. Bath and Body Works outperformed expectations with a 1.2% revenue beat and the highest guidance raise overall, sending its stock up 17.7%. Best Buy topped estimates by 1.3% on revenue of $8.94 billion and saw its stock jump 32.5%, while Sally Beauty posted the weakest results, missing EPS guidance significantly. Warby Parker exceeded revenue forecasts by 1.3% but issued the weakest full-year guidance update, though its stock still rose 21.9%.

Four dividend stocks yielding over 4% are being overlooked by the market, according to 24/7 Wall St. HP Inc. pays a 5.2% yield at just 7 times forward earnings, with free cash flow swinging to 800 million dollars in its latest quarter. Copa Holdings covers its 6.84 dollar annual dividend nearly 2.5 times from trailing earnings per share of 16.93 dollars. Best Buy yields 4.8% with fiscal 2027 earnings guidance nearly twice its 3.84 dollar annual payout, while management plans 300 million dollars in buybacks. Skyworks Solutions fell 22% over the past month, pushing its yield to 4.6%, and a new 1 billion dollar Android design win is expected to reduce Apple concentration.

Best Buy reported first-quarter fiscal 2027 results and returned $202 million to shareholders through dividends during the quarter. The board authorized a regular quarterly cash dividend of $0.96 per common share, payable July 9 to shareholders of record as of June 18. The company also said it still expected to spend about $300 million on share repurchases during fiscal 2027. The mix of dividends and buybacks places Best Buy in the middle of the tax-efficiency spectrum, as dividends create taxable income when paid while buybacks can support per-share value without immediate taxable cash to shareholders.

Best Buy has rolled out RGB LED TVs across nearly all its stores, supported by exclusive partnerships with major TV brands and extensive staff training. The launch includes integrated services such as free delivery, installation and haul away on most RGB LED TV purchases. The stock has seen strong recent momentum, with a 30-day share price return of 10.04% and a 90-day return of 22.08%, though the 5-year total shareholder return has declined 9.88%. A widely followed narrative pegs Best Buy's fair value at $72.50, below the recent close of $78.72, suggesting the stock is 8.6% overvalued, while a Simply Wall St DCF model indicates a fair value of $188.85 per share, implying significant undervaluation.

Best Buy has begun a nationwide rollout of RGB LED televisions through exclusive partnerships with Samsung, Sony, LG, TCL and Hisense, offering screen sizes from 50 to 116 inches along with free delivery, installation and haul-away on most purchases. The retailer is positioning itself as the only national chain where customers can experience the new display technology in person, supported by more than 15,000 specially trained Blue Shirts to assist with home theater upgrades. The launch is expected to support near-term home theater demand and higher-margin services, though it does not eliminate risks from weaker big-ticket spending or a shift toward lower-margin categories. Analysts project Best Buy could reach $43.1 billion in revenue and $1.5 billion in earnings by 2029, implying modest annual growth from current levels.

Best Buy reported better-than-expected fiscal first-quarter results, with revenue rising to $8.94 billion from $8.77 billion a year earlier and adjusted diluted earnings per share climbing to $1.28 from $1.15. Comparable sales rose 2%, reversing a prior-year decline, driven by strength in gaming, computing, mobile phones, and services, while appliances fell nearly 14%. The company's newer businesses, including Best Buy Ads and its online Marketplace, also contributed to the gains. Despite the positive results, analysts remain cautious, with an average Hold rating and a 12-month price target of $79.50 per share, as leadership changes and a muted sales outlook limit near-term upside.

A bullish thesis on Best Buy highlights the retailer's transformation into an omnichannel platform with growing high-margin revenue streams from Best Buy Ads and its third-party Marketplace. First-quarter fiscal 2027 revenue rose 1.9% year over year to $8.9 billion, with comparable sales up 2.0%, while operating income jumped to $370 million from $219 million a year earlier and adjusted earnings per share reached $1.28. The company reaffirmed fiscal 2027 adjusted EPS guidance of $6.30 to $6.60, with Best Buy Ads projected to approach $1 billion in collections and Marketplace gross merchandise volume expected to exceed $1.2 billion. Shareholders benefit from a 5.08% dividend yield, a $3.84 annual dividend, and a 22-year streak of dividend increases.

Best Buy has become the exclusive national retailer for RGB LED TVs from Samsung, Sony, LG, TCL and Hisense, bringing the new technology to stores nationwide. The company has trained and certified more than 15,000 Blue Shirts on the technology and is offering free delivery, installation, mounting, and haul-away of old TVs with most RGB LED TV purchases. RGB LED TVs use dedicated red, green, and blue LEDs with thousands of precision dimming zones to produce nearly 76% of colors the human eye can see, along with higher brightness and wider viewing angles. The TVs are now on display in nearly every Best Buy store, with screen sizes starting at 50 inches and extending to 116-inch displays. Best Buy generated $41.7 billion in revenue in fiscal 2026 and operates more than 1,000 retail stores in North America.

Amazon's 12th annual Prime Day begins Tuesday, running through June 26, with Adobe projecting consumers will spend $26 billion online during Prime week, up 9% from a year ago. Walmart and Best Buy launched their own six-day deal events on Monday, offering discounts of up to 50%, while Target is running promotions of up to 45% off from June 23 to June 26. Adobe Digital Insights lead analyst Vivek Pandya noted that Prime Day set a new standard for summer promotions, and the event is expected to drive the first $300 billion quarter outside the holiday season. Bank of America expects the biggest deals in electronics, apparel, and beauty, with Amazon's own products like Alexa+ and Kindle discounted up to 60% and 45%, respectively, plus an extra 10% off sale prices on grocery items. Numerator found that nearly half of planned shoppers will browse without a specific plan, and Adobe predicts buy now, pay later will account for 7.8% of e-commerce spending during the event.

Best Buy announced that Jason Bonfig, a 27-year company veteran, will become only its sixth chief executive officer on October 31, succeeding Corie Barry. Bonfig currently serves as senior executive vice president and chief customer, product, and fulfillment officer, overseeing merchandising, ecommerce, marketing, supply chain, Best Buy Canada, and the retail media business Best Buy Ads, and he led the launch of the U.S. third-party marketplace. Barry, who has led the company for more than seven years, said she wants to ensure a proper transition and is working side by side with Bonfig until the handover. Evercore ISI analyst Greg Melich noted that sales comparisons will get harder in June and July due to last year’s Switch 2 launch, a strong early back-to-school season, and a Windows 10 computing pull, but appliance initiatives, an industry-wide RGB TV launch where Best Buy is the only national retailer carrying it for roughly a year, and a favorable inventory cost position should keep the retailer competitive. Shares of Best Buy rose 3.2% in Monday afternoon trading.

PayPal Ads announced that campaigns from Adorama, Best Buy, and Etsy delivered measurable bottom-line growth using its cross-merchant Transaction Graph and Storefront Ads. Adorama saw a 7.3x incremental return on ad spend and a 14.9% incremental transaction lift, with 56% of purchasers being new customers. Best Buy achieved a 6.25x return on ad spend and dwell time 22% above platform benchmarks. Etsy is testing PayPal's Conversion API to close the loop on campaign data, becoming the first to integrate the full stack.

Best Buy shares have surged 18.9% over the past three months, edging past the Nasdaq Composite's 17.1% gain in the same period. The stock is currently down 12.4% from its 52-week high of $84.99 reached in October 2025, but has risen 11.2% year-to-date and 7.3% over the past year, while the Nasdaq has returned 13.3% and 34.9% respectively. A stronger-than-expected fiscal first-quarter report, with revenue of $8.94 billion and earnings of $1.28 per share, sparked a nearly 16% single-day rally and marked a turnaround with comparable sales rising 2% after nearly two years of declines. The company is benefiting from a technology upgrade cycle driven by AI-powered laptops, next-generation PCs, gaming hardware, and the Nintendo Switch 2, and the stock is trading above both its 50-day and 200-day moving averages. Wall Street analysts maintain a consensus Hold rating with a mean price target of $79.37, implying a 6.5% upside from current levels.