Thanks to a 0.71 sell/buy ratio, Best Buy Co., Inc. (NYSE:BBY) insider buying over the last three months picked up more than selling did. When insiders buy more shares of their company stock, it’s generally for one reason only: With inside knowledge of their company’s prospects, they expect the stock price to rise soon. BBY recorded 4 sales on the open market in the last three months. They sold nearly 11,929 shares while purchases amounted to 16,749 shares that period. Looking even further back to 12 months, corporate insiders offloaded 1,720,660 shares when buyers snapped up 567,813 shares. The 12-month’s totals signify about a 3.03-to-1 sell/buy ratio.
Barry Corie S parted with a total of 6.78 thousand shares of Best Buy Co., Inc. (BBY) at average share price of $72.8. This insider trade in the company took place on 10/19/2018. The total for the sales was set at $493.8 thousand. After this transaction, the CFO account balance stood at 83.15 thousand shares. The stock lost -14.48 percent since that insider sale. On 09/28/2018, Watson Mathew, SVP, Finance-Shared SVCS & CAO, sold 0.03 thousand shares at a price per share of $78.8. This removed 2.6 thousand shares from the insider’s fortune and the stock saw a -20.99 percent retreat in value since the news became public. This transaction left 18.1 thousand shares in the SVP, Finance-Shared SVCS & CAO account.
On 09/12/2018, SVP, Finance-Shared SVCS & CAO Watson Mathew performed a sale transaction worth $165.96 thousand. This sale at $77.88 each has eliminated 2.13 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded -20.06 percent decrease since the transaction was reported. The insider now is left with 18.13 thousand shares remaining in the account. Saksena Asheesh, who performs the Chief Strategic Growth Officer job, sold 26.31 thousand shares for $2.11 million. The disposal occurred on 09/05/2018 was priced at $80.07 per share. The share price plunged -22.24 percent since the reporting date. Saksena Asheesh now left with a stake of 51.17 thousand BBY stock worth $3.19 million after the insider selling.
The 12-month median price target for Best Buy Co., Inc. (BBY) assigned by the analysts stands at $70, which represents a return potential of 12.4 percent when compared to the closing price of the stock of $62.28 on Thursday, December 06. The lowest price target for the stock is $55 — slightly more than -11.69 percent from BBY’s current share price. The stock will probably climb 19.67 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $90-month high price target. This represents a whopping 44.51 percent increase from where shares are trading today.
On momentum oscillators front, ‘RSI’ has touched 39.32 on daily chart, which may remain a cause for comfort. If the price breaks below $59.64 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $62.98 mark may result into a pull-back move towards $63.67 level. The stock is currently hovering around the first support level of $60.96. Below this, the next support is placed in the zone of $59.64. Till the time, the BBY stock trades above this level, bulls have nothing to fear.
Shares of Best Buy Co., Inc. (BBY) are trading at a P/E ratio of 15.59 times earnings reported for the past 12 months. The industry BBY operates in has an average P/E of 36.19. Its P/E ratio went as low as 9.73X and as high as 11.97 over the 5-year span. Further, it is sporting a 0.39 on the Price-to-Sales ratio. Compare this with the industry average P/S of 0.71. 23.2 percent is the gross profit margin for Best Buy Co., Inc. and operating margin sits at 4.2 percent. Along with this, the net profit margin is 2.3 percent.
On 6th of December, Best Buy Co., Inc. (NYSE:BBY) shares ended higher after a volatile session. The shares accumulated 0.02 points or 0.03 percent at $62.28 with a heavy trade volume of 5.23 million shares. After opening the session at $61.26, the shares went as high as $62.355 and as low as $60.34, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $17 billion and now has 272.35 million shares outstanding. Best Buy Co., Inc. (BBY) stock has lost -12.41 percent of market value in 21 trading days.
In last reported earnings results, BBY earned $0.93 per share, better than the $0.85, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $9.59B, better than the $9.57B analysts expected. Earnings are estimated to increase by 11.6 percent this year, 6.27 percent next year and continue to increase by 16.27 percent annually for the next 5 years. Investors will get their next glimpse of BBY’s Q4 earnings on February 28. Analysts are forecasting revenue to suffer decline of -4.3 percent to $14.7B in the next fiscal quarter, while earnings are seen soaring by nearly 6.2 percent to $2.57 per share. History has shown that shares in Best Buy Co., Inc. have gone down on 19 different earnings reaction days and are predicted to add 0.07 percent when the company reports upcoming earnings.
BBY stock has a trailing 3-year beta of 1.04, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was $4.76 a share in the trailing twelve months. The stock’s value has fallen -9.04 percent year to date (YTD) against a rise of 0.48 percent in 12 month’s time. The company’s shares still trade -26.18 percent away from its 1-year high of $84.37 and 3.68 percent up from 52-week low of $60.07. The average consensus rating on the company is 2.9, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.