Why are Institutional Investors Interested in Buying Best Buy Co. Inc. (BBY)?

Best Buy Co. Inc. (NYSE: BBY) is -4.53% lower on its value in year-to-date trading and has touched a low of $48.10 and a high of $91.99 in the current 52-week trading range. The BBY stock was last observed hovering at around $85.84 in the last trading session, with the day’s loss setting it -2.02% off its average median price target of $84.00 for the next 12 months. It is also 18.22% off the consensus price target high of $102.50 offered by 28 analysts, but current levels are -28.95% lower than the price target low of $65.00 for the same period.

Currently trading at $83.82, the stock is 3.54% and 8.33% above its SMA20 and SMA50 respectively. However, with a daily trading volume of 3.98 million and changing -2.35% at the moment leaves the stock 9.93% off its SMA200. BBY registered 26.25% gain for a year compared to 6-month loss of -4.36%. The firm has a 50-day simple moving average (SMA 50) of $79.86 and a 200-day simple moving average (SMA200) of $78.28.

The stock witnessed a 5.47% gain in the last 1 month and extending the period to 3 months gives it a 38.41%, and is 0.70% up over the last 5 days. If we measure the stock’s price variations over the week and the month, we find that the volatility rates stand at 3.81% over the week and 3.70% over the month.

Best Buy Co. Inc. (BBY) has around 125000 employees, a market worth around $21.94B and $43.06B in sales. Current P/E ratio is 15.50 and Fwd P/E is 13.87. Profit margin for the company is 3.30%. Distance from 52-week low is 74.24% and -8.88% from its 52-week high. The company has generated returns on investments over the last 12 months (32.80%).

Best Buy Co. Inc. (BBY) Analyst Forecasts

Analyst recommendations provided by FactSet shows that the consensus forecast for Best Buy Co. Inc. (BBY) is a “Overweight”. 28 analysts offering their recommendations for the stock have an average rating of 2.50, where 15 rate it as a Hold and 0 think it is a “Overweight”. 10 of the analysts rate the stock as a “Buy”. 1 analysts have rated the stock as a Sell or Underperform.

Best Buy Co. Inc. is expected to release its quarterly report on 09/01/2020 and quarterly earnings per share for the current quarter are estimated at $0.78 with sales reaching $8.97B over the same period.The EPS is expected to grow by 8.80% this year, but quarterly earnings will post -3.40% year-over-year. Quarterly sales are estimated to shrink -6.00% in year-over-year returns.

Best Buy Co. Inc. (BBY) Top Institutional Holders

968 institutions hold shares in Best Buy Co. Inc. (BBY), with 38.34M shares held by insiders accounting for 14.84% while institutional investors hold 95.86% of the company’s shares. The shares outstanding are 258.30M, and float is at 228.74M with Short Float at 2.67%. Institutions hold 81.63% of the Float.

The top institutional shareholder in the company is Vanguard Group, Inc. (The) with over 27.68 million shares valued at $1.58 billion. The investor’s holdings represent 10.75% of the BBY Shares outstanding. As of Mar 30, 2020, the second largest holder is Blackrock Inc. with 18.6 million shares valued at $1.06 billion to account for 7.22% of the shares outstanding. The other top investors are FMR, LLC which holds 17.88 million shares representing 6.94% and valued at over $1.02 billion, while State Street Corporation holds 4.37% of the shares totaling 11.26 million with a market value of $641.7 million.

Best Buy Co. Inc. (BBY) Insider Activity

A total of 120 insider transactions have happened at Best Buy Co. Inc. (BBY) in the last six months, with sales accounting for 72 and purchases happening 48 times. The most recent transaction is an insider sale by Hartman Todd G., the company’s GC, Chief Risk/Comp Officer. SEC filings show that Hartman Todd G. sold 3,165 shares of the company’s common stock on Jun 12 at a price of $79.00 per share for a total of $0.25 million. Following the sale, the insider now owns 23052.0 shares.

Best Buy Co. Inc. disclosed in a document filed with the SEC on Jun 12 that Barry Corie S (CEO) sold a total of 4,127 shares of the company’s common stock. The trade occurred on Jun 12 and was made at $79.22 per share for $0.33 million. Following the transaction, the insider now directly holds 0.16 million shares of the BBY stock.

Still, SEC filings show that on Jun 12, MOHAN RAJENDRA M (President & COO) disposed off 1,867 shares at an average price of $79.22 for $0.15 million. The insider now directly holds 168,546 shares of Best Buy Co. Inc. (BBY).

Best Buy Co. Inc. (BBY): Who are the competitors?

The company’s main competitors (and peers) include VOXX International Corporation (VOXX) that is 53.87% higher over the past 12 months. Apple Inc. (AAPL) is 84.11% up on the 1-year trading charts. Short interest in the company’s stock has fallen -14.4% from the last report on Apr 29, 2020 to stand at a total of 6.99 million short shares sold with a short interest ratio of 1.98.