Best Buy
What analysts say:
- Buy, sell or hold?: Analysts think investors should stand pat on Best Buy with 13 of 23 analysts rating it hold.
- Revenue Forecasts: On average, analysts predict $10.69 billion in revenue this quarter. That would represent a decline of 0.9% from the year-ago quarter.
- Wall St. Earnings Expectations: The average analyst is estimating earnings of 33 cents per share. Estimates range from 28 cents to 37 cents.
What our community says:
CAPS All Stars are solidly behind the stock with 87.1% awarding it an "outperform" rating. The community at large concurs with the All Stars with 85.3% granting it a rating of "outperform." Fools are keen on Best Buy and haven't been shy with their opinions lately, logging 1,283 posts in the past 30 days. Best Buy's meager CAPS rating of just two out of five stars falls far short of the Fool community enthusiasm for the stock.
Management:
The company has now seen net income fall in each of the last two quarters. In the fourth quarter of the last fiscal year, net income fell 4.4% year over year. Revenue has also fallen in the past two quarters. In fourth quarter of the last fiscal year, revenue declined 1.1% to $16.26 billion year over year.
Now let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows gross and net margins over the past four quarters.
Quarter | Q4 | Q3 | Q2 | Q1 |
Gross Margin | 24.3% | 25.1% | 25.7% | 25.9% |
Net Margin | 4% | 1.8% | 2.2% | 1.4% |
One final thing: If you want to keep tabs on Best Buy's movements, and for more analysis on the company, make sure you add it to your Watchlist.
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