Why This Best Buy Analyst Is Dropping Their Bullish Stance During Holiday Shopping Season


Best Buy Co Inc BBY's earnings growth is likely to remain stunted in the near- and medium-term due to a challenging macroenvironment, according to BofA Securities.

The Best Buy Analyst: Elizabeth Suzuki downgraded Best Buy from Neutral to Underperform while reducing the price target from $80 to $69.

The Best Buy Takeaways: Credit and debit card data on spending this holiday season suggests that trends remain “tepid,” Suzuki said in the downgrade note.

Check out other analyst stock ratings.

“Consumer electronics (CE) & hobby retail spending specifically declined more than 13% YoY in the month of November, which is just 12% above 2019 levels,” the analyst said. 

“We expect 2023 to be another year where consumer spending gets prioritized toward “needs” (food, fuel, maintenance & repair categories) and away from 'wants.'"

BBY Price Action: Shares of Best Buy were down 2.49% at $81.98 midday Wednesday. 

Photo via Shutterstock. 

Market News and Data brought to you by Benzinga APIs
Price Target
Posted In: Analyst ColorDowngradesPrice TargetTop StoriesAnalyst RatingsBofA SecuritiesElizabeth Suzuki
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!