Earnings Outlook For Best Buy Co

Best Buy Co BBY is preparing to release its quarterly earnings on Thursday, 2025-05-29. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Best Buy Co to report an earnings per share (EPS) of $1.08.

Best Buy Co bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Past Earnings Performance

Last quarter the company beat EPS by $0.18, which was followed by a 0.44% increase in the share price the next day.

Here's a look at Best Buy Co's past performance and the resulting price change:

Performance of Best Buy Co Shares

Shares of Best Buy Co were trading at $72.22 as of May 27. Over the last 52-week period, shares are down 11.31%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Insights Shared by Analysts on Best Buy Co

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Best Buy Co.

Analysts have provided Best Buy Co with 23 ratings, resulting in a consensus rating of Neutral. The average one-year price target stands at $89.35, suggesting a potential 23.72% upside.

Peer Ratings Overview

This comparison focuses on the analyst ratings and average 1-year price targets of and Best Buy Co, three major players in the industry, shedding light on their relative performance expectations and market positioning.

Summary of Peers Analysis

The peer analysis summary provides a snapshot of key metrics for and Best Buy Co, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Key Takeaway:

Best Buy Co is positioned in the middle among its peers based on consensus rating. It ranks at the bottom for revenue growth, indicating a decline in revenue. In terms of gross profit, it is at the top among its peers, reflecting strong profitability. However, its return on equity is at the bottom, suggesting lower returns for shareholders compared to its peers.

All You Need to Know About Best Buy Co

With $41.5 billion in consolidated 2024 sales, Best Buy is the largest pure-play consumer electronics retailer in the US, boasting roughly 8% share of the North American market and around 33% share of offline sales in the region, per our calculations, CTA, and Euromonitor data. The firm generates the bulk of its sales in-store, with mobile phones and tablets, computers, and appliances representing its three largest categories. Recent investments in e-commerce fulfillment, accelerated by the covid-19 pandemic, have seen the US e-commerce channel roughly double from prepandemic levels, with management estimating that it will represent a mid-30% proportion of sales moving forward.

Best Buy Co: Delving into Financials

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Growth: Best Buy Co's revenue growth over a period of 3 months has faced challenges. As of 31 January, 2025, the company experienced a revenue decline of approximately -4.77%. This indicates a decrease in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Best Buy Co's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 0.84%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 3.97%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Best Buy Co's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.74%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Best Buy Co's debt-to-equity ratio surpasses industry norms, standing at 1.44. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

To track all earnings releases for Best Buy Co visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.