Best Buy Co., Inc. (BBY) is about to give investors a look under the hood when it reports third-quarter earnings before the market opens on Tuesday, November 25. Wall Street is penciling in earnings of $1.31 per share for the New Albany, Ohio-based retailer, up from $1.26 in the same quarter last year. The consensus revenue estimate sits at $9.59 billion, compared to $9.45 billion a year ago.
During the second-quarter earnings call, CFO Matt Bilunas offered some guidance that caught attention. He suggested third-quarter comparable sales would likely mirror the 1.6% growth the company posted in the previous quarter. That's a signal that Best Buy is tracking toward the higher end of its full-year revenue guidance range of $41.1 billion to $41.9 billion.
The stock dipped 1.1% on Monday, closing at $75.62 as investors positioned themselves ahead of the earnings release.
What the Analysts Are Saying
Several of Wall Street's most accurate analysts have been busy adjusting their expectations for Best Buy in recent weeks. Here's how the ratings shake out:
Joseph Feldman from Telsey Advisory Group maintained an Outperform rating on November 18, keeping his price target at $90. Feldman has a 65% accuracy rate on his calls.
Christopher Horvers at JP Morgan maintained an Overweight rating on November 14 and bumped his price target from $89 to $97. Horvers sports a 72% accuracy rate, making him one of the more reliable voices on the stock.
Truist Securities analyst Scot Ciccarelli stuck with a Hold rating on November 7 but raised his price target from $72 to $79. Ciccarelli's track record shows a 70% accuracy rate.
Chris Graja from Argus Research maintained a Hold rating on September 16. His accuracy rate comes in at 66%.
Alicia Reese at Wedbush also kept a Neutral rating on August 29, raising her price target from $70 to $75. Reese has a 66% accuracy rate.
The pattern is clear: while most analysts aren't going full-throttle bullish, they're generally nudging their price targets higher. The consensus seems to be cautious optimism, with JP Morgan's $97 target representing the most aggressive bull case among recent calls.
