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Fundamentals for Best Buy Co., Inc.
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Fundamentals for Best Buy Co., Inc.
Business Operations:
Sector: Consumer CyclicalIndustry: Specialty Retail
Best Buy Co., Inc. offers technology products and solutions in the United States, Canada, and internationally. It provides computing and mobile phone products, such as desktops, notebooks, and peripherals; mobile phones comprising related mobile network carrier commissions; networking products; tablets covering e-readers; smartwatches; and consumer electronics consisting of digital imaging, health and fitness products, portable audio comprising headphones and portable speakers, and smart home products, as well as home theaters that includes home theater accessories, soundbars, and televisions. The company's stores also offer appliances, such as dishwashers, laundry, ovens, refrigerators, blenders, coffee makers, vacuums, and personal care; entertainment products consisting of drones, peripherals, movies, and toys, as well as hardware and software, and virtual reality and other software products; and other products, such as baby, food and beverage, luggage, and outdoor living products. In addition, it provides delivery, installation, memberships, repair, set-up, technical support, health-related, and warranty-related services. The company offers its products through stores and websites under the Best Buy, Best Buy Ads, Best Buy Business, Best Buy Essentials, Best Buy Health, Current Health, Geek Squad, Imagine That, Insignia, Lively, My Best Buy, My Best Buy Memberships, Pacific Kitchen, Home, TechLiquidators, and Yardbird brand names, as well as domain names comprising bestbuy.com, currenthealth.com, lively.com, techliquidators.com, yardbird.com, bestbuy.ca, and techliquidators.ca. The company was formerly known as Sound of Music, Inc. Best Buy Co., Inc. was incorporated in 1966 and is headquartered in Richfield, Minnesota.
Revenue projections:
Investors are expected to be cautious with Best Buy Co., Inc., as its revenues are projected to fall compared to last year. A decline in revenue often results in a negative impact on profitability, prompting concerns about the company's financial stability and making investors more conservative in their approach.
Financial Ratios:
| currentRatio | 1.10700 |
|---|---|
| forwardPE | 8.02489 |
| debtToEquity | 139.47400 |
| earningsGrowth | 3.72500 |
| revenueGrowth | -0.01000 |
| grossMargins | 0.22482 |
| operatingMargins | 0.05017 |
| trailingEps | 5.04000 |
| forwardEps | 7.01318 |
BBY's current ratio, being 1.107, demonstrates that the company has the liquidity necessary to service its short-term debt. With strong cash reserves and current assets, BBY is well-equipped to meet its immediate financial obligations without any difficulties.
BBY's high debt-to-equity ratio indicates a strong reliance on debt, meaning the company is heavily leveraged. This could increase financial risks if cash flow or earnings decline, making it more difficult for BBY to manage its debt obligations.
BBY's forward EPS exceeding its trailing EPS implies that the company is projected to be more profitable this year. This suggests an improvement in financial performance, with analysts expecting BBY to generate stronger earnings compared to the previous financial year.
Price projections:
Price projections for BBY have been revised downward over time, signaling decreasing optimism about the company's outlook. Analysts appear to be adjusting their expectations as concerns about future performance grow.
Insider Transactions:
BBY had 11 sell transactions, while the market price was at 75.70545473965731 per share.1 separate purchases of BBY stock were made, while market price was at 72.63999938964844 per share.There is no clear trend from the insider transactions, providing limited insights into whether these actions reflect growth or decline.
Recommendation changes over time:
BBY has received a favorable buy bias from analysts recently, positioning it as a solid investment opportunity. This sentiment may attract more investors, who view BBY as a stable option to park their money and potentially benefit from the company's continued growth and profitability.
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