Post a Free Blog

Submit A Press Release

Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
Filter by Categories
Action
Animation
ATP Tour (ATP)
Auto Racing
Baseball
Basketball
Boxing
Breaking News
Business
Business
Business Newsletter
Call of Duty (CALLOFDUTY)
Canadian Football League (CFL)
Car
Celebrity
Champions Tour (CHAMP)
Comedy
CONCACAF
Counter Strike Global Offensive (CSGO)
Crime
Defense of the Ancients (DOTA)
Documentary and Foreign
Drama
eSports
European Tour (EPGA)
Fashion
FIFA
FIFA Women’s World Cup (WWC)
FIFA World Cup (FIFA)
Fighting
Football
Formula 1 (F1)
Fortnite
Golf
Health
Hockey
Horror
IndyCar Series (INDY)
International Friendly (FRIENDLY)
Kids & Family
League of Legends (LOL)
LPGA
Madden
Major League Baseball (MLB)
Mixed Martial Arts (MMA)
MLS
Movie and Music
Movie Trailers
Mystery
NASCAR Cup Series (NAS)
National Basketball Association (NBA)
National Football League (NFL)
National Hockey League (NHL)
National Women's Soccer (NWSL)
NBA Development League (NBAGL)
NBA2K
NCAA Baseball (NCAABBL)
NCAA Basketball (NCAAB)
NCAA Football (NCAAF)
NCAA Hockey (NCAAH)
Olympic Mens (OLYHKYM)
Other
Other Sports
Overwatch
PGA
Politics
Premier League (PREM)
Romance
Sci-Fi
Science
Soccer
Sports
Sports
Technology
Tennis
Thriller
Truck Series (TRUCK)
Ultimate Fighting Championship (UFC)
Uncategorized
US
Valorant
Women’s National Basketball Association (WNBA)
Women’s NCAA Basketball (WNCAAB)
World
World Cup Qualifier (WORLDCUP)
WTA Tour (WTA)
Xfinity (XFT)
XFL
0
-- Advertisement --spot_img
HomeBusinessBest Buy Stock Gains 4 percent Following UBS Upgrade

Best Buy Stock Gains 4 percent Following UBS Upgrade

Add to Favorite
Added to Favorite


Best Buy (NYSE: BBY) saw its shares climb over 4% yesterday following an upgrade from UBS analysts, who raised the company’s rating from Neutral to Buy and increased the price target from $85 to $106.
The analysts identified several factors contributing to potential outperformance and an appealing risk-reward scenario for investors. They foresee multiple drivers for upside over the next 18 months, including a recovering housing market, an impending electronics replacement cycle, and the growing adoption of AI-powered devices, which could increase sales by approximately 2%. Additionally, Best Buy’s venture into new product categories such as e-bikes and furniture presents further growth prospects.
UBS predicts these elements will lead to a notable recovery in Best Buy’s sales in late 2024 and into 2025. The report emphasizes Best Buy’s historical success in capturing market share during the early stages of product cycles.
The company’s restructuring efforts are also credited with enhancing its earnings potential. Analysts note that reduced staffing levels per store have improved earnings potential as sales rise. Even with a modest increase in staffing, a 3% growth in comparable sales next year could push EPS to $7.30, exceeding the current consensus estimate of $6.70.
Furthermore, UBS highlighted Best Buy’s attractive valuation, including a 4.3% dividend yield and a strong cash position, providing substantial downside protection. The analysts believe the current stock price underestimates Best Buy’s earnings potential.
Despite acknowledging risks such as category-specific sales weakness or a broader economic downturn, UBS maintains a positive outlook.

Subscribe to get Latest News Updates

Latest News

You may like more
more

Watch Samsung to launch wearable product, smart ring called Galaxy Ring, web fans are excited

Samsung (SSNLF) will soon launch its first-of-its-kind wearable product,...

Bad news for inflation: Wholesale prices rose in June

The cost of goods—including gas, electronics, and appliances—dropped by...

Benchmark Reiterates Buy Rating on JD.com, Adjusts Q2 Revenue Growth Projection

Benchmark analysts reaffirmed their Buy rating and set a...

Truist Securities Reiterates Buy Rating on Five9 Amid Activist Investor Push for Sale

Truist Securities analysts reaffirmed their Buy rating and set...