Best Buy Co., Inc. (NYSE:BBY) to Issue Dividend Increase – $0.95 Per Share

Best Buy Co., Inc. (NYSE:BBY) announced a quarterly dividend on Tuesday, March 4th, RTT News reports. Investors of record on Tuesday, March 25th will be given a dividend of 0.95 per share by the technology retailer on Tuesday, April 15th. This represents a $3.80 dividend on an annualized basis and a yield of 5.00%. This is an increase from Best Buy’s previous quarterly dividend of $0.94.

Best Buy has raised its dividend by an average of 10.3% annually over the last three years and has increased its dividend every year for the last 21 years. Best Buy has a dividend payout ratio of 50.7% indicating that its dividend is sufficiently covered by earnings. Analysts expect Best Buy to earn $6.63 per share next year, which means the company should continue to be able to cover its $3.76 annual dividend with an expected future payout ratio of 56.7%.

Best Buy Trading Up 1.0 %

Shares of Best Buy stock traded up $0.76 during trading on Wednesday, hitting $75.96. 493,616 shares of the company were exchanged, compared to its average volume of 2,784,920. The firm’s fifty day moving average price is $86.20 and its 200 day moving average price is $90.62. Best Buy has a 1-year low of $69.29 and a 1-year high of $103.71. The firm has a market capitalization of $16.24 billion, a P/E ratio of 13.03, a price-to-earnings-growth ratio of 2.10 and a beta of 1.43. The company has a debt-to-equity ratio of 0.37, a current ratio of 1.00 and a quick ratio of 0.22.

Best Buy (NYSE:BBY) last posted its earnings results on Tuesday, March 4th. The technology retailer reported $2.58 earnings per share for the quarter, topping the consensus estimate of $2.40 by $0.18. Best Buy had a net margin of 3.01% and a return on equity of 45.93%. The company had revenue of $13.95 billion for the quarter, compared to analyst estimates of $13.69 billion. During the same period last year, the business posted $2.72 earnings per share. As a group, sell-side analysts expect that Best Buy will post 6.18 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on the company. StockNews.com downgraded Best Buy from a “buy” rating to a “hold” rating in a report on Friday, November 15th. Telsey Advisory Group cut their price target on shares of Best Buy from $110.00 to $100.00 and set an “outperform” rating on the stock in a research note on Wednesday. Truist Financial cut their price target on shares of Best Buy from $107.00 to $95.00 and set a “hold” rating on the stock in a research note on Wednesday, November 27th. Bank of America dropped their price objective on shares of Best Buy from $80.00 to $75.00 and set an “underperform” rating on the stock in a report on Wednesday. Finally, UBS Group reaffirmed a “buy” rating on shares of Best Buy in a research note on Friday. One investment analyst has rated the stock with a sell rating, eight have assigned a hold rating, ten have given a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, Best Buy has a consensus rating of “Moderate Buy” and a consensus price target of $98.44.

Insider Buying and Selling at Best Buy

In related news, CFO Matthew M. Bilunas sold 69,166 shares of the business’s stock in a transaction that occurred on Wednesday, December 11th. The stock was sold at an average price of $87.46, for a total transaction of $6,049,258.36. Following the transaction, the chief financial officer now directly owns 92,070 shares of the company’s stock, valued at approximately $8,052,442.20. The trade was a 42.90 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 0.59% of the company’s stock.

Best Buy Company Profile

Best Buy Co, Inc engages in the retail of technology products in the United States, Canada, and international. Its stores provide 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, which includes home theater accessories, soundbars, and televisions.