Analyst Steven Zaccone from Citi maintained a Hold rating on Best Buy Co (BBY – Research Report) and keeping the price target at $70.00.
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Steven Zaccone has given his Hold rating due to a combination of factors impacting Best Buy Co’s future performance. While the company is expected to report a strong first quarter, driven by a temporary increase in consumer electronics demand ahead of tariffs, there are concerns about the sustainability of this trend. Zaccone anticipates a decline in same-store sales and earnings per share for the remainder of the year, as the initial boost in demand may not continue.
Additionally, macroeconomic uncertainties and potential tariff impacts are expected to weigh on the company’s performance in the second half of the fiscal year. The revised earnings guidance reflects a more cautious outlook, with expectations of lower sales growth and profit margins compared to previous forecasts. These factors contribute to the decision to maintain a neutral stance on the stock, as the potential risks balance out the near-term positives.
According to TipRanks, Zaccone is a 4-star analyst with an average return of 4.8% and a 58.05% success rate. Zaccone covers the Consumer Cyclical sector, focusing on stocks such as Best Buy Co, Home Depot, and Lowe’s.
In another report released on May 19, Wells Fargo also maintained a Hold rating on the stock with a $75.00 price target.