Best Buy Co. Inc reported first quarter earnings that topped analysts’ expectations. The retail company, however, suspended its full-year guidance.
The company’s non-GAAP earnings for the three months ending on May 2 came in at 67 cents per share, exceeding the the Street estimate of 43 cents per share . But the figure is down -34.3% from the same period last year.
Revenue declined -6.8% year-over-year to $8.56 billion in the quarter, but surpassed analysts' expectations. Online sales, surged +155.4% year-over-year, while comparable physical store sales dropped -5.3% amid the COVID-19 pandemic
Best Buy suspended its full-year earnings forecast. It said around 700 of is U.S. locations are up-and-running albeit with strict social distancing rules. The company is assessing possibilities of expansion of store hours, as well as scrapping the 'appointment only' condition at some of its stores.
The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an uptrend is expected.
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where BBY's RSI Oscillator exited the oversold zone, of 31 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BBY advanced for three days, in of 355 cases, the price rose further within the following month. The odds of a continued upward trend are .
BBY may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Momentum Indicator moved below the 0 level on April 10, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on BBY as a result. In of 90 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for BBY turned negative on April 04, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 53 similar instances when the indicator turned negative. In of the 53 cases the stock turned lower in the days that followed. This puts the odds of success at .
BBY moved below its 50-day moving average on April 15, 2024 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for BBY crossed bearishly below the 50-day moving average on April 23, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BBY declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for BBY entered a downward trend on April 29, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (5.760) is normal, around the industry mean (12.888). P/E Ratio (14.373) is within average values for comparable stocks, (35.906). Projected Growth (PEG Ratio) (1.507) is also within normal values, averaging (2.536). Dividend Yield (0.045) settles around the average of (0.033) among similar stocks. P/S Ratio (0.411) is also within normal values, averaging (88.545).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. BBY’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BBY’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 77, placing this stock better than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a retailer of consumer electronics, entertainment software and appliances
Industry SpecialtyStores