Best Buy Co (BBY) To Report Earnings Tomorrow: Here Is What To Expect

Adam Hejl /
2023/11/20 2:02 am EST

Electronics retailer Best Buy (NYSE:BBY) will be announcing earnings results tomorrow before market open. Here's what you need to know.

Last quarter Best Buy Co reported revenues of $9.58 billion, down 7.2% year on year, in line with analyst expectations. It was a mixed quarter for the company with revenue and EPS exceeding analysts' expectations. Guidance was more mixed, with full year same-store sales and revenue guidance lowered from the company's previous outlook. However, Best Buy's profitability outlook is better, resulting in a higher full year operating margin guidance compared to previous.

Is Best Buy Co buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Best Buy Co's revenue to decline 6.5% year on year to $9.90 billion, improvement on the 11.1% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.20 per share.

Best Buy Co Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company missed Wall St's revenue estimates three times over the last two years.

Looking at Best Buy Co's peers in the specialty retail segment, some of them have already reported Q3 earnings results, giving us a hint of what we can expect. Sally Beauty's revenues decreased 4.3% year on year, missing analyst estimates by 1.1% and Bath and Body Works reported revenue decline of 2.6% year on year, exceeding estimates by 0.4%. Sally Beauty traded down 1.6% on the results, Bath and Body Works was flat on the results.

Read our full analysis of Sally Beauty's results here and Bath and Body Works's results here.

There has been positive sentiment among investors in the specialty retail segment, with the stocks up on average 8% over the last month. Best Buy Co is flat during the same time, and is heading into the earnings with analyst price target of $79.7, compared to share price of $68.2.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

Join Paid Stock Investor Research

Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here.

The author has no position in any of the stocks mentioned.