Wedbush Cuts Price Target on Best Buy (BBY), Forecasts -2.4% Comps for Q2
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Price: $86.42 +1.25%
Rating Summary:
7 Buy, 25 Hold, 5 Sell
Rating Trend:
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Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
7 Buy, 25 Hold, 5 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Wedbush is maintaining its Neutral rating on shares of Best Buy (NYSE: BBY), but is cutting its price target from $31 to $27 ahead of its second quarter earnings.
The company is anticipated to release its Q2 earnings on September 13 before the opening bell with a conference call scheduled to take place at 7:00 am PT.
The firm forecasts that BBY will report Q2 EPS of $0.44 with $11.7 million in revenue, mixed the consensus of $0.53 and $11.5 million in revenue. Wedbush is estimating comps of -2.4 percent due to consumer electronics and entertainment. China should drive the company's international growth.
Wedbush currently believes that BBY will reiterate its full year 12 guidance with an earnings range of $3.30-$3.55 and revenue range of $51-$52.5.
Due to its promotion plan for the holidays, the firm anticipates that Best Buy could capture 100-200 thousand of GameStop's (NYSE: GME) hardcore gamers.
An analyst at the firm comments, "Best Buy’s five-year plan to have 600 – 800 Best Buy Mobile stores will likely be insufficient to allow for meaningful mobile market share gains, compared to 8,000+ carrier-owned stores and 6,000 RadioShack stores/kiosks."
The firm reaffirmed its 2012 and 2013 EPS estimates of $3.43 and $3.59. Revenue for the two years is estimated to be $52.5 billion and $54.4 billion.
For more ratings news on Best Buy click here and for the rating history of Best Buy click here.
Shares of Best Buy closed at $24.20 yesterday.
The company is anticipated to release its Q2 earnings on September 13 before the opening bell with a conference call scheduled to take place at 7:00 am PT.
The firm forecasts that BBY will report Q2 EPS of $0.44 with $11.7 million in revenue, mixed the consensus of $0.53 and $11.5 million in revenue. Wedbush is estimating comps of -2.4 percent due to consumer electronics and entertainment. China should drive the company's international growth.
Wedbush currently believes that BBY will reiterate its full year 12 guidance with an earnings range of $3.30-$3.55 and revenue range of $51-$52.5.
Due to its promotion plan for the holidays, the firm anticipates that Best Buy could capture 100-200 thousand of GameStop's (NYSE: GME) hardcore gamers.
An analyst at the firm comments, "Best Buy’s five-year plan to have 600 – 800 Best Buy Mobile stores will likely be insufficient to allow for meaningful mobile market share gains, compared to 8,000+ carrier-owned stores and 6,000 RadioShack stores/kiosks."
The firm reaffirmed its 2012 and 2013 EPS estimates of $3.43 and $3.59. Revenue for the two years is estimated to be $52.5 billion and $54.4 billion.
For more ratings news on Best Buy click here and for the rating history of Best Buy click here.
Shares of Best Buy closed at $24.20 yesterday.
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