UBS Maintains a 'Neutral' on Best Buy (BBY); Expect Streamlining of Cost Structure
Tweet
Share
E-mailGet Alerts BBY Hot Sheet
Price: $86.42 +1.25%
Rating Summary:
7 Buy, 25 Hold, 5 Sell
Rating Trend:
Up
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
Join SI Premium – FREE
UBS maintains a 'Neutral' on Best Buy (NYSE: BBY) price target raised from $25 to $27.
Analyst, Michael Lasser, said, "While BBY has already committed to a 10% big box square footage reduction, we think it can go further. We calculate a 20% reduction in total square footage while increasing store labor to 3.6 associates per 1,000 square feet (vs. 3.1 last year) would generate $1+ in EPS (25% accretion). We think a bold step such as this would change the narrative on the story and the debate would turn to whether or not it can work."
UBS lowers FY12 EPS estimate from $3.44 to $3.40 and raises FY13 from $3.73 to $3.75.
For an analyst ratings summary and ratings history on Best Buy click here. For more ratings news on Best Buy click here.
Shares of Best Buy closed at $26.93 yesterday.
Analyst, Michael Lasser, said, "While BBY has already committed to a 10% big box square footage reduction, we think it can go further. We calculate a 20% reduction in total square footage while increasing store labor to 3.6 associates per 1,000 square feet (vs. 3.1 last year) would generate $1+ in EPS (25% accretion). We think a bold step such as this would change the narrative on the story and the debate would turn to whether or not it can work."
UBS lowers FY12 EPS estimate from $3.44 to $3.40 and raises FY13 from $3.73 to $3.75.
For an analyst ratings summary and ratings history on Best Buy click here. For more ratings news on Best Buy click here.
Shares of Best Buy closed at $26.93 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Fiserv (FISV) PT Lowered to $60 at Freedom Broker
- Tata Motors Passenger Vehicles (TMPV:IN) PT Raised to INR375 at ICICI Securities
- Freedom Broker Upgrades Serve Robotics (SERV) to Buy
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT ChangeRelated Entities
UBSSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
