DA Davidson Reiterates Buy Rating on Best Buy with $90 Target
DA Davidson maintains a Buy rating on Best Buy, setting a $90 price target, a 15.93% upside from the current price.
Key Points
- DA Davidson reiterated its Buy rating on Best Buy Co., Inc. (NYSE:BBY) with a price target of $90 on June 22, 2026.
- DA Davidson's $90 price target implies 15.93% upside from Best Buy Co., Inc.'s ($BBY) current $77.63 share price.
- Shares of Best Buy traded near $74.73 on Monday, with a market cap of $15.75 billion and a P/E ratio of 13.84.
- Insider activity included sales by Richard Schulze and purchases by Sima Sistani, David Kimbell, Karen McLoughlin, and David Kenny.
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DA Davidson has reaffirmed its Buy rating for Best Buy Co., Inc. (NYSE:BBY), setting a price target of $90. This reiteration by analyst Michael Baker was announced on June 22, 2026. At the close of the market on Monday, Best Buy shares were trading around $74.73.
DA Davidson vs. the S&P 500
Hypothetical, simulated performance of disclosed positions vs. the S&P 500. Not realized profit and not investment advice. Past performance does not indicate future results. Details.
Best Buy Co., Inc. Stock Down 5.8%
Shares of Best Buy traded at $74.73 on Monday. The company has a market capitalization of about $15.75 billion and a P/E ratio of 13.84. Its forward P/E stands at 10.57, with a beta of 1.33, indicating a moderate level of volatility compared to the market. Over the past 52 weeks, the stock has ranged from a low of $55.10 to a high of $84.99. It has a 50-day moving average of $65.20 and a 200-day moving average of $69.86. Best Buy's current ratio is 1.12, and its quick ratio is 0.36, with a debt-to-equity ratio of 134.09.
$BBY price target
Past daily closes and this analyst's 12-month price target. Not investment advice.
Recent Earnings
Best Buy reported revenue of approximately $41.86 billion, with a growth rate of 1.9%. The company's earnings per share (EPS) stood at $5.40. It achieved a net margin of 2.73% and a return on equity (ROE) of 39.10%. The next earnings report is expected on August 27, 2026.
Earnings drift grade
Outlook vs expectations on the last report — not price action.
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Forward outlook
7 target raises vs 3 cuts.
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EPS & revenue
EPS beat estimates by 3.3%. Revenue met estimates.
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Profit surprise
EBITDA beat by 5 percent. Operating income beat by 12 percent.
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Pre-earnings setup
Expectations were about average.
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Analyst signal
1 downgrade, 7 target raises, 3 target cuts.
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Earnings quality
Positive free cash flow.
Earnings Call Summary
Best Buy delivered 9.4 billion dollars in second quarter sales, up 1.6 percent, driven by strong Switch 2 launch, six straight quarters of computing growth hitting highest laptop volumes in 15 years, and gaming momentum. They launched their marketplace offering six times more products online and are expanding vendor partnerships, including a new one with IKEA for kitchen and appliance displays. Cost pressures from tariffs remained manageable at below the effective tariff rate due to supply chain mitigation.
Guidance Best Buy kept its full year sales guidance of 41.1 billion to 41.9 billion dollars and earnings per share of 6.15 to 6.30 dollars. Management said they expect to hit the higher end of their sales range. They also expect gaming and computing to keep growing in the back half, with new phone launches and Windows 11 upgrades helping momentum.
Slightly positive report. The quarter was acceptable, but the forward setup is not strong.
Dividend
Best Buy offers an annual dividend rate of $3.84, yielding 5.14%. The dividend payout ratio is 70.56%, providing a substantial return to shareholders.
Insider Buying and Selling at Best Buy Co., Inc.
Recent insider activity at Best Buy includes sales by Richard Schulze, who sold 5,100 shares at $78 on June 16, 2026, and 76,299 shares at $78.23 on June 15, 2026. On the buying side, Sima Sistani, David Kimbell, Karen McLoughlin, and David Kenny each acquired 2,611 shares on June 12, 2026, at no cost.
Analysts Set New Price Targets
On June 22, 2026, DA Davidson maintained its Buy rating for Best Buy with a price target of $90. Previously, DA Davidson had set a target of $78 on May 29, 2026. Other analysts, such as Citigroup and Truist Securities, have maintained Hold ratings with targets of $79 and $81, respectively. The consensus among analysts is a Hold rating, with a mean target price of $78.65 based on 20 opinions.
About Best Buy Co., Inc.
Best Buy Co., Inc. is a leading retailer of technology products and services. Headquartered in Richfield, Minnesota, the company operates in the consumer cyclical sector and specializes in specialty retail. Best Buy offers a wide range of products, including computing devices, mobile phones, and home appliances, through its stores and online platforms. Led by CEO Corie Sue Barry, Best Buy employs approximately 82,000 people.
Bottom Line
DA Davidson's reiteration of a Buy rating with a $90 target demonstrates confidence in Best Buy's potential. Investors keep a close eye on such analyst ratings as they can provide insights into a company's future performance. It's important to remember that these ratings reflect past evaluations and may not align with current market conditions.
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