From Nasdaq: 2025-06-02 22:26:00

Best Buy’s stock (NYSE: BBY) has fallen by 23% year-to-date, underperforming the S&P 500. In Q1 2026, the company reported a 2% decline in net sales and a 5% drop in earnings per share, citing weakness in certain product categories.

Due to increased tariff-related costs, Best Buy has implemented selective price increases starting mid-May 2025. Around 30-35% of its merchandise comes from China, subject to tariffs of up to 30%.

BBY stock has fared worse than the S&P 500 during recent downturns, with a peak-to-trough decline of 54.5% in the 2022 inflation shock. It currently trades at around $66 per share, with analysts projecting a potential upside to $81.

Despite a forward P/E ratio of 11x and a projected revenue decrease for fiscal 2026, analysts anticipate a potential upside of over 20% for BBY stock. However, with ongoing macroeconomic challenges, investors must decide whether to hold or sell.



Read more at Nasdaq: Is A 50% Drop Ahead For Best Buy Stock?