|Bid||54.61 x 3100|
|Ask||54.69 x 800|
|Day's range||53.02 - 56.22|
|52-week range||48.11 - 91.99|
|Beta (5Y monthly)||1.14|
|PE ratio (TTM)||9.49|
|Earnings date||20 May 2020 - 24 May 2020|
|Forward dividend & yield||2.20 (3.86%)|
|Ex-dividend date||17 Mar 2020|
|1y target est||83.14|
(Bloomberg Opinion) -- If, in the midst of the coronavirus pandemic, you are in Minneapolis and you drop your iPhone, who will repair the cracked screen? If you’d like an authorized repair, with Apple Inc.-certified parts, the options are suddenly limited. Apple’s retail stores, and the service centers inside of them, are closed indefinitely. Similarly, Twin Cities-based Best Buy Co., which offers authorized Apple repairs in its stores, is not repairing products in-house at this time. Apple maintains a modest network of authorized repair shops, but — thanks to Covid-19 business shutdowns — the closest one available to repair an iPhone is nearly 200 miles away, in Sioux Falls, South Dakota. That leaves one reasonable authorized repair option: Mail in that iPhone and wait.Admittedly, this might not appear to be the most pressing issue during a pandemic. But consider: Covid-19 is spreading at a time when dependence on personal technology is more important than ever, connecting Americans to family, work, health information and news. As that dependence has grown, manufacturers of electronics — from mobile phones to essential medical equipment like ventilators — have made design and policy decisions that restrict device repair to themselves and their chosen representatives. In normal times, those decisions might amount to an expensive inconvenience for consumers. During a pandemic, they raise a pressing question: Who will repair our stuff if the manufacturers can’t or won’t?It’s not a question the U.S. faced during the 1918 flu pandemic. A century ago, most of the devices purchased by Americans were mechanical in nature, and home mechanics were plentiful. The Ford Model T circa 1918 was designed to be serviced by its owner or anyone nearby with basic mechanical skills. In the 1920s, American farmers started the mass adoption of mechanical tractors, and so had to develop formidable repair skills to keep them running. When World War II arrived, and farm equipment and repair parts became scarce, manufacturers like John Deere Inc. actively sought to aid farmers in the personal upkeep of their equipment. That self-reliant spirit persisted for most of the 20th century, epitomized by weekend mechanics working on their cars in the driveway.By the early 1990s, however, the skills and motivation to repair at home, or to start repair businesses, were in decline. As manufacturing jobs shuttered, mechanical and repair skills withered. At the same time, globalized manufacturing drove down the costs of manufactured goods. Once-expensive repairable televisions gave way to disposable $300 flat screens. The TV repair shop, once a fixture in American cities, has largely disappeared.More intentional reasons for the decline also emerged. Device, appliance and even farm-tractor manufacturers opted to wring more money out of their service and parts businesses by restricting access to repair parts and documentations. For example, on March 31, camera manufacturer Nikon Corp. will stop providing official parts, tools, software and repair manuals to the U.S. repair shops in its authorized repair network. (In 2012, it stopped selling parts to independent camera repair shops.) It will now only provide certified repair and parts in two Nikon-owned facilities. For camera owners, that means waiting longer, and probably paying more, to get their stuff fixed. For independent repair shops, it means one less reason to stay in business.Nikon’s practices aren’t unique. Apple restricts parts, diagnostic software and repair documentation to its stores and a small network of authorized repair shops. It also actively dissuades independent repair shops from fixing Apple products. One of the world’s most valuable companies is suing a small, unauthorized Norwegian phone repair shop for selling aftermarket iPhone screens. Without aftermarket parts, such shops cannot fix iPhones.And John Deere, once a proponent and partner in the independent repair of tractors, has built a repair monopoly by installing software that effectively prevents anyone but its authorized service centers from doing even simple repairs to its tractors. For some farmers, this practice has resulted in delays in planting, a particularly ominous prospect during a spring pandemic. Equally ominous, if not more so, is the prospect that in-house medical technicians — especially in hospitals in emerging markets — will not have access to repair documentation, software and tools in the midst of the pandemic.It's too late for manufacturers to provide more convenient, affordable and accessible repair options to most consumers and businesses during this pandemic. But there are some radical steps that could easily make a difference right now. For example, manufacturers of medical equipment such as ventilators should release repair guides for therapy devices to hospitals rather than forcing them to wait for a certified technician. Similarly, Deere and other farm equipment manufacturers should suspend their software locks for the 2020 planting season, at a minimum, to ensure that there’s no delay in servicing needed farm equipment. Finally, consumer electronics manufacturers, including Apple, should post information on how consumers can quickly obtain simple repairs like battery and screen replacements while authorized repair is unavailable.Longer-term, the states and federal government need to pass long-stalled “Right to Repair” legislation to expand access for all Americans. Key provisions include requirements that manufacturers make repair documentation for their products freely available, and sell parts and diagnostics to independent repair operations at a fair market price.Self-reliance has long been a part of the American self-image. Giving back the right to repair stuff is a good way to ensure it’s maintained during and after Covid-19.This column does not necessarily reflect the opinion of Bloomberg LP and its owners.Adam Minter is a Bloomberg Opinion columnist. He is the author of “Junkyard Planet: Travels in the Billion-Dollar Trash Trade” and the forthcoming "Secondhand: Travels in the New Global Garage Sale."For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The Zacks Analyst Blog Highlights: Azul, Best Buy, Chipotle Mexican Grill, D.R. Horton and Metropolitan Bank
Best Buy (BBY) has been upgraded to a Zacks Rank 2 (Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
The Senate unanimously passed the$2 trillion coronavirus relief package by a vote of 96-0. We have thus highlighted such stocks from the beaten-down sectors that stand to benefit from this historic deal.
It's been a pretty great week for Best Buy Co., Inc. (NYSE:BBY) shareholders, with its shares surging 12% to US$60.56...
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
After temporarily closing stores, V.F. Corp. (VFC) withdraws fiscal 2020 guidance due to the adverse impact of COVID-19 on its businesses.
The retailer said it drew the full amount of its $1.25 billion revolving credit facility, which was undrawn as of Feb. 1. The company also said it suspended all share repurchases and is shifting to enhanced curbside service only for all of its stores on an interim basis starting from March 22.
Best Buy's stores have been packed amid the rush to buy work-from-home gear during the coronavirus pandemic.
(Bloomberg) -- It’s a bitter irony: As state and local governments struggle to blunt the new coronavirus outbreak, the most effective weapons hammer their fiscal health.Social distancing has already begun to crater their revenue, even as emergency expenses, pension costs and other long-term liabilities are poised to surge. The market has priced in the impact of the slump, leading to the worst muni-bond rout since 1984 and prompting desperate calls for federal support.The U.S. government has begun sending billions to states to offset the cost of combating the virus, but additional pressures are likely to build in coming weeks and months as revenue declines, unemployment spikes and business activity slows.“It’s unprecedented, unlike anything else we’ve seen in our time,” said Lucy Dadayan, a senior research associate with the Urban Institute. “Every single state I’m talking to so far is working to revise revenue forecasts, and they will be revised substantially downward.”Despite the longest running economic expansion in U.S. history, some states and cities were struggling even before the global pandemic.Few states face a crisis as deep as Illinois, which has more than $7 billion in unpaid bills, about $137 billion in unfunded pension liabilities and only $1.2 million in reserves. Just over a week into the pandemic, initial jobless claims in Illinois jumped more than 10-fold compared with the same period last year.Gaping DeficitsChicago, Illinois’s biggest city and the nation’s third largest, is also in a tough spot. It already faced deficits and its pension contributions were to jump this year to $1.7 billion from $1.3 billion after decades of shorting the four retirement funds drove unfunded liabilities to about $30 billion. “Illinois and Chicago were ill-positioned for a crisis before all this started,” said Laurence Msall, president of the Civic Federation, a Chicago-based independent, nonpartisan research organization. “The only way you can get out of this is a massive federal stimulus for state and local governments.”Governor J.B. Pritzker said Thursday he has spoken with House Speaker Nancy Pelosi about legislation to provide help. “We are trying to mitigate that damage, just like we are trying to mitigate the virus itself,” Pritzker said during his daily news conference.Illinois and Chicago aren’t the only ones at a precipice.Transit agencies were among the first to seek federal lifelines. Steep ridership declines in New York led the nation’s largest transit system, the Metropolitan Transit Authority, to request $4 billion in aid Wednesday. On Thursday, New Jersey Transit requested $1.25 billion after ridership fell 88% since March 9. That evening, it reduced its service to weekend levels until further notice.Bay Area Rapid Transit, in the San Francisco area, also saw ridership decline by 88% compared with the previous month. Its executives are lobbying local, state and federal officials for funding.Analysts warn it could take months to gauge the virus’ impact on other revenue streams. They said sales-tax take could increase soon as people prepare to hunker down at home, but then lag as isolation stretches out.Washington state, which has seen one of the worst U.S. outbreaks, already budgeted $200 million from its reserve to respond. That won’t be enough, said Andy Nicholas, a senior fellow at the Washington State Budget and Policy Center, a nonpartisan group. The reserve was about $1.7 billion at the end of June, and lawmakers likely must tap more of that rainy-day fund.“It’s raining,” Nicholas said.Seattle Mayor Jenny Durkan called on the federal government to backstop cities with $250 billion in flexible funding. “Most major cities across the country had already become the social safety net of America before this truly unprecedented crisis,” said Chelsea Kellogg, a spokeswoman for the mayor.Stock-market turmoil, meanwhile, threatens states like California because of its reliance on taxing its wealthiest residents. Capital-gains levies account for about 10% of its revenue this year. The state will likely have to make up for several billion dollars given that officials in January had assumed the S&P 500 would hover around 3,120, said Gabriel Petek, the state’s nonpartisan legislative analyst. The index closed Thursday at 2,409, down 25% for the year.Increased revenue before the outbreak has left some cities in a better position. Los Angeles’s reserve, for example, is twice what it was before the 2008 financial crisis. Already, $20 million has been tapped for the response.New York Governor Andrew Cuomo and New York City Mayor Bill de Blasio have each asked for aid. State officials estimate New York could lose anywhere from $4 billion to $7 billion in tax revenue out of the $87.9 billion projected for next year’s budget. The city will lose $3.2 billion in revenue over the next six months, Comptroller Scott Stringer estimated.During a Thursday morning briefing, Cuomo drove home the dire needs: “We have to run a government. We need the health-care system up and running. We need police. We need fire fighters. We need bus drivers. We need daycare workers. All these functions have to continue.”Commodity-dependent states are especially vulnerable to the coronavirus’s impact on energy markets, Moody’s analyst Emily Raimes said. North Dakota, Oklahoma, Alaska and New Mexico are among states that “historically have had the most volatile revenues,” she said.On Thursday, New Mexico’s Republican lawmakers sent a letter to Governor Michelle Lujan Grisham, a Democrat, requesting a special session of the Democrat-led legislature to address a potential budget crisis. Plummeting oil and gas revenue and the coronavirus response will have a “devastating impact,” the letter said.Build AmericaDuring the 2008 financial crisis, the federal government stepped in with infrastructure funding through the Build America Bond program, as well as increases in the Medicaid matching rate, which injected billions of dollars into state coffers. Analysts predict similar measures this time.Since early March, the federal government already has injected nearly $1 billion in direct public-health aid for state and local governments, provided $40 billion in disaster relief and provided billions more through an increase in the matching rate, according to Fitch Ratings.But as the virus fight stretches out, pressures will mount along with the needs.“A lot more is going to have to be done,” said Fitch analyst Eric Kim. “But how much more and when, that’s very much unsettled.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- The coronavirus pandemic is spurring purchases of computer monitors, keyboards and webcams as millions of workers are forced to turn dining tables, spare rooms and other domestic space into home offices.Many of the world’s largest companies have told employees to work from home, and several areas are imposing stricter limitations on movement. That’s causing people to rush out and buy items they’re used to having at the office.San Francisco Tells People Stay Home; Roche Tests: Virus UpdateMichael Thompson, an account executive at startup Human Interest, was in an Office Depot in Silicon Valley on Sunday morning trying to buy a monitor. His company is letting employees expense up to $100 for this home-office equipment. He asked a salesman about 27-inch models, but they were sold out.”I’ll just go to Best Buy,” Thompson said.”Best Buy is sold out and they’re sending people here,” the salesman replied. Thompson ending up getting a 24-inch monitor made by Acer Inc. for $99 -- one of six monitors available for sale in the store at the time.Demand from Thompson and other workers is a rare bright spot for the technology industry as it faces a slump in economic activity and supply-chain disruptions from the pandemic. About 14% of people planning to work from home are buying new tech equipment, according to an online survey with more than 3,000 respondents by CivicScience on Monday.Samsung Electronics Co., LG Electronics Inc., AU Optronics Corp. and BOE Technology Group supply the displays that go into monitors sold by companies such as HP Inc., Dell Technologies Inc. and Acer. Microsoft Corp. and Logitech International SA dominate the market for high-end keyboards and mice favored by tech workers.“Logitech is one of the best-positioned companies in the face of a global pandemic, as its products enhanced a person’s ability to be both entertained and productive at home,” Wedbush Securities analysts wrote in a recent note to investors. “As more people choose to or are encouraged to work from home, we expect demand to surge for Logitech’s Creativity & Productivity products, along with Video Collaboration.”Logitech shares edged higher in Swiss trading on Monday, while most European stocks slumped on concern about the pandemic. On Tuesday, Logitech jumped 3.4%. HP said on Tuesday that demand for its products “is holding” and its factories are “steadily coming online.” The company is monitoring customer needs as circumstances change, it said in a statement.The Office Depot on Geary Boulevard in San Francisco was mostly sold out of monitors on Saturday. “It’s just like toilet paper and hand sanitizer,” said a salesman.Some of the top product searches on Amazon.com Inc. last week were for hand sanitizer and other products to prevent the spread of the virus, but webcams and monitors are shooting up the rankings now, according to analysis by Marketplace Pulse.“Computer monitor” rose 410 spots and “webcam” shot up 1,297 places on the list of most widely used search terms, according to the market researcher. Docking stations from Dell and Microsoft, which connect laptops to monitors and other tech gear, have also risen the ranks of best-sellers in Amazon’s electronics categories.The personal computers at the center of all this new gadgetry are mostly being brought home from workers’ offices. That will likely limit any PC sales bump. Many people already have laptops at home, too.“Most large organizations provide knowledge workers with company laptops regardless of location,” said Mikako Kitagawa, an analyst at research firm Gartner.Before the virus outbreak caught hold in Europe and the U.S., IDC analyst Jitesh Ubrani was estimating that PC shipments would drop 8.4% in the first quarter.“I don’t think it’s enough to turn the PC market around,” he said.(Updates with HP comment in 10th paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Apple is closing stores around the world to prevent the spread of the coronavirus. But there are still alternatives you can use.
To the annoyance of some shareholders, Best Buy (NYSE:BBY) shares are down a considerable 33% in the last month. The...
Some investors rely on dividends for growing their wealth, and if you're one of those dividend sleuths, you might be...
Best Buy (BBY) seems to be a good value pick, as it has decent revenue metrics to back up its earnings, and is seeing solid earnings estimate revisions as well.