Best Buy Is The Best Way To Play The Metaverse

Feb. 12, 2022 12:06 AM ETBest Buy Co., Inc. (BBY) StockBBY12 Comments
The Black Sheep
536 Followers

Summary

  • Best Buy will benefit from increased metaverse-related product interest as consumers shop in stores to try on VR headsets and glasses.
  • Totaltech subscription plan will increase customer stickiness and drive sales growth in the coming years.
  • The company created its own online media company, Best Buy Ads, and is using advanced date techniques to target customers efficiently.
  • My DCF model shows ~14% upside potential for the stock, making it a buy at current levels.

Best Buy 2nd Quarter Sales Rise Almost 20 Percent

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Thesis

I believe Best Buy (NYSE:BBY) shares are being undervalued by the market due to the potential growth opportunities the company has in accordance with the metaverse. As consumer interest increases in metaverse-related technology, Best Buy should

This article was written by

536 Followers
Avid investor. Extensive experience in valuation and financial modeling. Previously conducted single stock research for a fund manager with >$170M of single stock holdings, often employing contrarian strategies to increase returns.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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