Best Buy (BBY) and its shares could face a new risk related to recently imposed tariffs, which are expected to be passed along to US consumers, Oppenheimer said in a note Tuesday.
The firm noted that the impact of tariffs was not factored into the company's current guidance and management had said consumer prices are "highly likely" to increase as it expects its vendor partners to pass on some level of tariff costs.
The company's fiscal Q4 results were "better than planned," but its fiscal 2026 financial expectations were "somewhat dampened," Oppenheimer said, adding it is waiting for clearer indications of improving sales.
"Overall, while we are encouraged, somewhat, by signals of improving sales expansion at [Best Buy], we remain concerned with prospects for a weakening US consumer, particularly against a backdrop of recently imposed tariffs and still elevated rates," Oppenheimer analysts said in the note.
Oppenheimer has a perform rating on Best Buy stock.
Price: 75.86, Change: +0.66, Percent Change: +0.88
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