Ferguson Enterprises Inc. (NYSE:FERG) is one of the best stocks to buy according to Seth Klarman. As of December 12, the average price target for FERG suggests an upside of 17%; however, the Street high indicates an upside of 38%. Seth Klarman owns a $259.5 million stake in Ferguson Enterprises Inc. (NYSE:FERG) as of the third quarter of 2025, which represents 5.42% of the billionaire’s total holdings. On December 2, Ryan Merkel, an analyst at William Blair, maintained a Buy recommendation on Ferguson En ...

Core Viewpoint - Best Buy Co., Inc. (NYSE:BBY) is highlighted as an interesting stock by Jim Cramer, who notes its potential despite challenges from higher interest rates and tariffs, which may be mitigated by a PC refresh cycle [1]. Company Overview - Best Buy sells technology products, electronics, appliances, and entertainment items, along with related services such as delivery, installation, and technical support [1]. Earnings Outlook - Upcoming earnings reports from Best Buy and other companies are anticipated, with Cramer expressing a belief that Best Buy will perform adequately despite external pressures [1]. Investment Considerations - Cramer previously included Best Buy as a dividend stock prospect, noting its yield of 5%, but later removed it from consideration due to its reliance on strong consumer growth and tariff relief [1]. - There is a suggestion that certain AI stocks may offer greater upside potential compared to Best Buy, indicating a competitive investment landscape [2].

Core Insights - Best Buy Co., Inc. reported a strong quarterly performance, beating earnings expectations by 9 cents with earnings of $1.31 per share and higher-than-expected revenue, leading to a stock price increase of over 5% [1] Group 1: Financial Performance - Best Buy's earnings beat expectations, with a reported earnings per share of $1.31, exceeding forecasts [1] - The company experienced strong same-store sales, contributing to its positive financial results [1] - Management raised their full-year forecast across the board, indicating confidence in future performance [1] Group 2: Market Context - The stock was mentioned in the context of a broader positive trend among retailers, including Abercrombie & Fitch and Kohl's, which also reported strong results [1] - Despite potential challenges from higher interest rates and tariffs, Best Buy is expected to benefit from a PC refresh cycle [2]

Core Insights - Diversification is emphasized as a crucial strategy for investors to mitigate risks associated with concentrated holdings in technology stocks, particularly in the context of the ongoing AI competition involving companies like NVIDIA and AMD [2][3]. Investment Strategy - A diversified portfolio should include a mix of stocks across different sectors, with only one stock from the technology sector, while the remaining stocks should represent growth in areas such as healthcare, aerospace, restaurants, and retail [2][3][4]. - Growth stocks are expected to perform well across various market conditions and may benefit from anticipated interest rate cuts by the Federal Reserve [3][4]. Economic Outlook - Recent economic data suggests that the Federal Reserve may be inclined to recommend a rate cut, which could positively impact growth sectors such as travel, leisure, life sciences, and aerospace [4]. Stock Recommendations - **Texas Roadhouse, Inc. (NASDAQ:TXRH)**: Cramer highlighted the potential for improved gross margins due to tariff cuts on Brazilian beef, which could benefit the restaurant chain as it has maintained customer-friendly pricing [9]. - **Best Buy Co., Inc. (NYSE:BBY)**: Cramer noted that while Best Buy faces challenges from higher interest rates and tariffs, it may benefit from a PC refresh cycle, making it an interesting stock to watch [10].

Core Insights - Best Buy Co., Inc. is highlighted as a stock to watch, with expectations of being impacted by higher interest rates and tariffs, but potentially benefiting from a PC refresh cycle [1] Company Overview - Best Buy sells a variety of technology products, electronics, appliances, and entertainment items, along with services such as delivery, installation, and technical support [2] - The company was previously considered a strong dividend stock, yielding 4.5%, but was removed from a list of interesting prospects due to its reliance on strong consumer growth and tariff relief [2] Market Context - The upcoming earnings report for Best Buy is anticipated to be affected by external economic factors, including tariffs and interest rates [1] - There is a comparison made with AI stocks, suggesting that while Best Buy has potential, certain AI stocks may offer greater upside potential and less downside risk [3]

Core Points - Ferguson Enterprises Inc. will release its financial results for the quarter ended October 31, 2025, on December 9, 2025 [1][5] - The results will be available on Ferguson's corporate website at 6:45 a.m. ET/11:45 a.m. GMT [1][5] - A conference call and webcast for analysts and investors will take place on the same day at 8:30 a.m. ET/1:30 p.m. GMT [2][5] Company Overview - Ferguson is the largest value-added distributor in the North American construction market, which is valued at $340 billion [3] - The company reported sales of $30.8 billion for FY'25 and employs approximately 35,000 associates across over 1,700 locations [3]

Core Insights - Best Buy Co., Inc. has significantly underperformed the broader market, with a 13% decline over the past year compared to a 14.1% increase in the S&P 500 Index [2] - The company's stock has also lagged behind the SPDR S&P Retail ETF, which gained about 1% over the same period [3] - Factors contributing to this underperformance include increased online competition and a normalization of gadget spending post-pandemic [4] Financial Performance - For Q2, Best Buy reported an adjusted EPS of $1.28, exceeding Wall Street expectations of $1.22, and revenue of $9.4 billion, surpassing forecasts of $9.2 billion [4] - The company anticipates full-year adjusted EPS between $6.15 and $6.30, with revenue expected to range from $41.1 billion to $41.9 billion [4] - Analysts predict a 1.9% decline in EPS for the current fiscal year, estimating it at $6.25 on a diluted basis [5] Analyst Ratings and Price Targets - Among 24 analysts covering Best Buy, the consensus rating is a "Moderate Buy," with eight "Strong Buy" ratings, 15 "Holds," and one "Moderate Sell" [5] - Truist Financial Corporation has maintained a "Hold" rating and raised the price target to $79, indicating a potential upside of 1.7% from current levels [6] - The mean price target of $80.79 suggests a 4% premium, while the highest target of $95 indicates a potential upside of 22.3% [6]

Core Insights - Best Buy Co., Inc. has a market capitalization of $17.5 billion and operates over 1,000 stores across the U.S., Canada, and Mexico, offering a variety of consumer electronics and services [1] - The company is expected to announce its fiscal Q3 2026 earnings soon, with analysts predicting an adjusted EPS of $1.30, reflecting a 3.2% increase from the previous year [1] - For fiscal 2026, an adjusted EPS of $6.24 is anticipated, representing a 2% decline from $6.37 in fiscal 2025, but expected to grow to $6.74 in fiscal 2027 [2] Stock Performance - Best Buy shares have decreased by 10.6% over the past 52 weeks, underperforming the S&P 500 Index, which gained 18.4%, and the Consumer Discretionary Select Sector SPDR Fund, which returned 20.1% [3] - On October 13, Best Buy shares surged by 8.8% due to easing U.S.–China trade tensions, which positively impacted investor sentiment and benefited retailers reliant on Chinese imports [4] Analyst Ratings - The consensus view on Best Buy stock is cautiously optimistic, with a "Moderate Buy" rating; among 24 analysts, 8 recommend "Strong Buy," 15 suggest "Hold," and 1 advises "Moderate Sell" [5] - The stock currently trades above its mean price target of $80.16, with the highest target of $95 indicating a potential premium of 14.6% from current market prices [5]

Core Viewpoint - The Home Depot, Inc. (NYSE:HD) is viewed positively by Jim Cramer as a recession-proof stock, with expectations of growth in stock value and the housing market following anticipated Fed rate cuts [1][3]. Group 1: Stock Performance and Analyst Opinions - The stock has experienced a -3.10% decline over the past month, influenced by controversy surrounding ICE raids on its parking lots [2]. - Analysts have mixed opinions; TD Cowen and J.P. Morgan maintain a Buy rating, while Oppenheimer has reiterated a Hold rating [2]. Group 2: Institutional Confidence and Market Position - The Home Depot is supported by strong institutional confidence, with 93 hedge funds reported to be invested in the company [4]. - The company is one of the largest home improvement retailers globally, offering tools, construction products, and services to both DIY customers and professional contractors [5].

Group 1 - Best Buy Co., Inc. is recognized for its strong dividend yield of 5%, but it requires robust consumer growth and tariff relief to thrive [1] - The company offers a diverse range of products including consumer electronics, appliances, and lifestyle products, along with services like delivery and technical support [2] - There is a belief that certain AI stocks may present greater upside potential compared to Best Buy, indicating a competitive investment landscape [3]