11 Best Consumer Electronics Stocks to Invest in Now

2. Best Buy Co. Inc. (NYSE:BBY)

Number of Hedge Fund Holders: 37

Best Buy Co. Inc. (NYSE:BBY) is an electronics retailer in the US and Canada that offers a vast selection of technology products and services to meet home entertainment and tech needs. From laptops and smartphones to TVs and smart home devices, it provides a one-stop shop for everything that is needed to stay connected, informed, and entertained. It also offers a variety of appliances, entertainment products, and services like installation, repair, and technical support.

The company’s overall Q3 2025 sales declined. Comparable sales for the domestic segment, which includes consumer electronics, decreased by 2.8% year-over-year. However, there were some bright spots, such as the computing and tablets category. These experienced a 5.2% increase in comparable sales, with laptops leading the way at 7% growth.

The sales decline was the result of macroeconomic uncertainty, customer anticipation for significant sales, and distractions during the election period. Despite these challenges, Best Buy Co. Inc. (NYSE:BBY) remains optimistic and is focusing on offering compelling deals. These include initiatives like the “Best Buy Gift Finder,” and improving store environments with refreshed layouts and dedicated staff. The company is prioritizing operational efficiency by using AI and technology to optimize logistics, improve customer support, and streamline operations.

On January 22, Morgan Stanley analyst Simeon Gutman lowered the firm’s price target on the company to $100 from $105 while maintaining an Equal Weight rating. Gutman favors hardline and broadline retailers that use scale for next-generation retail technology. He prefers those with revenue upside, market share leadership within their sub-segments, or those capitalizing on cyclical category inflections in 2025.

Mairs & Power Growth Fund initiated a position in Best Buy Co. Inc. (NYSE:BBY). The firm recognized its market share gains despite the challenging retail environment and appreciated its 5% dividend yield. It stated the following regarding the company in its Q4 2023 investor letter:

“We added two smaller positions to the portfolio in the fourth quarter as well—Piper Sandler (PIPR) and Best Buy Co., Inc. (NYSE:BBY)–both of which are Minnesota-based. We also initiated a position in Best Buy, a leading electronics retailer with more than 1,000 stores nationwide. We’ve been impressed with management’s ability to navigate a difficult retail landscape, gaining share amongst its offline competitors. The consumer electronics market is suffering from a spending hangover after the Pandemic, but we are starting to see green shoots of a recovery; in the meantime, Best Buy offers a 5% dividend.”