Best Buy downgraded to Sell from Buy at Goldman Sachs

Goldman Sachs analyst Kate McShane double downgraded Best Buy (BBY) to Sell from Buy with a price target of $59, down from $76. The firm sees risk the company’s sales post the Q1 report as higher memory costs start to work their way into the price of laptops and computers. Best Buy faces margin compression risks as consumers potentially trade down to lower-priced models and volume declines as manufacturers prioritize fewer consumer electronic shipments, the analyst tells investors in a research note. Goldman also believes the company continues to struggle in growing its appliance and consumer electronic categories.