Jim Cramer’s Charitable Trust recently purchased 200 shares of Best Buy at around $78.55, increasing the trust’s total BBY holdings to 600 shares and raising their portfolio weighting to 1.46%. Although the stock market began the day strong on Thursday, it started to fade in the afternoon as oil prices surged, causing the S & P 500 to drop. Taking advantage of this weakness, the trust added to their position in Best Buy, which had fallen to $78, a level they had previously identified as a good buying opportunity.
During a recent Monthly Meeting, the trust discussed their bullish outlook for Best Buy in 2024. They believe that the company is poised to move past its post-Covid recovery phase, as many consumer electronics purchased during the pandemic will soon need to be replaced. With innovation in consumer products picking up pace after a slowdown during Covid, the trust sees a coming refresh cycle in PCs. Additionally, the integration of artificial intelligence into computers is expected to accelerate this cycle. The trust is also attracted to Best Buy’s 4.8% annual dividend yield, providing income while they wait for same-store sales to improve.
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Overall, the trust remains optimistic about Best Buy’s prospects, citing the potential for a strong refresh cycle in consumer electronics as a key driver for growth. They believe that the normalization of innovation in new products, along with the integration of artificial intelligence, will lead to increased upgrades and replacements of electronics. The trust sees Best Buy’s dividend yield as an attractive feature, providing income while they wait for the company’s sales to improve. Members of the CNBC Investing Club with Jim Cramer can expect to receive timely trade alerts and insights from Jim on investment opportunities.
In conclusion, Jim Cramer’s Charitable Trust has recently added to its position in Best Buy, citing the company’s potential for growth in 2024 and beyond. They believe that the upcoming refresh cycle in consumer electronics, driven by innovation and artificial intelligence, will benefit Best Buy and its shareholders. Members of the CNBC Investing Club with Jim Cramer have access to trade alerts and insights from Jim, allowing them to follow along with the trust’s investment decisions. It is important to review the terms and conditions associated with the Investing Club and understand that no specific outcome or profit is guaranteed.
