Best Buy Takes a Hit On Apple Buzz

The iPhone retailer's stock is down after Apple lowered sales guidance

Best Buy Co Inc (NYSE:BBY) is just one of many companies caught in Apple's (AAPL) crosshairs this morning, after the tech giant lowered its quarterly revenue guidance on slipping iPhone sales in China. As a major retailer of Apple products, Best Buy shares are now down 4.4% at $51.26, and UBS just cut its price target on BBY to $57 from $70.

Along with the broader stock market, the electronics retailer has taken a beating recently. The shares fell 33.2% last quarter -- the steepest quarterly loss since early 2014 -- and touched an annual low of $47.72 on Dec. 24.

Analysts have cooled on BBY, too. Now, just three give it a "strong buy" rating, while 14 others consider it a "hold" or worse. However, additional price-target cuts could be coming. The consensus 12-month price target of $72.05 represents a nearly 40% premium to current levels.

Options bulls are beginning to hit the exits on BBY, too. Currently, the security sports a 50-day put/call volume ratio of 1.36 on the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which is in the 69th percentile of its annual range. This indicates that option buyers have picked up BBy puts over calls at a faster-than-usual clip in the past 10 weeks.