** Shares of electronics retailer Best Buy <BBY.N> up 2.7% to $77.26

** Jefferies raises PT to $95 from $88; retains "buy" rating on stock

** Says the growing influence of Best Buy Ads as a high-margin profit stream is reshaping investor perception and will drive long-term earnings growth

** Brokerage expects Best Buy Ads to emerge as a key EBIT margin contributor in 2026, especially as the company moves past its heavy investment phase in talent and infrastructure

** Best Buy's retail media unit expected to emerge as a standout operation, strengthened by new leadership and strategic hires from Walmart Connect and Target's Roundel, says Jefferies analyst Jonathan Matuszewski

** Eight of 28 brokerages rate the stock "buy" or higher, 19 "hold" and one "sell"; the median PT is $75.50

** Up to last close, stock up nearly 10% YTD

(Reporting by Sanskriti Shekhar in Bengaluru)

((Sanskriti.Shekhar@thomsonreuters.com))