Best Buy Co Inc (BBY)
Consumer Discretionary · Computer & Electronics Retail · US stock · S&P 500 component
$99.87
▲ +0.04 (0.04%)
Fair valueFair
$117 +16.8% to fair value
$58fair band $99–$141$175
Day's range
$97.45 – $100.58
52-week range
$55.10 – $100.58
About Best Buy Co Inc
This company is a retailer of consumer electronics, appliances and related services in North America. It sells computers, phones, televisions, home appliances, gaming products and smart home devices through large stores and an online channel. The company earns money from product sales, and also from services such as installation, repair and membership programs. Sales depend on consumer demand and the timing of new product cycles.
The company reported twelve-month revenue of $42.2 billion, which declined at 3.4% a year across the last three years. It earned an operating margin of 4.1%, and it generated a return on invested capital of 60%. Net debt to EBITDA is -0.4 times, which means the company holds more cash than debt. The dividend yield is 3.8%. The site's X-Ray Score is 58 out of 100.
Price chart
52-wk range $55.10 – $100.58Volume 3,978,699Daily, split-adjusted
Vitals
Market cap$21.2B
52-week range$55.10 – $100.58
Volume (last day)3,978,699
P/E (TTM)16.6
EBIT / EV yield8.5%
Free-cash-flow yield8.3%
Dividend yield3.8%
Revenue (TTM)$42.2B
Net income (TTM)$1.3B
Operating margin4.1%
Return on capital59.6%
Debt incl. leases$1.2B
Cash & securities$2.3B
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$117middle half of models $104 – $117
Fair
+16.8% to fair value
Average of the 15 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is Medium, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $100
Undervalued < $99Fair $99 – $141Overvalued > $141
P/E multiple
$96
P/B multiple
$97
P/S multiple
$175
EV/EBITDA multiple
$118
EV/EBIT multiple
$105
EV/revenue multiple
$159
10-year DCF, EBITDA exit
$106
5-year DCF, EBITDA exit
$103
10-year DCF, revenue exit
$110
5-year DCF, revenue exit
$109
10-year DCF, growth exit
$104
5-year DCF, growth exit
$102
Dividend discount, stable
$108
Dividend discount, multi-stage
$117
Earnings power value
$140
Growth the price implies
6.5%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Average business, fairly priced
The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Consumer Discretionary peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Strong
78/100
Cheap against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield8.5%
Free-cash-flow yield8.3%
Fair value vs price1.2×
Growth
Weak
22/100
Growing slower than most of its sector.
See the numbers →
Revenue growth (3y)-3.4%
EPS growth (3y)-7.1%
Growth consistency40%
Profitability
Fair
64/100
Returns on capital are typical for its sector.
See the numbers →
Return on invested capital59.6%
Operating margin4.1%
Gross profitability59.4%
Financial health
Fair
65/100
Balance sheet is in typical shape for its sector.
See the numbers →
Piotroski F-Score7 / 9
Net debt / EBITDA-0.4×
Interest cover38.0×
Dividends
Fair
54/100
Dividend is typical for its sector.
See the numbers →
Dividend yield3.8%
Dividends vs free cash flow46%
Dividend growth0.5%
Quarterly results: last 6 quarters
-0.9%
May '25
+1.6%
Aug '25
+2.4%
Nov '25
-1.0%
Jan '26
+1.9%
May '26
+3.6%
Aug '26
Revenue against the same quarter a year earlier. Latest quarter revenue $9.8B, diluted EPS $1.48.
SWOT analysis: Best Buy Co Inc
Strengthsinside the company
- Return on invested capital is 59.6%, against a median of 24.2% for sector peers.
- Free cash flow equals 8.3% of the market value, which funds dividends, buybacks or debt paydown.
- Cash exceeds debt (net debt is negative), which gives room to invest or ride out a downturn.
- Operating profit covers interest 38x, so debt costs are a small drag.
Weaknessesinside the company
- Operating margin of 4.1% is thin against 15.0% for sector peers.
- Revenue has fallen 3.4% a year over three years while sector peers grew 6.6%.
- Earnings per share have declined 7.1% a year over three years.
Opportunitiesvaluation and setting
- Dividends use only 46% of free cash flow, which leaves room to raise them.
- Trades at 16.7x earnings, 21% below the 21.1x median of sector peers.
- Price momentum is strong on the weekly and monthly signals (trends can reverse).
Threatsvaluation and setting
- No specific threat is flagged by our checks; general market and interest-rate risk still applies.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare BBY with peers and sector
Medians of 46 Consumer Discretionary peers and of 46 Consumer Discretionary stocks in our universe.
Largest peers (X-Ray Score): AMZN 42, TSLA 28, HD 40, MCD 53, TJX 55, BKNG 70.
| Metric | BBY | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 58 | 50 | 50 |
| Valuation | 78 | 48 | 48 |
| Growth | 22 | 53 | 53 |
| Profitability | 64 | 52 | 52 |
| Financial health | 65 | 49 | 49 |
| Dividends | 54 | 51 | 51 |
Sector leaders: highest X-Ray Score in Consumer Discretionary
BBY ranks #10 of 47 in Consumer Discretionary by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for BBY
Each factor is rated by where BBY stands among the 47 Consumer Discretionary stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 10 Good · 6 Average · 7 Bad of 23
Growth: 0 · 0 · 3
Profitability: 1 · 1 · 3
Financial strength: 2 · 2 · 0
Valuation: 4 · 1 · 0
Cash flow: 2 · 1 · 1
Efficiency: 1 · 1 · 0
| Factor | BBY | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | −3.4% | Bad beats 6% | +6.5% | – | – |
| Revenue growth, last year | +0.4% | Bad beats 18% | +4.9% | −4.4% | ▲ Better |
| EPS growth, 3 years a year | −7.1% | Bad beats 29% | +4.0% | – | – |
| Profitability | |||||
| Gross margin | 22.7% | Bad beats 21% | 42.5% | 22.5% | ≈ In line |
| Operating margin | 4.1% | Bad beats 8% | 14.9% | 3.6% | ≈ In line |
| Net margin | 3.0% | Bad beats 12% | 11.4% | 2.9% | ≈ In line |
| Return on invested capital | 59.6% | Good beats 85% | 24.6% | – | – |
| Return on equity | 40.0% | Average beats 60% | 35.3% | 40.6% | ≈ In line |
| Financial strength | |||||
| Net debt / EBITDA | -0.4x | Good beats 82% | 1.8x | -0.3x | ≈ In line |
| Interest cover | 38.0x | Average beats 53% | 25.3x | 30.3x | ▲ Better |
| Current ratio | 1.12 | Average beats 52% | 1.10 | 1.00 | ▲ Better |
| Piotroski F-score | 7 / 9 | Good beats 76% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 16.7x | Good beats 74% | 21.1x | 13.3x | ▼ Worse |
| Price / book | 6.7x | Average beats 54% | 7.2x | 6.6x | ≈ In line |
| Price / sales | 0.5x | Good beats 90% | 2.1x | 0.4x | ≈ In line |
| EV / EBITDA | 8.0x | Good beats 88% | 15.0x | 6.5x | ▼ Worse |
| Free cash flow yield | 8.3% | Good beats 78% | 4.3% | 7.5% | ≈ In line |
| Cash flow | |||||
| Free cash flow margin | 4.2% | Bad beats 18% | 10.8% | 3.0% | ▲ Better |
| Cash from operations / net income | 1.95 | Good beats 72% | 1.37 | 1.33 | ▲ Better |
| Free cash flow growth, 3 years a year | +12.1% | Average beats 50% | +12.1% | – | – |
| Accruals (lower is better) | −7.5% | Good beats 69% | −5.3% | – | – |
| Efficiency | |||||
| Inventory turnover | 5.2x | Average beats 54% | 4.2x | 6.7x | ▼ Worse |
| Days sales outstanding | 8 days | Good beats 69% | 14 days | 9 days | ≈ In line |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 8 Good · ● 4 Average · ● 4 BadCash quality
Earnings backed by cashGood
Free-cash-flow yieldGood
Risk models
Altman Z''Average
Piotroski F-ScoreGood
Growth
EPS growth (3y)Bad
Free-cash-flow growth (3y)Average
Revenue growth (3y)Bad
Growth consistencyBad
Balance sheet
Current ratioAverage
Net debt / EBITDAGood
Interest coverAverage
Valuation
Fair value vs priceGood
EBIT / EV yieldGood
Profitability
Return on invested capitalGood
Operating marginBad
Gross profitabilityGood
Each check is graded against the company's sector, not a fixed number. Checklist score 57/100.
Financials
| FY22 | FY23 | FY24 | FY25 | FY26 | |
|---|---|---|---|---|---|
| Revenue | $51.8B | $46.3B | $43.5B | $41.5B | $41.7B |
| Operating income | $3.0B | $1.8B | $1.6B | $1.3B | $1.4B |
| Net income | $2.5B | $1.4B | $1.2B | $927M | $1.1B |
| Operating cash flow | $3.3B | $1.8B | $1.5B | $2.1B | $2.0B |
| Operating margin | 5.9% | 3.9% | 3.6% | 3.0% | 3.3% |
| Free cash flow | $2.5B | $894M | $675M | $1.4B | $1.3B |
| Diluted EPS | $9.84 | $6.29 | $5.68 | $4.28 | $5.04 |
Fiscal years, from SEC filings.
Technical summary
Daily
Strongly bullish
12 bullish · 1 neutral · 3 bearish
Weekly
Strongly bullish
11 bullish · 1 neutral · 0 bearish
Monthly
Strongly bullish
7 bullish · 1 neutral · 0 bearish
Moving averages (daily)
| SMA 10 | 92.97 | Bullish |
| EMA 10 | 94.12 | Bullish |
| SMA 20 | 90.23 | Bullish |
| EMA 20 | 91.92 | Bullish |
| SMA 50 | 88.84 | Bullish |
| EMA 50 | 88.73 | Bullish |
| SMA 100 | 84.18 | Bullish |
| EMA 100 | 83.89 | Bullish |
| SMA 200 | 73.15 | Bullish |
| EMA 200 | 78.13 | Bullish |
Oscillators (daily)
| RSI (14) | 69.47 | Neutral |
| MACD (12, 26) | 2.30 | Bullish |
| Momentum (12) | 18.06 | Bullish |
| Stochastic %K (14) | 95.81 | Bearish |
| Williams %R (14) | -4.19 | Bearish |
| CCI (20) | 186.0 | Bearish |
Pivot points (classic, last session)
S3 94.89 | S2 96.17 | S1 98.02 | Pivot 99.30 | R1 101.1 | R2 102.4 | R3 104.3 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
3.83 USD
Yield on today's price
3.83%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 0.9600 | |
| 0.9600 | |
| 0.9600 | |
| 0.9500 | |
| 0.9500 | |
| 0.9500 | |
| 0.9500 | |
| 0.9400 | |
| 0.9400 | |
| 0.9400 | |
| 0.9400 | |
| 0.9200 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold BBY
| ETF | Share of the fund |
|---|---|
| PEY Invesco High Yield Equity Dividend Ach... | 2.06% |
| CALF Pacer US Small Cap Cash Cows 100 | 1.71% |
| FDVV Fidelity High Dividend | 1.65% |
| SPYD SPDR Portfolio S&P 500 High Dividend | 1.36% |
| XRT SPDR S&P Retail | 1.35% |
| DVY iShares Select Dividend | 1.35% |
| DON WisdomTree U.S. MidCap Dividend | 1.27% |
| RPV Invesco S&P 500 Pure Value | 0.99% |
The eight funds with the largest weight in BBY among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
BBY stock splits
BBY has split its stock 6 times since 1993. The latest was a 3-for-2 split on 4 Aug 2005.
Full BBY stock split history →BBY SEC filings
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Director or officer change
8-KSEC EDGAR
Director or officer change
8-KSEC EDGAR
Shareholder vote results
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
DEF 14ASEC EDGAR
Proxy statement
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.