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BEST BUY CO INC (BBY) Stock Fundamental Analysis

USA - NYSE:BBY - US0865161014 - Common Stock

84 USD
+0.14 (+0.17%)
Last: 10/29/2025, 4:41:13 PM
84 USD
0 (0%)
After Hours: 10/29/2025, 4:41:13 PM
Fundamental Rating

5

Taking everything into account, BBY scores 5 out of 10 in our fundamental rating. BBY was compared to 121 industry peers in the Specialty Retail industry. BBY has an average financial health and profitability rating. BBY is valued correctly, but it does not seem to be growing. BBY also has an excellent dividend rating. This makes BBY very considerable for dividend investing!


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

BBY had positive earnings in the past year.
In the past year BBY had a positive cash flow from operations.
In the past 5 years BBY has always been profitable.
In the past 5 years BBY always reported a positive cash flow from operatings.
BBY Yearly Net Income VS EBIT VS OCF VS FCFBBY Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

1.2 Ratios

BBY's Return On Assets of 5.10% is fine compared to the rest of the industry. BBY outperforms 69.42% of its industry peers.
BBY has a better Return On Equity (28.65%) than 85.12% of its industry peers.
BBY has a better Return On Invested Capital (19.01%) than 87.60% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BBY is significantly above the industry average of 11.81%.
Industry RankSector Rank
ROA 5.1%
ROE 28.65%
ROIC 19.01%
ROA(3y)7.85%
ROA(5y)9.4%
ROE(3y)41.48%
ROE(5y)48.98%
ROIC(3y)19.35%
ROIC(5y)22.54%
BBY Yearly ROA, ROE, ROICBBY Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

1.3 Margins

Looking at the Profit Margin, with a value of 1.87%, BBY is in line with its industry, outperforming 57.85% of the companies in the same industry.
BBY's Profit Margin has declined in the last couple of years.
BBY's Operating Margin of 4.14% is fine compared to the rest of the industry. BBY outperforms 60.33% of its industry peers.
BBY's Operating Margin has declined in the last couple of years.
BBY has a Gross Margin of 22.54%. This is in the lower half of the industry: BBY underperforms 76.86% of its industry peers.
BBY's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 4.14%
PM (TTM) 1.87%
GM 22.54%
OM growth 3Y-10.46%
OM growth 5Y-2.33%
PM growth 3Y-22.2%
PM growth 5Y-8.77%
GM growth 3Y0.15%
GM growth 5Y-0.37%
BBY Yearly Profit, Operating, Gross MarginsBBY Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

5

2. Health

2.1 Basic Checks

BBY has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
BBY has less shares outstanding than it did 1 year ago.
BBY has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, BBY has a worse debt to assets ratio.
BBY Yearly Shares OutstandingBBY Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
BBY Yearly Total Debt VS Total AssetsBBY Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

BBY has a debt to FCF ratio of 0.87. This is a very positive value and a sign of high solvency as it would only need 0.87 years to pay back of all of its debts.
BBY has a Debt to FCF ratio of 0.87. This is amongst the best in the industry. BBY outperforms 82.64% of its industry peers.
BBY has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.43, BBY perfoms like the industry average, outperforming 57.02% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF 0.87
Altman-Z N/A
ROIC/WACC2.08
WACC9.14%
BBY Yearly LT Debt VS Equity VS FCFBBY Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.3 Liquidity

A Current Ratio of 1.04 indicates that BBY should not have too much problems paying its short term obligations.
BBY has a worse Current ratio (1.04) than 72.73% of its industry peers.
A Quick Ratio of 0.36 indicates that BBY may have some problems paying its short term obligations.
BBY has a Quick ratio of 0.36. This is in the lower half of the industry: BBY underperforms 66.94% of its industry peers.
Industry RankSector Rank
Current Ratio 1.04
Quick Ratio 0.36
BBY Yearly Current Assets VS Current LiabilitesBBY Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

3

3. Growth

3.1 Past

BBY shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.27%.
BBY shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.80% yearly.
The Revenue has decreased by -2.21% in the past year.
The Revenue has been decreasing by -0.99% on average over the past years.
EPS 1Y (TTM)-4.27%
EPS 3Y-13.97%
EPS 5Y0.8%
EPS Q2Q%-4.48%
Revenue 1Y (TTM)-2.21%
Revenue growth 3Y-7.08%
Revenue growth 5Y-0.99%
Sales Q2Q%1.61%

3.2 Future

Based on estimates for the next years, BBY will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.82% on average per year.
The Revenue is expected to grow by 2.16% on average over the next years.
EPS Next Y-1.17%
EPS Next 2Y2.85%
EPS Next 3Y5.27%
EPS Next 5Y9.82%
Revenue Next Year1.21%
Revenue Next 2Y1.27%
Revenue Next 3Y1.61%
Revenue Next 5Y2.16%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
BBY Yearly Revenue VS EstimatesBBY Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 10B 20B 30B 40B 50B
BBY Yearly EPS VS EstimatesBBY Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2 4 6 8 10

6

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 13.40 indicates a correct valuation of BBY.
Based on the Price/Earnings ratio, BBY is valued a bit cheaper than the industry average as 79.34% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of BBY to the average of the S&P500 Index (27.00), we can say BBY is valued rather cheaply.
A Price/Forward Earnings ratio of 12.45 indicates a correct valuation of BBY.
76.86% of the companies in the same industry are more expensive than BBY, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of BBY to the average of the S&P500 Index (22.87), we can say BBY is valued slightly cheaper.
Industry RankSector Rank
PE 13.4
Fwd PE 12.45
BBY Price Earnings VS Forward Price EarningsBBY Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BBY indicates a somewhat cheap valuation: BBY is cheaper than 73.55% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, BBY is valued cheaply inside the industry as 80.99% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 13.05
EV/EBITDA 6.73
BBY Per share dataBBY EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 50 100 150

4.3 Compensation for Growth

BBY has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)16.69
EPS Next 2Y2.85%
EPS Next 3Y5.27%

7

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 4.61%, BBY is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.22, BBY pays a better dividend. On top of this BBY pays more dividend than 92.56% of the companies listed in the same industry.
BBY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
Industry RankSector Rank
Dividend Yield 4.61%

5.2 History

The dividend of BBY is nicely growing with an annual growth rate of 13.38%!
BBY has been paying a dividend for at least 10 years, so it has a reliable track record.
BBY has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)13.38%
Div Incr Years14
Div Non Decr Years14
BBY Yearly Dividends per shareBBY Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 2 3

5.3 Sustainability

103.47% of the earnings are spent on dividend by BBY. This is not a sustainable payout ratio.
The dividend of BBY is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP103.47%
EPS Next 2Y2.85%
EPS Next 3Y5.27%
BBY Yearly Income VS Free CF VS DividendBBY Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B
BBY Dividend Payout.BBY Dividend Payout, showing the Payout Ratio.BBY Dividend Payout.PayoutRetained Earnings

BEST BUY CO INC

NYSE:BBY (10/29/2025, 4:41:13 PM)

After market: 84 0 (0%)

84

+0.14 (+0.17%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)08-28 2025-08-28/bmo
Earnings (Next)11-24 2025-11-24/bmo
Inst Owners88.62%
Inst Owner Change0.84%
Ins Owners0.32%
Ins Owner Change1.15%
Market Cap17.65B
Revenue(TTM)41.60B
Net Income(TTM)778.00M
Analysts68.13
Price Target80.09 (-4.65%)
Short Float %8.71%
Short Ratio4.79
Dividend
Industry RankSector Rank
Dividend Yield 4.61%
Yearly Dividend3.78
Dividend Growth(5Y)13.38%
DP103.47%
Div Incr Years14
Div Non Decr Years14
Ex-Date09-18 2025-09-18 (0.95)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.5%
Min EPS beat(2)4.41%
Max EPS beat(2)4.59%
EPS beat(4)3
Avg EPS beat(4)2.96%
Min EPS beat(4)-3.62%
Max EPS beat(4)6.45%
EPS beat(8)7
Avg EPS beat(8)6.44%
EPS beat(12)11
Avg EPS beat(12)10.23%
EPS beat(16)13
Avg EPS beat(16)9.17%
Revenue beat(2)1
Avg Revenue beat(2)-0.16%
Min Revenue beat(2)-1.51%
Max Revenue beat(2)1.18%
Revenue beat(4)2
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-2.93%
Max Revenue beat(4)1.18%
Revenue beat(8)2
Avg Revenue beat(8)-1%
Revenue beat(12)3
Avg Revenue beat(12)-0.75%
Revenue beat(16)5
Avg Revenue beat(16)-0.53%
PT rev (1m)-0.43%
PT rev (3m)0.98%
EPS NQ rev (1m)0.79%
EPS NQ rev (3m)1.09%
EPS NY rev (1m)0.02%
EPS NY rev (3m)1.26%
Revenue NQ rev (1m)0.2%
Revenue NQ rev (3m)1.29%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)0.94%
Valuation
Industry RankSector Rank
PE 13.4
Fwd PE 12.45
P/S 0.42
P/FCF 13.05
P/OCF 8.55
P/B 6.5
P/tB 9.76
EV/EBITDA 6.73
EPS(TTM)6.27
EY7.46%
EPS(NY)6.75
Fwd EY8.04%
FCF(TTM)6.44
FCFY7.66%
OCF(TTM)9.82
OCFY11.7%
SpS197.99
BVpS12.93
TBVpS8.61
PEG (NY)N/A
PEG (5Y)16.69
Graham Number42.7
Profitability
Industry RankSector Rank
ROA 5.1%
ROE 28.65%
ROCE 25.73%
ROIC 19.01%
ROICexc 24.29%
ROICexgc 29.38%
OM 4.14%
PM (TTM) 1.87%
GM 22.54%
FCFM 3.25%
ROA(3y)7.85%
ROA(5y)9.4%
ROE(3y)41.48%
ROE(5y)48.98%
ROIC(3y)19.35%
ROIC(5y)22.54%
ROICexc(3y)25.47%
ROICexc(5y)38.8%
ROICexgc(3y)34.77%
ROICexgc(5y)61.16%
ROCE(3y)26.19%
ROCE(5y)30.58%
ROICexgc growth 3Y-32.43%
ROICexgc growth 5Y-4.41%
ROICexc growth 3Y-24.39%
ROICexc growth 5Y-2.87%
OM growth 3Y-10.46%
OM growth 5Y-2.33%
PM growth 3Y-22.2%
PM growth 5Y-8.77%
GM growth 3Y0.15%
GM growth 5Y-0.37%
F-Score7
Asset Turnover2.73
Health
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF 0.87
Debt/EBITDA 0.45
Cap/Depr 83.67%
Cap/Sales 1.71%
Interest Coverage 250
Cash Conversion 80.16%
Profit Quality 173.78%
Current Ratio 1.04
Quick Ratio 0.36
Altman-Z N/A
F-Score7
WACC9.14%
ROIC/WACC2.08
Cap/Depr(3y)89.65%
Cap/Depr(5y)87.75%
Cap/Sales(3y)1.85%
Cap/Sales(5y)1.69%
Profit Quality(3y)89.19%
Profit Quality(5y)120.88%
High Growth Momentum
Growth
EPS 1Y (TTM)-4.27%
EPS 3Y-13.97%
EPS 5Y0.8%
EPS Q2Q%-4.48%
EPS Next Y-1.17%
EPS Next 2Y2.85%
EPS Next 3Y5.27%
EPS Next 5Y9.82%
Revenue 1Y (TTM)-2.21%
Revenue growth 3Y-7.08%
Revenue growth 5Y-0.99%
Sales Q2Q%1.61%
Revenue Next Year1.21%
Revenue Next 2Y1.27%
Revenue Next 3Y1.61%
Revenue Next 5Y2.16%
EBIT growth 1Y-3.53%
EBIT growth 3Y-16.8%
EBIT growth 5Y-3.29%
EBIT Next Year52.35%
EBIT Next 3Y18.09%
EBIT Next 5Y11.74%
FCF growth 1Y-26.12%
FCF growth 3Y-17.9%
FCF growth 5Y-5.24%
OCF growth 1Y-23.95%
OCF growth 3Y-13.59%
OCF growth 5Y-3.94%

BEST BUY CO INC / BBY FAQ

What is the ChartMill fundamental rating of BEST BUY CO INC (BBY) stock?

ChartMill assigns a fundamental rating of 5 / 10 to BBY.


Can you provide the valuation status for BEST BUY CO INC?

ChartMill assigns a valuation rating of 6 / 10 to BEST BUY CO INC (BBY). This can be considered as Fairly Valued.


How profitable is BEST BUY CO INC (BBY) stock?

BEST BUY CO INC (BBY) has a profitability rating of 6 / 10.


Can you provide the PE and PB ratios for BBY stock?

The Price/Earnings (PE) ratio for BEST BUY CO INC (BBY) is 13.4 and the Price/Book (PB) ratio is 6.5.


How sustainable is the dividend of BEST BUY CO INC (BBY) stock?

The dividend rating of BEST BUY CO INC (BBY) is 7 / 10 and the dividend payout ratio is 103.47%.