NYSE
BBY
Last Price
US $85.35
KEY FIGURES
MKT CAP
$18.0B
EPS
TTM
$5.43
EPS Growth (1Y)
17.76%
PEG
TTM
-
P/E
TTM
15.71x
P/S
TTM
0.43x
YIELD
4.48%
GROWTH (5Y CAGR)
Profit margin
Current Ratio
Capital Returns
31.63%
Return on equity
ROIC: 18.29%
Valuation History
20.1X
Price to Earnings
EV/EBITDA: 9.5X
Cash flow
Profit margin
Revenue
-2.48%
EBITDA
-6.93%
Cash flow
-21.48%
Cash Flow (DCF)
Fair Value
Market $85.35
-82.46%
Default assumptions
EBITDA Multiple
Fair Value
Market $85.35
-24.07%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Cash flow to debt coverage
Best Buy Co., Inc. cash flow to debt ratio of 47.47% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Free cash flow growth
Best Buy Co., Inc.'s free cash flow has decreased 9.63% from $1.39B last year to $1.26B, signaling decreasing performance
Debt-to-equity ratio
Best Buy Co., Inc.'s debt to equity ratio is 1.34, which means that the company's assets are unhealthy financed, signaling financial risk.
Debt-to-equity trend
Best Buy Co., Inc.'s debt has decreased relative to shareholder equity from 1.44 last year to 1.34 today, signaling strengthened financials
Net debt to EBITDA
Best Buy Co., Inc. has a net debt to EBITDA ratio of 1.05x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Interest coverage
Best Buy Co., Inc.'s interest coverage ratio of 38.76 indicates that earnings with good margin can cover interest payments on company debt
Profit margin growth
Best Buy Co., Inc.'s profit margin has increased (22.32%) in the last year from 2.23% to 2.73%, signaling increasing performance
Current ratio
Best Buy Co., Inc.'s short-term assets of $8.50B exceed its short-term liabilities of $7.68B
Return on assets
Best Buy Co., Inc.'s return on assets of 7.68% is higher than the 5.00% threshold, indicating efficient asset utilization
Return on equity
Best Buy Co., Inc.'s return on equity of 40.05%, is higher than 15.00%, indicating good performance
Earnings quality
Best Buy Co., Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Earnings stability
Best Buy Co., Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings
Positive free cash flow
Best Buy Co., Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Free cash flow yield
Best Buy Co., Inc. has a free cash flow yield of 7.24%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Earnings growth
Best Buy Co., Inc.'s yearly earnings has increased 15.32% since last year from $927.00M to $1.07B, signaling increasing performance
Revenue growth
Best Buy Co., Inc.'s yearly revenue has increased 0.39% since last year from $41.53B to $41.69B, signaling increasing performance
Return on invested capital
ROIC 16.89% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
3-year revenue CAGR
Best Buy Co., Inc.'s 3-year revenue CAGR of -3.43% is negative, indicating declining revenue over the past 3 years
Revenue consistency
Best Buy Co., Inc. had revenue growth in only 2 out of 5 years, indicating inconsistent revenue performance
Return on equity consistency
Best Buy Co., Inc. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity
Cash Flow Valuation (DCF)
Best Buy Co., Inc. is overvalued relative to its fair value price of 14.97 based on Discounted Cash Flow model
Earnings yield (TTM)
Best Buy Co., Inc. has an earnings yield of 6.59%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
EBITDA Valuation
Best Buy Co., Inc. is overvalued relative to its fair value price of 64.81 based on EBITDA multiple model
EV/EBITDA (FY)
Best Buy Co., Inc. has an EV/EBITDA ratio of 8.66x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
PEG ratio (TTM/FY)
Best Buy Co., Inc.'s earnings growth over the measurement period is negative; the PEG ratio is not meaningful and the check fails.
Price-to-book ratio (FY)
Best Buy Co., Inc. has a price-to-book ratio of 5.63x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Price-to-sales ratio (TTM)
Best Buy Co., Inc. has a price-to-sales ratio of 0.41x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue