Best Buy Co. Inc (BBY) Fair Value & Analysis
Consumer Cyclical · US · Market cap $17.7B · ISIN US0865161014
What is Best Buy Co. Inc really worth?
A solid business, trading 19% below our fair value of $108.04.
Strengths
Risks
For context
Fair value as of: Aug 30, 2026
From 26 valuation models · updated 6 days ago
Share price +1.3% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- A fairly wide model range ($69.50 to $139.48) leaves room in how you read the outcome.
- The price sits in the lower half of our model range, the side with the larger margin of safety.
- The data supports the verdict: every model runs on fully documented inputs.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 30, 2026.
How to read this chart
60‑month range $52.33 – $110.39 · fair‑value band $69.50 – $139.48 · the $87.49 price screens below the $108.04 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Aug 30, 2026.
Analysis
Best Buy Co. Inc (BBY) currently trades at $87.49, while our model-based Fair Value estimate is $108.04, implying the stock looks roughly 19.0% undervalued today. The Quality Score stands at 72/100 (solid quality), in the Consumer Cyclical sector. Bull case: the Multiples group reads highest at a median of $110.66 per share, and 16 of the 26 models we run sit above the $87.49 price. Bear case: the Earnings-Based group reads lowest at $26.53, and 10 of the 26 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Best Buy Co. Inc generated revenue of $41.9B at a net margin of 2.7%. Revenue grew 1.9% year over year. It earns a return on equity of 39.1%. Net debt stands at $2.4B. Fundamentals as of Aug 30, 2026
Our scenario range runs from $69.50 (bear case) to $139.48 (bull case); at $87.49, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 59% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −26% fair-value upside, at 23%, BBY screens cheaper than that median.
Fair Value models
This estimate rests on fiscal year 2026 figures, and about 7 months have passed since. In that time the company retained roughly $0.9409 per share, which is 0.9 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 26 models by family
Widest divergence: Multiples ($110.66) versus Asset-Based ($9.42). Highest evidence: FCF DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 30, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 70 · Market factors (momentum, volatility) 66
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Best Buy Co., Inc. offers technology products and solutions in the United States, Canada, and internationally. The company provides computing and mobile phone products, such as desktops, notebooks, and peripherals; mobile phones comprising related mobile network carrier commissions; networking products; tablets covering e-readers; smartwatches; and consumer …
Full company description
Best Buy Co., Inc. offers technology products and solutions in the United States, Canada, and internationally. The company provides computing and mobile phone products, such as desktops, notebooks, and peripherals; mobile phones comprising related mobile network carrier commissions; networking products; tablets covering e-readers; smartwatches; and consumer electronics consisting of digital imaging, health and fitness products, portable audio comprising headphones and portable speakers, and smart home products, as well as home theaters that includes home theater accessories, soundbars, and televisions. It also offers appliances, such as dishwashers, laundry, ovens, refrigerators, blenders, coffee makers, vacuums, and personal care; entertainment products consisting of drones, peripherals, gaming, toys, and virtual reality, as well as hardware and software, and augmented reality glasses and other software products; and other products, such as baby, food and beverage, luggage, and outdoor living products. In addition, the company provides delivery, installation, marketplace commissions, memberships, repair, set-up, technical support, health-related, and warranty-related services. It offers its products through stores and websites under the Best Buy, Best Buy Ads, Best Buy Business, Best Buy Essentials, Best Buy Health, Best Buy Marketplace, Geek Squad, Imagine That, Insignia, Lively, Jitterbug, My Best Buy, My Best Buy Memberships, Pacific Kitchen, Home, TechLiquidators, and Yardbird brand names, as well as domain names comprising bestbuy.com, lively.com, techliquidators.com, yardbird.com, bestbuy.ca, and techliquidators.ca. The company was formerly known as Sound of Music, Inc. Best Buy Co., Inc. was incorporated in 1966 and is headquartered in Richfield, Minnesota.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Best Buy Co. Inc reported revenue of $41.7B in FY2026 versus $51.8B in FY2022, a compound −5.3%/yr. Reported net income was $1.1B in FY2026, compounding −18.8%/yr from FY2022.
of which total revenue +0.7 % · buybacks/dilution +5.3 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
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Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Best Buy’s (BBY) Turnaround Gains Steam As Leadership Changes Hands
- Best Buy (BBY) Q2 2027 Earnings Call Transcript
- Best Buy (BBY) Raised Comparable-Sales Guidance but Product Margins Fell. Can Ads and Marketplace Sustain Margin Recovery?
Peer Group
Specialty Retail · 219 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Specialty Retail median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Insider activity: 40/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Specialty Retail stocks, each showing price versus our Fair Value estimate (as of Aug 30, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Alimentation Couche-Tard Inc ATD | C$89.93 | C$104.32 | +16% |
| Casey's General Stores, Inc CASY | $755.47 | $398.90 | −47% |
| Williams-Sonoma, Inc WSM | $235.09 | $162.63 | −31% |
| Ulta Beauty, Inc ULTA | $537.10 | $475.40 | −11% |
| DICK'S Sporting Goods, Inc DKS | $202.66 | $181.10 | −11% |
| China Tourism Group 601888 | ¥54.97 | ¥40.40 | −27% |
| Tractor Supply Company TSCO | $34.72 | $35.52 | +2% |
| Five Below, Inc FIVE | $259.41 | $117.29 | −55% |
| Murphy USA Inc MUSA | $574.12 | $423.35 | −26% |
| Taiwan Mobile Co 3045 | 116.00 TWD | 80.98 TWD | −30% |
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