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BBY
ACCE-researched

Best Buy Co. Inc. Common Stock (BBY) fair value

Consumer Cyclical · Specialty Retail · NYSE · United States
$99.87+0.04%
Market cap $20.9BNext earnings 2026-11-24Updated Oct 18, 2026
Add earnings to calendarGoogle
Our verdict
Trades 30% above our fair value
Price
$99.87
Model fair valueConfidence: good
$77.05
Model range
$40.03 to $123
Fair value $77.05
Price $99.87
5 models fit Best Buy Co. Inc. Common Stock and they disagree: 1 of 5 land within 15% of the average.
Two or more of our models back this value.
Premium(i)Silver72
Valued as a mature, profitable company: Discounted cash flow, P/E comparison, EV/EBITDA comparison, Graham number, and Dividend discount.
ACCE opinionBest Buy Co. Inc. Common Stock (BBY)
Fair value (5 models)
$77.05
ACCE price target
$92.00
Rating
Overvalued
Horizon
12 months
Fair value published on 18 Oct 2026, 16:04 CEST; previously $75.66 since 14 Oct 2026, 00:00 CEST.
ACCE price target published on 18 Oct 2026, 01:52 CEST; previously $92.00 since 2 Oct 2026, 00:00 CEST.
Rating published on 18 Oct 2026, 16:04 CEST.
Price used: $99.87 at the close on 23 Oct 2026, 22:00 CEST.
Models: Discounted cash flow, P/E comparison, EV/EBITDA comparison, Graham number, and Dividend discount.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Full methodology
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
29.6% above
-22.9% to fair value
ACCE score
73
out of 100
Analysts
16% buy
25 covering
P/E
15.7x
forward 13.6x
1-year return
+21.2%
Dividend yield
4.06%

Best Buy Co. Inc. Common Stock in four questions

Plain answers, details below
Free accounts get 5 full stock pages a month, including the four answers.
OverviewAsk ACCEValuationQualityAnalystsSmart MoneyCompareNews and Record

Overview

ACCE thesis

Best Buy sells consumer electronics, appliances and home-office hardware through about 1,000 US stores, alongside its Geek Squad services and a growing online business. Its scale in buying and its installation and repair network are hard for smaller rivals to copy, and the 43.1% return on equity shows how efficiently the balance sheet has been run. Revenue growth of 3.6% is modest, but the business earns a 22.6% gross margin and a 3.9% operating margin, so the question for a holder is whether cost discipline keeps lifting profit as sales recover from the post-pandemic hardware slump. At 15.4 times trailing earnings and 13.6 times forward, the stock is priced below a typical retail multiple despite a 72 score, which makes it worth a closer look at the margin trajectory and the next two quarters of comparable-sales guidance.

AI-assisted·How I use AIWritten Oct 18, 2026
⚠ Investor warnings · 3 flagsAI-assisted·How I use AI
  • high
    Insider selling concentration
    Last 10 disclosed transactions show $123.75M in sales, zero buys. Insider ownership at 6.5% suggests confidence, but recent selling pattern warrants monitoring.
  • moderate
    Long-term revenue decline
    5-year revenue CAGR of -3.4% masks structural headwinds despite recent +3.6% YoY and +9.4% QoQ. Sustainability of turnaround unclear.
  • moderate
    Quality score lag
    ACCE Quality component at 58/100 trails other pillars (V:87, M:90). Earnings jump of +70.1% YoY may reflect one-time items or margin recovery rather than durable operational strength.

AI research notes

AI-assisted·How I use AIWritten Oct 11, 2026 · figures from 2026-07-31 · prices to Oct 23, 2026
Why it could do well
  • Best Buy trades at 12.1x forward earnings, well below the 17.4x sector median, offering valuation cushion.
  • The company returned 43.1% on equity and generated 7.7% free cash flow yield, showing capital efficiency.
  • Best Buy beat earnings expectations by 6.5% and repurchased 2.1% of shares, signaling management confidence.
Why it could disappoint
  • Revenue has shrunk 3.4% annually over five years, and the recent 3.6% growth may not be sustainable.
  • Debt to equity of 1.30 is elevated, limiting financial flexibility if consumer electronics demand weakens.
  • Only 16% of analysts rate the stock Buy or Strong Buy, and consensus fair value is 5.3% below current price.
Each chip shows the exact figure and where it comes from. A claim without a source is not published.

Next results

Nov 24, 2026
We update the fair value about 2 days after the results, once the new figures are filed.Add to calendarGoogle

Walk me through this stock

Plain-English pros, cons, and what to watch. Pro feature.

PRO

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Valuation

INVESTOR
Where BBY's valuation models land
Price
$99.87
Model fair value
$77.05
Model range
$40.03 to $123
Fair value $77.05
Price $99.87
The price sits inside the model range.
Model
Fair value
Upside
Discounted cash flow
Dividend discount
EV/EBITDA comparison
Graham number
P/E comparison
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See what each model says, the assumptions behind it, the bad, normal and good cases, and why the fair value changed.

Quality

INVESTOR
Quality and conviction INVESTOR FEATURE

The full quality picture: a reason under every score, how the scores moved, and the conviction breakdown.

  • +A plain reason under every score
  • +Conviction breakdown and growth / value / quality / momentum scores
  • +Score history: how each score moved over time

Analysts

Wall Street consensus

Bearish16% buy · 25 covering analysts
● Strong buy 4● Buy 0● Hold 19● Sell 1● Strong sell 1
Analyst intelligence INVESTOR FEATURE

The full analyst picture: the price-target distribution against the current price, forward consensus estimates, and how ACCE's own models compare.

  • +Price-target low / average / high vs the current price, with implied upside
  • +Forward revenue and EPS consensus by fiscal year
  • +ACCE fair-value models lined up against the Street

Smart Money

PRO

In one line

Trades are only made public after a delay. We show the delay so you know how old the news is.

Company insiders
No trades filed
Last 90 days
Congress
No trades filed
Last 180 days
Average delay
No trades filed
From trade to public filing
Do politicians beat the market? Our backtest →
Smart money tracking PRO FEATURE

Follow the informed money: 13F position changes, insider and Congress trades, and 13D activist filings.

  • +Quarter-over-quarter institutional position changes
  • +Every insider and Congress trade, with how late it was disclosed
  • +Active 13D activist filings and top holders

Compare

Where it sits vs peers

News and Record

Press releases mentioning this company

Recent performance

1 week
+7.8%
1 month
+10.0%
3 months
+16.9%
6 months
+65.2%
YTD
+49.2%
1 year
+21.2%

SEC filings

Recommendation history, last 12 months

DateTypeNewPreviousPrice
18 Oct 2026, 16:04 CESTRatingOvervaluedfirst publication$92.63
18 Oct 2026, 16:04 CESTFair value$77.05$75.66$92.63
18 Oct 2026, 01:52 CESTACCE price target$92.00$92.00$92.63
14 Oct 2026, 00:00 CESTFair value$75.66$82.01$86.99
4 Oct 2026, 00:00 CESTFair value$82.01$83.27$87.97
2 Oct 2026, 00:00 CESTACCE price target$92.00first publication$87.70
27 Sept 2026, 00:00 CESTFair value$83.27$82.05$90.51
25 Sept 2026, 00:00 CESTFair value$82.05$84.27$90.80
23 Sept 2026, 00:00 CESTFair value$84.27$83.13$93.22
20 Sept 2026, 00:00 CESTFair value$83.13$84.51$92.85

This analysis is not personalised investment advice and does not take your situation, objectives or risk tolerance into account. ACCE Investments is not an authorised investment firm.

Investing in shares carries a risk of losing capital. The value of an investment can go down as well as up.

Valuation horizon: 12 months from the publication date.

Conflicts of interest. ACCE Investments is operated by Adrien Chantreuil, who may hold personal positions in the securities analysed. Positions are declared on each security. ACCE receives no payment from the companies analysed or from any intermediary for this analysis.

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Snapshot

Growth64Value80Quality58Momentum90Total73
Valuation
Trailing P/E
15.7x
Forward P/E
13.6x
PEG
1.70
P/B
5.98x
EV / Revenue
0.5x
Book value/sh
$15.13
Enterprise value
$20.9B
Profitability
ROE
43.1%
FCF yield
6.01%
ROIC
12.4%
Health and risk
Debt / equity
1.39
Dividend yield
4.06%
Beta
1.28

Price

+19.9% · 1Y

Ask anything about BBY

Answered from Best Buy Co. Inc. Common Stock fundamentals + recent valuations. Every number shows its source and date.

This stock Peer Peer median weaker → stronger
P/Ebetter than 100% of peers
low 15.7x15.7xhigh 34.4x
ROEbetter than 67% of peers
low 16%43%high 55%
Div yieldbetter than 100% of peers
low 0.0%4.1%high 4.1%

Peers

Prices Oct 23, 2026
CompanyPriceFair valuevs fair valueP/EROEQualityScore
BBY Best Buy Co. Inc. Common Stock$99.87$7730% above15.7x43.1%5873
TSCO Tractor Supply Company Common Stock$34.73$2443% above18.0x39.5%6445
CASY Casey's General Stores Inc. Common Stock$713.65$288148% above34.4x20.0%5862
ULTA Ulta Beauty Inc. Common Stock$635.01$38963% above22.8x46.1%7871
WSM Williams-Sonoma Inc. Common Stock (DE)$260.80$14481% above25.9x55.0%8574
DKS Dick's Sporting Goods Inc Common Stock$148.78$11925% above15.7x18.5%5754
GME GameStop Corporation Common Stock$25.39$1934% above16.3x15.8%6959

Sector report card

Where BBY ranks against its sector peers on each metric.

Computing percentiles…
  • Business Wire•Oct 7, 2026
    LG Ad Solutions and Best Buy Ads Connect Premium LG TV inventory and Retail Media
  • Business Wire•Sep 23, 2026
    Best Buy and Amazon Expand Fire TV Partnership, Opening Fire TV Ad Inventory to Best Buy Ads
  • PR Newswire•Sep 22, 2026
    MobileX Expands Digital Retail Presence with Best Buy and Amazon
5 more press releases · full archive on Investor+.INVESTOR
40 filings
September 2026
Sep 24
Form 4Insider transactionPeriod 2026-09-23
View on SEC →
Sep 21
Form 4Insider transactionPeriod 2026-09-20
View on SEC →
Sep 18
Form 4Insider transactionPeriod 2026-09-16
View on SEC →
37 more filings + AI summaries on Investor+.INVESTOR