Zacks Investment Research·6d ago
Best Buy's AI Push Drives Digital Growth & Retail MomentumBBY's AI tools, experiential stores and vendor collaboration are fueling digital growth and retail momentum.
Best Buy appears to be stabilizing after a period of revenue contraction, with recent quarters showing modest top-line growth of 3.6% and 1.9% in 2027Q2 and 2027Q1, respectively. The company's operating margin has expanded to 4.3% in 2027Q2 from a low of 1.6% ...
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue growth has stabilized at 3.6% in 2027Q2, while operating margin has expanded to 4.3% from 1.6% in 2025Q4, indicating improved SG&A leverage.
The stock is deeply undervalued at 9.1x forward earnings and 6.0x EV/EBITDA, multiples typically reserved for structurally challenged businesses, which Best Buy is not.
Best Buy is the largest US specialty consumer electronics retailer, generating $41.7B in revenue, with a strong presence in physical stores, e-commerce, and technology services.
The company serves as a one-stop shop for entertainment needs, offering electronics, accessories, gifts, and major appliances, catering to a wide range of consumer demands.
Trailing total returns as of 9/24/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Aug 27, 2026 | $1.47+5.8% vs $1.39 | $9.8B+1.9% vs $9.6B |
Q2 2026 May 28, 2026 | $1.28+4.1% vs $1.23 | $8.9B+1.3% vs $8.8B |
Q2 2026 Mar 3, 2026 | $2.61+6.1% vs $2.46 | $13.8B-0.4% vs $13.9B |
Q4 2025 Nov 25, 2025 | $1.40+6.9% vs $1.31 | $9.7B+1.0% vs $9.6B |
BBY's AI tools, experiential stores and vendor collaboration are fueling digital growth and retail momentum.
MINNEAPOLIS--(BUSINESS WIRE)--Even before the pumpkins are carved and the turkey is served, Best Buy is giving shoppers a first look at what's ahead this holiday season — from the latest technology and top gifts to new ways to find inspiration, save big and get help from the experts. With more to discover in stores and online, Best Buy is bringing customers more opportunities to explore the season's hottest tech and find gifts for everyone."Technology is always at the top of holiday gift lists,.
California State Teachers Retirement System increased its stake in shares of Best Buy Co., Inc. (NYSE: BBY) by 8,279.9% in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 22,175,854 shares of the technology retailer's stock after acquiring an additional 21,911,223 shares
Best Buy raised its fiscal 2027 outlook as Ads and Marketplace support margins, while core growth offsets computing and cost pressures.
Benchmark BBY against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for Best Buy Co., Inc. (BBY)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $90.80 | $19.13B | 18.02 | 0.39% | 2.56% | 37.04% | 4.16% | |
| $110.53 | $881.03B | 40.49 | 4.73% | 3.04% | 21.64% | — | |
| $156.26 | $70.97B | 19.22 | -1.68% | 4.08% | 26.66% | — | |
| $904.70 | $401.22B | 49.68 | 8.17% | 3.01% | 28.27% | — | |
| $89.98 | $11.49B | 20.54 | 4.66% | 2.61% | 26.19% | — | |
| $120.57 | $26.6B | 17.60 | 5.2% | 3.9% | 19.56% | — |
Best Buy Co., Inc. (BBY) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
Best Buy Co., Inc. (BBY) SEC filings — annual & quarterly reports (10-K, 10-Q)
Aug 27, 2026·SEC
Aug 3, 2026·SEC
May 28, 2026·SEC
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Best Buy Co., Inc. (BBY) stock FAQ — growth, dividends, profitability & financials explained
Best Buy Co., Inc. (BBY) reported $42.20B in revenue for fiscal year 2026. This represents a 443% increase from $7.77B in 1997.
Best Buy Co., Inc. (BBY) grew revenue by 0.4% over the past year. Growth has been modest.
Yes, Best Buy Co., Inc. (BBY) is profitable, generating $1.27B in net income for fiscal year 2026 (2.6% net margin).
Yes, Best Buy Co., Inc. (BBY) pays a dividend with a yield of 4.16%. This makes it attractive for income-focused investors.
Best Buy Co., Inc. (BBY) has a return on equity (ROE) of 37.0%. This is excellent, indicating efficient use of shareholder capital.
Best Buy Co., Inc. (BBY) generated $1.77B in free cash flow for fiscal year 2026. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.
