BBY (Best Buy Co) EV-to-EBITDA: 8.51 (As of Aug. 16, 2026) — 15% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

BBY Best Buy Co Inc BBY
76 GF Score
Price $86.42
GF Value $76.04
Valuation Modestly Overvalued
! 7 Warning Signs
View Full Analysis

What is Best Buy Co EV-to-EBITDA?

Best Buy Co BBY +1.25% 76 EV-to-EBITDA is 8.51 as of Aug. 16, 2026, which is 15% above its 10-year median of 7.43. GuruFocus rates BBY with a GF Score™ of 76/100 and a GF Value™ of $76.04 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 951 Retail - Cyclical companies, Best Buy Co ranks better than 51.63% on this metric.

EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Best Buy Co's enterprise value is $20,591 Mil. Best Buy Co's EBITDA for the trailing twelve months (TTM) ended in Apr. 2026 was $2,420 Mil. Therefore, Best Buy Co's EV-to-EBITDA for today is 8.51.

The historical rank and industry rank for Best Buy Co's EV-to-EBITDA or its related term are showing as below:

BBY' s EV-to-EBITDA Range Over the Past 10 Years
Min: 3.62   Med: 7.43   Max: 11.47
Current: 8.51

During the past 13 years, the highest EV-to-EBITDA of Best Buy Co was 11.47. The lowest was 3.62. And the median was 7.43.

BBY's EV-to-EBITDA is ranked better than
51.63% of 951 companies
in the Retail - Cyclical industry
Industry Median: 8.74 vs BBY: 8.51

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

As of today (2026-08-16), Best Buy Co's stock price is $86.42. Best Buy Co's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 was $5.400. Therefore, Best Buy Co's PE Ratio (TTM) for today is 16.00.

The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).


Best Buy Co  (NYSE:BBY) EV-to-EBITDA Explanation

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

Best Buy Co's PE Ratio (TTM) for today is calculated as:

PE Ratio (TTM)=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=86.42/5.400
=16.00

Best Buy Co's share price for today is $86.42.
Best Buy Co's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $5.400.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).

Please read Which price ratio outperforms the enterprise multiple?


Best Buy Co EV-to-EBITDA Related Terms


Best Buy Co EV-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Best Buy Co's EV-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Best Buy Co EV-to-EBITDA Chart

Best Buy Co Annual Data
Trend Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
EV-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.02 7.83 6.99 9.32 7.01

Best Buy Co Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
EV-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.09 8.34 11.37 7.01 6.25

BBY vs DKS, TSCO, ULTA: EV-to-EBITDA Comparison

For the Specialty Retail subindustry, Best Buy Co's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Best Buy Co EV-to-EBITDA vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Best Buy Co's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Best Buy Co's EV-to-EBITDA falls into.


BBY
76GF Score
Best Buy Co Inc BBY
EV-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Best Buy Co EV-to-EBITDA Calculation

Best Buy Co's EV-to-EBITDA for today is calculated as:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA (TTM)
=20591.495/2420
=8.51

Best Buy Co's current Enterprise Value is $20,591 Mil.
Best Buy Co's EBITDA for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $2,420 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-EBITDA →
What does a EV-to-EBITDA of 8.51 mean?
Best Buy Co (BBY) has a EV-to-EBITDA of 8.51 as of Aug. 16, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Best Buy Co. This is 15% above median its historical median of 7.43. Over the past decade, Best Buy Co's EV-to-EBITDA has ranged from 3.62 to 11.47. According to the industry distribution chart, Best Buy Co ranks #460 out of 951 companies in the Retail - Cyclical industry, placing it in the top 48.4%.
Is Best Buy Co's EV-to-EBITDA too high?
Best Buy Co's current EV-to-EBITDA of 8.51 is 15% above median its 10-year median of 7.43. Over the past 10 years, this metric has ranged from a low of 3.62 to a high of 11.47. The Retail - Cyclical industry median EV-to-EBITDA is 8.74. Best Buy Co's value of 8.51 is 2.6% below this industry median. Based on the distribution chart, Best Buy Co ranks #460 out of 951 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Best Buy Co has a GF Score™ of 76/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Best Buy Co's EV-to-EBITDA compare to DKS and TSCO?
According to the Retail - Cyclical industry distribution chart, Best Buy Co ranks #460 out of 951 companies for EV-to-EBITDA. This puts Best Buy Co in the upper half of its industry. The industry median EV-to-EBITDA is 8.74. Best Buy Co's value of 8.51 is 2.6% below this benchmark. Historically, Best Buy Co's own EV-to-EBITDA has ranged from 3.62 to 11.47 over the past decade. While the company's 10-year median is 7.43 vs. the industry median of 8.74, Best Buy Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBITDA for a Retail - Cyclical company?
The median EV-to-EBITDA among Retail - Cyclical companies is 8.74, based on 951 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Best Buy Co's current EV-to-EBITDA of 8.51 is 2.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Best Buy Co. For the Retail - Cyclical industry, the median EV-to-EBITDA is 8.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Best Buy Co's current EV-to-EBITDA is 8.51, which is 15% above median its own 10-year median of 7.43. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Best Buy Co stock overvalued right now?
Based on GuruFocus' analysis, Best Buy Co (BBY) is currently considered Modestly Overvalued. The stock's GF Value™ is $76.04, compared to a current price of $86.42 — trading 13.7% above its estimated fair value. The current EV-to-EBITDA is 8.51, which is 15% above median its 10-year median of 7.43 and 2.6% below the Retail - Cyclical industry median of 8.74. Best Buy Co's overall GF Score™ is 76/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Best Buy Co (BBY), the current EV-to-EBITDA is 8.51 as of Aug. 16, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Best Buy Co (BBY) Overvalued in 2026?

Based on GuruFocus' analysis, Best Buy Co stock appears to be overvalued. The current stock price of $86.42 is trading 13.7% above its estimated GF Value™ of $76.04. GuruFocus considers Best Buy Co to be Modestly Overvalued.

Key valuation signals for BBY:

  • EV-to-EBITDA: 8.51 (15% above median its 10-year median of 7.43)
  • GF Value™: $76.04 vs. price of $86.42 (13.7% above fair value)
  • GF Score™: 76/100 with 7 warning signs
  • Industry Position: 2.6% below the Retail - Cyclical median (#460 of 951)

No single metric tells the full story. See the BBY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Best Buy Co Business Description

Address 7601 Penn Avenue South, Richfield, MN, USA, 55423
Best Buy Co Inc is a pure-play consumer electronics retailer in the USA. It has two reportable segments: Domestic and International. The Domestic and International segments have offerings in six revenue categories. Computing and Mobile Phones, Consumer Electronics, Appliances, Entertainment, Services, and Other. The company has approximately 1,068 stores throughout its Domestic and International segments. It also have vendor store-within-a-store concepts to allow closer vendor partnerships and a higher quality customer experience. The company generates majority of its revenue from the Domestic segment.
76GF Score

Get the complete analysis for BBY

EV-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$86.42
Price
$76.04
GF Value