Best Buy CoFRA:BUY -1.30%73 ROA % is 7.49% as of Apr. 2026, which is 14% below its 10-year median of 8.75. GuruFocus rates FRA:BUY with a GF Score™ of 73/100 and a GF Value™ of €65.48 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,134 Retail - Cyclical companies, Best Buy Co ranks better than 76.72% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Best Buy Co's annualizedNet Income for the quarter that ended in Apr. 2026 was €944 Mil.
Best Buy Co's average Total Assets over the quarter that ended in Apr. 2026 was €12,608 Mil. Therefore, Best Buy Co's annualized ROA % for the quarter that ended in Apr. 2026 was 7.49%.
The historical rank and industry rank for Best Buy Co's ROA % or its related term are showing as below:
FRA:BUY'
s ROA % Range Over the Past 10 Years
Min: 6.23 Med: 8.75 Max: 13.42
Current: 7.55
During the past 13 years, Best Buy Co's highest ROA % was 13.42%. The lowest was 6.23%. And the median was 8.75%.
FRA:BUY's ROA % is ranked better than 76.72% of 1134
companies
in the Retail - Cyclical industry
Industry Median: 2.725
vs FRA:BUY: 7.55
Best Buy Co (FRA:BUY) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Apr. 2026) net income data. The Revenue data used here is four times the quarterly (Apr. 2026) revenue data.
* 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Best Buy Co ROA % Related Terms
Best Buy Co ROA % Historical Data
* Premium members only.
The historical data trend for Best Buy Co's ROA % 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.
For the Specialty Retail subindustry, Best Buy Co's ROA %, along with its competitors' market caps and ROA % 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 ROA % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Best Buy Co's ROA % distribution charts can be found below:
* The bar in red indicates where Best Buy Co's ROA % falls into.
* 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.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Apr. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Best Buy Co (FRA:BUY) has a ROA % of 7.49% as of Apr. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Best Buy Co and its competitors. This is 14% below median its historical median of 8.75. Over the past decade, Best Buy Co's ROA % has ranged from 6.23 to 13.42. According to the industry distribution chart, Best Buy Co ranks #264 out of 1134 companies in the Retail - Cyclical industry, placing it in the top 23.3%.
Is Best Buy Co's ROA % too high?
Best Buy Co's current ROA % of 7.49% is 14% below median its 10-year median of 8.75. Over the past 10 years, this metric has ranged from a low of 6.23 to a high of 13.42. The Retail - Cyclical industry median ROA % is 2.73. Best Buy Co's value of 7.49% is 174.9% above this industry median. Based on the distribution chart, Best Buy Co ranks #264 out of 1134 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Best Buy Co has a GF Score™ of 73/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Best Buy Co's ROA % compare to TSCO and FIVE?
According to the Retail - Cyclical industry distribution chart, Best Buy Co ranks #264 out of 1134 companies for ROA %. This places Best Buy Co in the top 23% of its industry — outperforming the majority of peers. The industry median ROA % is 2.73. Best Buy Co's value of 7.49% is 174.9% above this benchmark. Historically, Best Buy Co's own ROA % has ranged from 6.23 to 13.42 over the past decade. While the company's 10-year median is 8.75 vs. the industry median of 2.73, Best Buy Co has consistently been above 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 ROA % for a Retail - Cyclical company?
The median ROA % among Retail - Cyclical companies is 2.73, based on 1,134 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Best Buy Co's current ROA % of 7.49% is 174.9% above 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 ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Best Buy Co and its competitors. For the Retail - Cyclical industry, the median ROA % is 2.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Best Buy Co's current ROA % is 7.49%, which is 14% below median its own 10-year median of 8.75. 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 (FRA:BUY) is currently considered Fairly Valued. The stock's GF Value™ is €65.48, compared to a current price of €66.98 — trading 2.3% above its estimated fair value. The current ROA % is 7.49%, which is 14% below median its 10-year median of 8.75 and 174.9% above the Retail - Cyclical industry median of 2.73. Best Buy Co's overall GF Score™ is 73/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Best Buy Co (FRA:BUY), the current ROA % is 7.49% as of Apr. 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 (FRA:BUY) Overvalued in 2026?
Based on GuruFocus' analysis, Best Buy Co stock appears to be overvalued.
The current stock price of €66.98 is trading 2.3% above its estimated GF Value™ of €65.48.
GuruFocus considers Best Buy Co to be Fairly Valued.
Key valuation signals for FRA:BUY:
ROA %: 7.49% (14% below median its 10-year median of 8.75)
GF Value™: €65.48 vs. price of €66.98 (2.3% above fair value)
Industry Position: 174.9% above the Retail - Cyclical median (#264 of 1134)
No single metric tells the full story. See the FRA:BUY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
73GF Score
Get the complete analysis for FRA:BUY
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:BUY has been successfully added to your 
