Best Buy Co., Inc. logo BBY - Best Buy Co., Inc.

Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY
0
BUY 14
HOLD 22
SELL 5
STRONG
SELL
0
| PRICE TARGET: $76.33 DETAILS
HIGH: $90.00
LOW: $60.00
MEDIAN: $77.00
CONSENSUS: $76.33
DOWNSIDE: 7.81%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 80% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Mild
Trading 4.3% above fair value
Current Price $82.80
Bear Case $69.45 16.1% downside ($69.45 - $82.80) / $82.80 = -16.1% $5.04 × 14x P/E
Fair Value $79.37 4.1% downside ($79.37 - $82.80) / $82.80 = -4.1% $5.04 × 16x P/E
Bull Case $89.29 7.8% upside ($89.29 - $82.80) / $82.80 = 7.8% $5.04 × 18x P/E

Adjust Assumptions

16.0x
5.04$

Key Value Driver

Normalized P/E multiple (16x base case)

Implied Market Multiple 16.4x

Plain-Language Summary

Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $76.33 from 41 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $79.37 per share.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples