What is Best Buy Co Inc worth?
With the base-case assumptions below, a discounted cash flow model on Best Buy Co Inc's reported free cash flow gives $77.28 per share. The share price was $90.51 on September 25, 2026, 17% above that value.
Inputs from the filings
Three sets of assumptions
| Case | Growth yrs 1-5 | Discount rate | Value per share | Value vs price |
|---|---|---|---|---|
| Bear | -7.0% | 10.0% | $50.47 | -44% |
| Base | -2.0% | 9.0% | $77.28 | -15% |
| Bull | 3.0% | 8.0% | $127.30 | +41% |
Sensitivity: base case value per share
| 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | |
|---|---|---|---|---|---|
| 7.0% | $95.55 | $100.98 | $107.63 | $115.93 | $126.61 |
| 8.0% | $82.02 | $85.55 | $89.71 | $94.71 | $100.82 |
| 9.0% | $72.09 | $74.50 | $77.28 | $80.52 | $84.36 |
| 10.0% | $64.48 | $66.19 | $68.13 | $70.35 | $72.91 |
| 11.0% | $58.45 | $59.71 | $61.12 | $62.70 | $64.49 |
Where the presets come from
Base: years 1 to 5 grow at Best Buy Co Inc's revenue growth rate over the last 6 fiscal years (-2.1% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.
Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.
Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.
This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.
Adjust the assumptions
Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.
Adjust the assumptions