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Best Buy (BBY) Financial Forecast Calculator

Interactive 5-year forecast and DCF for Best Buy. Adjust revenue growth, gross margin, capex intensity, WACC, and terminal growth - see revenue, free cash flow, and enterprise value update in real time. Seeded from Best Buy’s most recent SEC filings.

Revenue FY31
$43.22B
from $43.45B
FCF FY31
$1.69B
Margin 3.9%
Enterprise value
$24.30B
0.6× LTM revenue
Equity value
$24.60B
Net debt -$293.0M
Revenue & free cash flow - history and 5-year forecast
Line (area)
Bars
Historicals from SEC EDGAR (grey). Forecast years (color) update live as you move the sliders.

Assumptions

Revenue growth (annual)
-0.1%
-10.0%baseline -0.1%40.0%
Gross margin
22.3%
5.0%baseline 22.3%90.0%
Capex % of revenue
1.7%
0.0%baseline 1.7%30.0%
WACC (discount rate)
9.00%
4.0%baseline 9.0%18.0%
Terminal growth
2.50%
0.0%baseline 2.5%5.0%

Need this as an Excel model?

Keep iterating on the Best Buy forecast in Excel. The downloadable sample has every assumption you see here plus a fully integrated income statement, balance sheet, cash flow, and debt schedule - five years of SEC historicals and live formulas in a fully editable workbook.

income_statement.xlsx
Income statement, brown brand palette
income_statement.xlsx
Income statement, green brand palette
income_statement.xlsx
Income statement, red brand palette

Frequently asked

What is Best Buy's primary business model?+

Best Buy operates as a multinational consumer electronics retailer, offering technology products, services, and solutions through an omnichannel approach. This model combines a large physical store presence with a robust digital platform, where online sales contribute significantly to domestic revenue.

How does Best Buy generate its revenue?+

Best Buy generates revenue primarily through its Domestic and International business segments, selling consumer electronics and related services. Online sales account for over 30% of domestic revenue, complementing its extensive physical store footprint.

What is Best Buy's typical capital expenditure as a percentage of revenue?+

Best Buy's capital expenditure historically ranges from 1.8% to 2.2% of revenue, equating to approximately $700 million to $850 million annually. This investment is split between maintenance (60%) for store upkeep and IT, and growth (40%) for remodels, supply chain automation, and digital platform enhancements.

What is the purpose of the Best Buy financial model?+

The Best Buy financial model provides a comprehensive three-statement forecast and discounted cash flow valuation. Its purpose is to determine the company's intrinsic equity value, allowing analysts to assess if the stock is mispriced relative to its fundamental cash generation and capital return programs.

Can I download an Excel financial model for Best Buy (BBY)?+

Yes, a downloadable Excel financial model for Best Buy (BBY) is available. This general corporate model provides a forecast horizon from FY2027 to FY2031 for detailed analysis.

How does Best Buy's working capital profile impact its cash flow?+

Best Buy operates with a negative working capital profile, meaning vendors primarily finance its inventory as Days Payable Outstanding exceeds Days Inventory Outstanding. This dynamic results in the company generating cash when revenue grows but consuming cash when revenue shrinks.

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