WallStSmart

Best Buy Co. Inc (BBY)vsDick’s Sporting Goods Inc (DKS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Best Buy Co. Inc generates 142% more annual revenue ($41.69B vs $17.22B). DKS leads profitability with a 4.9% profit margin vs 2.6%. BBY appears more attractively valued with a PEG of 1.15. BBY earns a higher WallStSmart Score of 64/100 (C+).

BBY

Buy

64

out of 100

Grade: C+

Growth: 4.7Profit: 6.5Value: 8.0Quality: 6.8
Piotroski: 6/9Altman Z: 3.54

DKS

Buy

56

out of 100

Grade: C

Growth: 6.7Profit: 6.0Value: 4.7Quality: 6.3
Piotroski: 3/9Altman Z: 3.45
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BBYUndervalued (+17.6%)

Margin of Safety

+17.6%

Fair Value

$81.36

Current Price

$57.29

$24.07 discount

UndervaluedFair: $81.36Overvalued
DKSOvervalued (-8.1%)

Margin of Safety

-8.1%

Fair Value

$189.02

Current Price

$215.54

$26.52 premium

UndervaluedFair: $189.02Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBY5 strengths · Avg: 9.6/10
P/E RatioValuation
11.9x10/10

Attractively priced relative to earnings

Return on EquityProfitability
37.0%10/10

Every $100 of equity generates 37 in profit

EPS GrowthGrowth
372.5%10/10

Earnings expanding 372.5% YoY

Altman Z-ScoreHealth
3.5410/10

Safe zone — low bankruptcy risk

Free Cash FlowQuality
$1.10B8/10

Generating 1.1B in free cash flow

DKS2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
59.9%10/10

Revenue surging 59.9% year-over-year

Altman Z-ScoreHealth
3.4510/10

Safe zone — low bankruptcy risk

Areas to Watch

BBY2 concerns · Avg: 2.5/10
Profit MarginProfitability
2.6%3/10

2.6% margin — thin

Revenue GrowthGrowth
-1.0%2/10

Revenue declined 1.0%

DKS4 concerns · Avg: 3.0/10
PEG RatioValuation
1.574/10

Expensive relative to growth rate

Profit MarginProfitability
4.9%3/10

4.9% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-61.0%2/10

Earnings declined 61.0%

Comparative Analysis Report

WallStSmart Research

Bull Case : BBY

The strongest argument for BBY centers on P/E Ratio, Return on Equity, EPS Growth. PEG of 1.15 suggests the stock is reasonably priced for its growth.

Bull Case : DKS

The strongest argument for DKS centers on Revenue Growth, Altman Z-Score. Revenue growth of 59.9% demonstrates continued momentum.

Bear Case : BBY

The primary concerns for BBY are Profit Margin, Revenue Growth. Thin 2.6% margins leave little buffer for downturns.

Bear Case : DKS

The primary concerns for DKS are PEG Ratio, Profit Margin, Piotroski F-Score. Thin 4.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

BBY profiles as a value stock while DKS is a hypergrowth play — different risk/reward profiles.

BBY carries more volatility with a beta of 1.37 — expect wider price swings.

DKS is growing revenue faster at 59.9% — sustainability is the question.

BBY generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

BBY scores higher overall (64/100 vs 56/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Best Buy Co. Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Best Buy Co., Inc. is an American multinational consumer electronics retailer headquartered in Richfield, Minnesota.

Dick’s Sporting Goods Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

DICK'S Sporting Goods, Inc., is a sporting goods retailer primarily in the eastern United States. The company is headquartered in Coraopolis, Pennsylvania.

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