Best Buy Co. Inc (BBY)vseBay Inc (EBAY)
BBY
Best Buy Co. Inc
$93.87
-2.36%
CONSUMER CYCLICAL · Cap: $20.34B
EBAY
eBay Inc
$118.62
-1.91%
CONSUMER CYCLICAL · Cap: $52.52B
Smart Verdict
WallStSmart Research — data-driven comparison
Best Buy Co. Inc generates 251% more annual revenue ($42.20B vs $12.01B). EBAY leads profitability with a 18.6% profit margin vs 3.0%. EBAY appears more attractively valued with a PEG of 1.64. EBAY earns a higher WallStSmart Score of 70/100 (B-).
BBY
Buy60
out of 100
Grade: C+
EBAY
Strong Buy70
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-58.2%
Fair Value
$42.40
Current Price
$93.87
$51.47 premium
Margin of Safety
-26.5%
Fair Value
$95.82
Current Price
$118.62
$22.80 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 40 in profit
Earnings expanding 70.1% YoY
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Every $100 of equity generates 48 in profit
Earnings expanding 55.0% YoY
Safe zone — low bankruptcy risk
Large-cap with strong market position
Strong operational efficiency at 21.6%
Areas to Watch
Expensive relative to growth rate
3.6% revenue growth
3.0% margin — thin
Operating margin of 3.9%
Expensive relative to growth rate
Moderate valuation
Trading at 11.3x book value
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : BBY
The strongest argument for BBY centers on Return on Equity, EPS Growth, Altman Z-Score.
Bull Case : EBAY
The strongest argument for EBAY centers on Return on Equity, EPS Growth, Altman Z-Score. Profitability is solid with margins at 18.6% and operating margin at 21.6%. Revenue growth of 14.8% demonstrates continued momentum.
Bear Case : BBY
The primary concerns for BBY are PEG Ratio, Revenue Growth, Profit Margin. Thin 3.0% margins leave little buffer for downturns.
Bear Case : EBAY
The primary concerns for EBAY are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 1.53 is elevated, increasing financial risk.
Key Dynamics to Monitor
BBY profiles as a value stock while EBAY is a mature play — different risk/reward profiles.
EBAY carries more volatility with a beta of 1.32 — expect wider price swings.
EBAY is growing revenue faster at 14.8% — sustainability is the question.
BBY generates stronger free cash flow (737M), providing more financial flexibility.
Bottom Line
EBAY scores higher overall (70/100 vs 60/100), backed by strong 18.6% margins and 14.8% revenue growth. Both earn "Strong 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.
eBay Inc
CONSUMER CYCLICAL · INTERNET RETAIL · USA
eBay Inc. is an American multinational e-commerce corporation based in San Jose, California, that facilitates consumer-to-consumer and business-to-consumer sales through its website.
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