Best Buy Co. Inc (BBY)vsFive Below Inc (FIVE)
BBY
Best Buy Co. Inc
$62.80
-2.17%
CONSUMER CYCLICAL · Cap: $13.16B
FIVE
Five Below Inc
$227.42
-3.30%
CONSUMER CYCLICAL · Cap: $11.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Best Buy Co. Inc generates 842% more annual revenue ($41.69B vs $4.43B). FIVE leads profitability with a 7.0% profit margin vs 2.6%. BBY appears more attractively valued with a PEG of 1.18. BBY earns a higher WallStSmart Score of 64/100 (C+).
BBY
Buy64
out of 100
Grade: C+
FIVE
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+71.6%
Fair Value
$235.87
Current Price
$62.80
$173.07 discount
Margin of Safety
+21.8%
Fair Value
$263.48
Current Price
$227.42
$36.06 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 37 in profit
Earnings expanding 371.7% YoY
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Generating 1.1B in free cash flow
Earnings expanding 2100.0% YoY
Revenue surging 23.1% year-over-year
Areas to Watch
2.6% margin — thin
Revenue declined 100.0%
Premium valuation, high expectations priced in
7.0% margin — thin
Operating margin of 4.2%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : BBY
The strongest argument for BBY centers on Return on Equity, EPS Growth, Altman Z-Score. PEG of 1.18 suggests the stock is reasonably priced for its growth.
Bull Case : FIVE
The strongest argument for FIVE centers on EPS Growth, Revenue Growth. Revenue growth of 23.1% demonstrates continued momentum. PEG of 1.28 suggests the stock is reasonably priced for its growth.
Bear Case : BBY
The primary concerns for BBY are Profit Margin, Revenue Growth. Thin 2.6% margins leave little buffer for downturns.
Bear Case : FIVE
The primary concerns for FIVE are P/E Ratio, Profit Margin, Operating Margin.
Key Dynamics to Monitor
BBY profiles as a value stock while FIVE is a growth play — different risk/reward profiles.
BBY carries more volatility with a beta of 1.44 — expect wider price swings.
FIVE is growing revenue faster at 23.1% — 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 62/100). FIVE offers better value entry with a 21.8% margin of safety. 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.
Five Below Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Five Below, Inc. is a specialty value retailer in the United States. The company is headquartered in Philadelphia, Pennsylvania.
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