Price to Sales (P/S)
since 2005
Calculation
Best Buy Co. Inc., P/S, long-term trends, calculation
| P/S | = | Share price1, 2, 3 | ÷ | Sales per share1 | Sales per share1 | = | Revenue1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Mar 18, 2022 | 0.44 | = | 101.84 | ÷ | 229.82 | 229.82 | = | 51,761 | ÷ | 225,227,756 | |
| Mar 19, 2021 | 0.63 | = | 118.19 | ÷ | 189.01 | 189.01 | = | 47,262 | ÷ | 250,044,876 | |
| Mar 23, 2020 | 0.30 | = | 50.69 | ÷ | 169.82 | 169.82 | = | 43,638 | ÷ | 256,971,220 | |
| Mar 28, 2019 | 0.44 | = | 71.10 | ÷ | 160.11 | 160.11 | = | 42,879 | ÷ | 267,804,388 | |
| Apr 2, 2018 | 0.46 | = | 68.92 | ÷ | 149.09 | 149.09 | = | 42,151 | ÷ | 282,713,593 | |
| Mar 24, 2017 | 0.35 | = | 44.85 | ÷ | 127.47 | 127.47 | = | 39,403 | ÷ | 309,110,840 | |
| Mar 23, 2016 | 0.26 | = | 31.42 | ÷ | 122.25 | 122.25 | = | 39,528 | ÷ | 323,347,681 | |
| Mar 31, 2015 | 0.33 | = | 37.79 | ÷ | 114.54 | 114.54 | = | 40,339 | ÷ | 352,185,626 | |
| Mar 28, 2014 | 0.21 | = | 26.07 | ÷ | 122.20 | 122.20 | = | 42,410 | ÷ | 347,043,619 | |
| Mar 27, 2013 | 0.17 | = | 22.15 | ÷ | 133.08 | 133.08 | = | 45,085 | ÷ | 338,770,740 | |
| May 1, 2012 | 0.15 | = | 22.45 | ÷ | 148.17 | 148.17 | = | 50,705 | ÷ | 342,198,524 | |
| Apr 25, 2011 | 0.23 | = | 30.20 | ÷ | 129.06 | 129.06 | = | 50,272 | ÷ | 389,520,245 | |
| Apr 28, 2010 | 0.39 | = | 46.50 | ÷ | 117.79 | 117.79 | = | 49,694 | ÷ | 421,899,790 | |
| Apr 29, 2009 | 0.35 | = | 37.53 | ÷ | 108.14 | 108.14 | = | 45,015 | ÷ | 416,280,233 | |
| Apr 30, 2008 | 0.44 | = | 43.02 | ÷ | 97.19 | 97.19 | = | 40,023 | ÷ | 411,795,260 | |
| May 2, 2007 | 0.62 | = | 46.61 | ÷ | 74.97 | 74.97 | = | 35,934 | ÷ | 479,304,000 | |
| May 10, 2006 | 0.88 | = | 55.76 | ÷ | 63.52 | 63.52 | = | 30,848 | ÷ | 485,671,000 | |
| May 10, 2005 | 0.62 | = | 34.71 | ÷ | 55.79 | 55.79 | = | 27,433 | ÷ | 491,679,000 |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Best Buy Co. Inc. Annual Report.
- Share Price Trend
- The share price demonstrated considerable volatility over the observed period. It initially rose from 34.71 US$ in May 2005 to a peak of 55.76 US$ in May 2006, followed by a general decline to a low point near 22.15 US$ in early 2013. After this trough, the price increased again, reaching a high of 118.19 US$ in March 2021, before slightly retracting to 101.84 US$ by March 2022. This indicates periods of both significant depreciation and appreciation in market valuation over the years.
- Sales per Share Progression
- Sales per share exhibited a generally upward trend throughout the entire duration. Starting at 55.79 US$ in May 2005, the figure almost quadrupled to 229.82 US$ by March 2022. Although there were minor fluctuations, sales growth was consistent, with especially notable increments between 2014 and 2022, suggesting strong underlying revenue performance on a per-share basis.
- Price-to-Sales (P/S) Ratio Dynamics
- The P/S ratio declined markedly from 0.62 in 2005 to a low of 0.15 in 2012, indicating that share prices were not keeping pace with sales growth during this interval. This suggests undervaluation or market skepticism despite increasing sales. Subsequent years showed some recovery in the ratio, rising to 0.63 in early 2021 before dipping slightly to 0.44 in 2022. Thus, while the ratio improved from the trough, it remained relatively modest compared to early years, reflecting fluctuating investor sentiment and valuation metrics.
- Overall Insights
- The data reflects a company with steadily improving sales per share, indicative of robust operational growth. However, the share price movements and P/S ratio trends reveal a more complex valuation environment, with market pricing not consistently reflecting sales growth. Periods of low P/S ratio in the late 2000s and early 2010s could point to undervaluation, possibly linked to external market factors or investor perceptions. The subsequent rise in both share price and P/S ratio from 2016 onward suggests renewed market confidence and improved valuation alignment with financial performance.
Comparison to Competitors
Best Buy Co. Inc., P/S, long-term trends, comparison to competitors
| Best Buy Co. Inc. | Amazon.com Inc. | Home Depot Inc. | Lowe’s Cos. Inc. | TJX Cos. Inc. | |
|---|---|---|---|---|---|
| Mar 18, 2022 | 0.44 | 2.06 | 2.17 | 1.56 | 1.50 |
| Mar 19, 2021 | 0.63 | 3.41 | 2.39 | 1.46 | 2.48 |
| Mar 23, 2020 | 0.30 | 4.32 | 1.77 | 0.71 | 1.34 |
| Mar 28, 2019 | 0.44 | 3.56 | 1.94 | 1.23 | 1.66 |
| Apr 2, 2018 | 0.46 | 3.43 | 2.01 | 1.02 | 1.47 |
| Mar 24, 2017 | 0.35 | 3.89 | 1.88 | 1.08 | 1.53 |
| Mar 23, 2016 | 0.26 | 2.90 | 1.85 | 1.15 | 1.68 |
| Mar 31, 2015 | 0.33 | 2.58 | 1.77 | 1.26 | 1.65 |
| Mar 28, 2014 | 0.21 | 1.85 | 1.38 | 0.93 | 1.57 |
| Mar 27, 2013 | 0.17 | 2.21 | 1.39 | 0.82 | 1.33 |
| May 1, 2012 | 0.15 | 2.03 | 1.08 | 0.75 | 1.27 |
| Apr 25, 2011 | 0.23 | 1.70 | 0.89 | 0.73 | 0.89 |
| Apr 28, 2010 | 0.39 | 2.26 | 0.83 | 0.74 | 0.87 |
| Apr 29, 2009 | 0.35 | 2.27 | 0.59 | 0.56 | 0.56 |
| Apr 30, 2008 | 0.44 | 1.31 | 0.64 | 0.74 | 0.77 |
| May 2, 2007 | 0.62 | 2.11 | 0.80 | 1.02 | 0.69 |
| May 10, 2006 | 0.88 | 1.56 | 1.11 | 1.17 | 0.73 |
| May 10, 2005 | 0.62 | 1.93 | 1.11 | 1.14 | 0.79 |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).
Comparison to Sector (Consumer Discretionary Distribution & Retail)
Best Buy Co. Inc., P/S, long-term trends, comparison to sector (consumer discretionary distribution & retail)
| Best Buy Co. Inc. | Consumer Discretionary Distribution & Retail | |
|---|---|---|
| Mar 18, 2022 | 0.44 | 1.99 |
| Mar 19, 2021 | 0.63 | 2.94 |
| Mar 23, 2020 | 0.30 | 3.23 |
| Mar 28, 2019 | 0.44 | 2.73 |
| Apr 2, 2018 | 0.46 | 2.56 |
| Mar 24, 2017 | 0.35 | 2.67 |
| Mar 23, 2016 | 0.26 | 2.16 |
| Mar 31, 2015 | 0.33 | 1.97 |
| Mar 28, 2014 | 0.21 | 1.47 |
| Mar 27, 2013 | 0.17 | 1.52 |
| May 1, 2012 | 0.15 | 1.30 |
| Apr 25, 2011 | 0.23 | 1.06 |
| Apr 28, 2010 | 0.39 | 1.10 |
| Apr 29, 2009 | 0.35 | 0.83 |
| Apr 30, 2008 | 0.44 | 0.76 |
| May 2, 2007 | 0.62 | 0.96 |
| May 10, 2006 | 0.88 | 1.12 |
| May 10, 2005 | 0.62 | 1.14 |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).
Comparison to Industry (Consumer Discretionary)
Best Buy Co. Inc., P/S, long-term trends, comparison to industry (consumer discretionary)
| Best Buy Co. Inc. | Consumer Discretionary | |
|---|---|---|
| Mar 18, 2022 | 0.44 | 2.27 |
| Mar 19, 2021 | 0.63 | 3.58 |
| Mar 23, 2020 | 0.30 | 3.81 |
| Mar 28, 2019 | 0.44 | 2.33 |
| Apr 2, 2018 | 0.46 | 2.05 |
| Mar 24, 2017 | 0.35 | 2.06 |
| Mar 23, 2016 | 0.26 | 1.68 |
| Mar 31, 2015 | 0.33 | 1.57 |
| Mar 28, 2014 | 0.21 | 1.32 |
| Mar 27, 2013 | 0.17 | 1.33 |
| May 1, 2012 | 0.15 | 1.06 |
| Apr 25, 2011 | 0.23 | 0.97 |
| Apr 28, 2010 | 0.39 | 0.96 |
| Apr 29, 2009 | 0.35 | 0.92 |
| Apr 30, 2008 | 0.44 | 0.66 |
| May 2, 2007 | 0.62 | 0.79 |
| May 10, 2006 | 0.88 | 0.86 |
| May 10, 2005 | 0.62 | 0.79 |
Based on: 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-KT (reporting date: 2013-02-02), 10-K (reporting date: 2012-03-03), 10-K (reporting date: 2011-02-26), 10-K (reporting date: 2010-02-27), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-03-01), 10-K (reporting date: 2007-03-03), 10-K (reporting date: 2006-02-25), 10-K (reporting date: 2005-02-26).