Name: Best Buy Co. Inc. (NYSE:BBY) | Enterprise Value (EV)
Creator: Stock Analysis on Net

Current EV
Historical EV

Best Buy Co. Inc., current enterprise value calculation

Current share price (P)	$83.28
No. shares of common stock outstanding	221,264,454
US$ in millions
Common equity (market value)¹	18,427)
Add: Preferred stock, $1.00 par value; none issued and outstanding (per books)	—)
Total equity	18,427)
Add: Short-term debt (per books)	—)
Add: Current portion of long-term debt (per books)	13)
Add: Long-term debt, excluding current portion (per books)	1,216)
Total equity and debt	19,656)
Less: Cash and cash equivalents	2,936)
Less: Short-term investments	—)
Enterprise value (EV)	16,720)

Based on: 10-K (reporting date: 2022-01-29).

¹ Common equity (market value) = Share price × No. shares of common stock outstanding
= 83.28 × 221,264,454

Download chart

Best Buy Co. Inc., EV calculation

	Jan 29, 2022	Jan 30, 2021	Feb 1, 2020	Feb 2, 2019	Feb 3, 2018	Jan 28, 2017
Share price^1, 2	$101.84	$118.19	$50.69	$71.10	$68.92	$44.85
No. shares of common stock outstanding¹	225,227,756	250,044,876	256,971,220	267,804,388	282,713,593	309,110,840
US$ in millions
Common equity (market value)³	22,937)	29,553)	13,026)	19,041)	19,485)	13,864)
Add: Preferred stock, $1.00 par value; none issued and outstanding (book value)	—)	—)	—)	—)	—)	—)
Total equity	22,937)	29,553)	13,026)	19,041)	19,485)	13,864)
Add: Short-term debt (book value)	—)	110)	—)	—)	—)	—)
Add: Current portion of long-term debt (book value)	13)	14)	14)	56)	544)	44)
Add: Long-term debt, excluding current portion (book value)	1,216)	1,253)	1,257)	1,332)	811)	1,321)
Total equity and debt	24,166)	30,930)	14,297)	20,429)	20,840)	15,229)
Less: Cash and cash equivalents	2,936)	5,494)	2,229)	1,980)	1,101)	2,240)
Less: Short-term investments	—)	—)	—)	—)	2,032)	1,681)
Enterprise value (EV)	21,230)	25,436)	12,068)	18,449)	17,707)	11,308)

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).

¹ Data adjusted for splits and stock dividends.

² Closing price as at the filing date of Best Buy Co. Inc. Annual Report.

³ 2022 Calculation
Common equity (market value) = Share price × No. shares of common stock outstanding
= 101.84 × 225,227,756

The financial data reveals significant volatility in the enterprise value and market equity of the organization between 2017 and 2022, characterized by a substantial expansion peaking in 2021 followed by a contraction in 2022.

Market Equity Trends: Common equity market value increased from US$ 13,864 million in 2017 to US$ 19,485 million in 2018. Following a sharp decline to US$ 13,026 million in 2020, the value reached a period peak of US$ 29,553 million in 2021, before adjusting downward to US$ 22,937 million in 2022.
Enterprise Value (EV) Analysis: The enterprise value exhibits a strong positive correlation with market equity, rising from US$ 11,308 million in 2017 to a high of US$ 25,436 million in 2021. A significant contraction is observed in 2020, where the EV dropped to US$ 12,068 million, reflecting the broader downward trend in market capitalization during that fiscal year.
Net Cash Position Insights: Throughout the entire period, the enterprise value remains consistently lower than the market value of common equity. This specific relationship indicates that the organization maintains a net cash position, where cash and cash equivalents exceed the total debt obligations, thereby reducing the overall cost to acquire the business relative to its equity value.
Debt and Leverage Patterns: Total equity and debt figures mirror the trajectory of equity, peaking at US$ 30,930 million in 2021. The marginal difference between total equity and the combined total of equity and debt suggests that the organization operates with relatively low leverage in proportion to its total capitalization.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?

Best Buy Co. Inc. (NYSE:BBY)

Enterprise Value (EV)

Current Enterprise Value (EV)

Historical Enterprise Value (EV)