WallStSmart

Best Buy Co. Inc (BBY)vsFive Below Inc (FIVE)

VS

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

Buy

64

out of 100

Grade: C+

Growth: 4.7Profit: 6.5Value: 10.0Quality: 6.8
Piotroski: 6/9Altman Z: 3.54

FIVE

Buy

62

out of 100

Grade: C+

Growth: 8.7Profit: 5.5Value: 9.3Quality: 5.8
Piotroski: 3/9Altman Z: 2.27
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BBYUndervalued (+71.6%)

Margin of Safety

+71.6%

Fair Value

$235.87

Current Price

$62.80

$173.07 discount

UndervaluedFair: $235.87Overvalued
FIVEUndervalued (+21.8%)

Margin of Safety

+21.8%

Fair Value

$263.48

Current Price

$227.42

$36.06 discount

UndervaluedFair: $263.48Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBY5 strengths · Avg: 9.2/10
Return on EquityProfitability
37.0%10/10

Every $100 of equity generates 37 in profit

EPS GrowthGrowth
371.7%10/10

Earnings expanding 371.7% YoY

Altman Z-ScoreHealth
3.5410/10

Safe zone — low bankruptcy risk

P/E RatioValuation
12.4x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.10B8/10

Generating 1.1B in free cash flow

FIVE2 strengths · Avg: 9.0/10
EPS GrowthGrowth
2100.0%10/10

Earnings expanding 2100.0% YoY

Revenue GrowthGrowth
23.1%8/10

Revenue surging 23.1% year-over-year

Areas to Watch

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

2.6% margin — thin

Revenue GrowthGrowth
-100.0%2/10

Revenue declined 100.0%

FIVE4 concerns · Avg: 3.3/10
P/E RatioValuation
38.0x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
7.0%3/10

7.0% margin — thin

Operating MarginProfitability
4.2%3/10

Operating margin of 4.2%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull 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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