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Best Buy Co., Inc. (BBY) Hit a 52 Week High, Can the Run Continue?
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A strong stock as of late has been Best Buy (BBY - Free Report) . Shares have been marching higher, with the stock up 9.7% over the past month. The stock hit a new 52-week high of $99.92 in the previous session. Best Buy has gained 49.2% since the start of the year compared to the 1% move for the Zacks Retail-Wholesale sector and the 47% return for the Zacks Retail - Consumer Electronics industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on August 27, 2026, Best Buy reported EPS of $1.47 versus consensus estimate of $1.37.
For the current fiscal year, Best Buy is expected to post earnings of $6.81 per share on $42.67 in revenues. This represents a 5.91% change in EPS on a 2.35% change in revenues. For the next fiscal year, the company is expected to earn $7.25 per share on $43.42 in revenues. This represents a year-over-year change of 6.51% and 1.76%, respectively.
Valuation Metrics
Best Buy may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.
Best Buy has a Value Score of A. The stock's Growth and Momentum Scores are A and F, respectively, giving the company a VGM Score of A.
In terms of its value breakdown, the stock currently trades at 14.7X current fiscal year EPS estimates, which is not in-line with the peer industry average of 14.7X. On a trailing cash flow basis, the stock currently trades at 8.8X versus its peer group's average of 6X. Additionally, the stock has a PEG ratio of 2.49. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Best Buy an interesting choice for value investors.
Zacks Rank
We also need to look at the Zacks Rank for the stock, as this is even more important than the company's VGM Score. Fortunately, Best Buy currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Best Buy meets the list of requirements. Thus, it seems as though Best Buy shares could still be poised for more gains ahead.
View the Zacks #1 Rank List
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Best Buy Co., Inc. (BBY) Hit a 52 Week High, Can the Run Continue?
A strong stock as of late has been Best Buy (BBY - Free Report) . Shares have been marching higher, with the stock up 9.7% over the past month. The stock hit a new 52-week high of $99.92 in the previous session. Best Buy has gained 49.2% since the start of the year compared to the 1% move for the Zacks Retail-Wholesale sector and the 47% return for the Zacks Retail - Consumer Electronics industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on August 27, 2026, Best Buy reported EPS of $1.47 versus consensus estimate of $1.37.
For the current fiscal year, Best Buy is expected to post earnings of $6.81 per share on $42.67 in revenues. This represents a 5.91% change in EPS on a 2.35% change in revenues. For the next fiscal year, the company is expected to earn $7.25 per share on $43.42 in revenues. This represents a year-over-year change of 6.51% and 1.76%, respectively.
Valuation Metrics
Best Buy may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.
Best Buy has a Value Score of A. The stock's Growth and Momentum Scores are A and F, respectively, giving the company a VGM Score of A.
In terms of its value breakdown, the stock currently trades at 14.7X current fiscal year EPS estimates, which is not in-line with the peer industry average of 14.7X. On a trailing cash flow basis, the stock currently trades at 8.8X versus its peer group's average of 6X. Additionally, the stock has a PEG ratio of 2.49. This is good enough to put the company in the top echelon of all stocks we cover from a value perspective, making Best Buy an interesting choice for value investors.
Zacks Rank
We also need to look at the Zacks Rank for the stock, as this is even more important than the company's VGM Score. Fortunately, Best Buy currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Best Buy meets the list of requirements. Thus, it seems as though Best Buy shares could still be poised for more gains ahead.