Best Buy Co Inc vs Tractor Supply Co

Best Buy Co Inc (BBY) is overvalued and Tractor Supply Co (TSCO) is fairly valued.

Both trade above our estimate of their intrinsic value. TSCO is the closer of the two: -1%, against -57% for BBY.

Values as of the 22 Sept 2026 close.

Best Buy Co Inc (BBY)

Discounting its cash flows at 10.1% (average of 3 methods) values the shares at $60.51; the price of $94.82 is 57% above that value, and 71% of that value comes from beyond year five.

Leak Score 59/100 on 3 of 12 signals

Tractor Supply Co (TSCO)

Discounting its cash flows at 8.0% (average of 3 methods) values the shares at $32.48; the price of $32.84 is 1% above that value, and 79% of that value comes from beyond year five.

Leak Score 55/100 on 10 of 12 signals

MetricBBYTSCO
VerdictOvervaluedFairly valued
Price$94.82$32.84
Intrinsic value$60.51$32.48
Margin of safety-57%-1%
Leak Score59/100 (3/12)55/100 (10/12)
Market cap$19.9B$17.1B
Revenue growth, 5 years-2.5%7.9%
Operating margin4.3%8.9%
Net margin3.0%6.4%
Return on equity43.1%39.5%
Debt to equity1.302.49
P/E15.8x17.1x
Forward P/E13.1x16.1x
P/B6.3x6.5x
Dividend yield4.1%3.0%

All stocks in Specialty Retail