Debt-to-Equity Ratio

Best Buy’s Debt-to-Equity Ratio of 1.39x means that for every dollar of shareholder equity, the company has $1.39 in debt, which is a measure of how much the company relies on borrowing versus its own capital.

Among Consumer Cyclical sector peers, this is higher than the sector median of 0.81x, placing Best Buy at the 65th percentile — meaning 35% of peers have a higher ratio. The metric has been perfectly stable over the past eight quarters, with a year-over-year change of +0.0% and a quarter-over-quarter change of +0.0%. A ratio above the sector median combined with a flat trend implies persistent leverage that is neither increasing risk nor showing improvement, offering limited opportunity for debt-driven growth. This stability supports the NEUTRAL verdict, as the elevated but unchanged debt level does not signal a clear positive or negative catalyst for the stock.

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