BBY vs. HD: Best Buy vs. Home Depot Stock Comparison

November 11, 2026

How do Best Buy (BBY) and Home Depot (HD) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Best Buy (BBY) and Home Depot (HD) both belong to the Specialty Retail industry, though BBY is classified under Computer & Electronics Retail while HD falls under Home Improvement Retail.

Company profile comparison for Best Buy (BBY) and Home Depot (HD)
Profile Item	BBY	HD
Name	Best Buy Co., Inc.	The Home Depot, Inc.
Country/Region	United States	United States
GICS Sector	Consumer Discretionary	Consumer Discretionary
GICS Industry Group	Consumer Discretionary Distribution & Retail	Consumer Discretionary Distribution & Retail
GICS Industry	Specialty Retail	Specialty Retail
GICS Sub-Industry	Computer & Electronics Retail	Home Improvement Retail
Market Capitalization	20.90 billion USD	342.68 billion USD
Currency	USD	USD
Exchange	NYSE	NYSE
Listing Date	April 18, 1985	September 22, 1981
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

BBY

GSPC

Best Buy (BBY) vs. Home Depot (HD), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Best Buy (BBY) and Home Depot (HD). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Best Buy (BBY) and Home Depot (HD). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
Total Return (1Y)	41.84%	-2.13%
Total Return (3Y, Annualized)	25.12%	9.84%
Total Return (5Y, Annualized)	0.22%	1.58%

Risk Profile

Drawdown History

BBY

GSPC

Best Buy (BBY) vs. Home Depot (HD), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Best Buy (BBY) and Home Depot (HD). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
Volatility (1Y, Annualized)	39.78%	28.07%
Beta (5Y)	1.14	0.92
Max Drawdown (5Y)	-52.60%	-34.73%
Avg. Volume (3M)	3.37M	4.59M

Risk-Adjusted Performance

Risk-Return Positioning

BBY and HD are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
Sharpe Ratio (1Y)	0.94	-0.23
Sortino Ratio (1Y)	1.61	-0.35

Profitability

ROE (TTM)

Both companies show strong equity returns, but Home Depot (HD) at 104.30% is the standout with ROE above its industry range; Best Buy (BBY) at 43.13% also sits in the top quartile.

BBY

Consumer Discretionary Distribution & Retail industry group

43.13%

Max: 62.17%
BBY: 43.13%
Q3: 29.44%
Median: 15.69%
Q1: 6.73%
Min: -12.16%

HD

Consumer Discretionary Distribution & Retail industry group

104.30%

HD: 104.30%
Max: 62.17%
Q3: 29.44%
Median: 15.69%
Q1: 6.73%
Min: -12.16%

Best Buy (BBY) vs. Home Depot (HD): A comparison of their ROE against the Consumer Discretionary Distribution & Retail industry group benchmark.

Net Margin (TTM)

Both Best Buy (BBY) at 3.01% and Home Depot (HD) at 8.41% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

BBY

Consumer Discretionary Distribution & Retail industry group

3.01%

Max: 16.94%
Q3: 8.69%
Median: 3.55%
BBY: 3.01%
Q1: 1.14%
Min: -9.41%

HD

Consumer Discretionary Distribution & Retail industry group

8.41%

Max: 16.94%
Q3: 8.69%
HD: 8.41%
Median: 3.55%
Q1: 1.14%
Min: -9.41%

Best Buy (BBY) vs. Home Depot (HD): A comparison of their net margin against the Consumer Discretionary Distribution & Retail industry group benchmark.

Operating Margin (TTM)

Home Depot (HD) at 12.86% operates in the top operating margin quartile, ahead of Best Buy (BBY) at 3.90%, which runs around its industry’s norm.

BBY

Consumer Discretionary Distribution & Retail industry group

3.90%

Max: 21.45%
Q3: 10.89%
Median: 5.57%
BBY: 3.90%
Q1: 2.28%
Min: -7.12%

HD

Consumer Discretionary Distribution & Retail industry group

12.86%

Max: 21.45%
HD: 12.86%
Q3: 10.89%
Median: 5.57%
Q1: 2.28%
Min: -7.12%

Best Buy (BBY) vs. Home Depot (HD): A comparison of their operating margin against the Consumer Discretionary Distribution & Retail industry group benchmark.

Profitability Metrics

Profitability metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
ROE (TTM)	43.13%	104.30%
ROA (TTM)	7.25%	12.14%
Net Margin (TTM)	3.01%	8.41%
Operating Margin (TTM)	3.90%	12.86%
Gross Margin (TTM)	22.60%	32.80%

Growth

Revenue Growth

Home Depot (HD) at 3.24% is around its peer norm for revenue growth, while Best Buy (BBY) at 0.39% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Best Buy (BBY) vs. Home Depot (HD): A comparison of their Revenue Growth across different time periods.

EPS Growth

Best Buy (BBY) at 17.76% sits in the top EPS growth quartile, while Home Depot (HD) at -4.56% is closer to the peer norm — faster per-share earnings growth for BBY.

Best Buy (BBY) vs. Home Depot (HD): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
Revenue Growth (YoY)	0.39%	3.24%
Revenue Growth (3Y CAGR)	-3.43%	1.52%
EPS Growth (YoY)	17.76%	-4.56%
EPS Growth (3Y CAGR)	-7.12%	-5.18%

Financial Strength

Current Ratio (MRQ)

Both Best Buy (BBY) at 1.12 and Home Depot (HD) at 1.08 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

BBY

Consumer Discretionary Distribution & Retail industry group

1.12

Max: 2.62
Q3: 1.75
Median: 1.35
BBY: 1.12
Q1: 1.00
Min: 0.48

HD

Consumer Discretionary Distribution & Retail industry group

1.08

Max: 2.62
Q3: 1.75
Median: 1.35
HD: 1.08
Q1: 1.00
Min: 0.48

Best Buy (BBY) vs. Home Depot (HD): A comparison of their current ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Debt / Equity (MRQ)

Best Buy (BBY) at 1.30 carries an industry-typical debt-to-equity mix, while Home Depot (HD) at 3.80 uses more debt funding than most peers.

BBY

Consumer Discretionary Distribution & Retail industry group

1.30

Max: 3.93
Q3: 2.14
BBY: 1.30
Median: 1.25
Q1: 0.73
Min: 0.01

HD

Consumer Discretionary Distribution & Retail industry group

3.80

Max: 3.93
HD: 3.80
Q3: 2.14
Median: 1.25
Q1: 0.73
Min: 0.01

Best Buy (BBY) vs. Home Depot (HD): A comparison of their debt-to-equity ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
Current Ratio (MRQ)	1.12	1.08
Debt / Equity (MRQ)	1.30	3.80
Net Debt / EBITDA	0.66	2.48

Dividends

Dividend Yield (TTM)

Best Buy (BBY) at 3.84% delivers top-quartile income for its industry, while Home Depot (HD) at 1.32% pays a more typical yield — both are credible income propositions, BBY the richer one.

BBY

Consumer Discretionary Distribution & Retail industry group

3.84%

Max: 5.84%
BBY: 3.84%
Q3: 2.50%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

HD

Consumer Discretionary Distribution & Retail industry group

1.32%

Max: 5.84%
Q3: 2.50%
HD: 1.32%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Best Buy (BBY) vs. Home Depot (HD): A comparison of their dividend yield against the Consumer Discretionary Distribution & Retail industry group benchmark.

Dividend Payout Ratio (TTM)

Both Best Buy (BBY) at 63.56% and Home Depot (HD) at 64.80% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

BBY

Consumer Discretionary Distribution & Retail industry group

63.56%

Max: 72.73%
BBY: 63.56%
Q3: 32.44%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

HD

Consumer Discretionary Distribution & Retail industry group

64.80%

Max: 72.73%
HD: 64.80%
Q3: 32.44%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Best Buy (BBY) vs. Home Depot (HD): A comparison of their payout ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Dividend Metrics

Dividend metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
Dividend Yield (TTM)	3.84%	1.32%
Dividend Payout Ratio (TTM)	63.56%	64.80%

Valuation

P/E Ratio (TTM)

Both Best Buy (BBY) at 16.58 and Home Depot (HD) at 24.04 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

BBY

Consumer Discretionary Distribution & Retail industry group

16.58

Max: 40.50
Q3: 24.26
Median: 19.23
BBY: 16.58
Q1: 12.64
Min: 4.67

HD

Consumer Discretionary Distribution & Retail industry group

24.04

Max: 40.50
Q3: 24.26
HD: 24.04
Median: 19.23
Q1: 12.64
Min: 4.67

Best Buy (BBY) vs. Home Depot (HD): A comparison of their P/E ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

P/S Ratio (TTM)

Best Buy (BBY) at 0.50 is priced about in line with its industry on P/S ratio, while Home Depot (HD) at 2.03 sits in the pricier quartile — HD costs more per dollar of sales.

BBY

Consumer Discretionary Distribution & Retail industry group

0.50

Max: 4.32
Q3: 1.99
Median: 0.70
BBY: 0.50
Q1: 0.26
Min: 0.03

HD

Consumer Discretionary Distribution & Retail industry group

2.03

Max: 4.32
HD: 2.03
Q3: 1.99
Median: 0.70
Q1: 0.26
Min: 0.03

Best Buy (BBY) vs. Home Depot (HD): A comparison of their P/S ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Best Buy (BBY) at 6.59 sits in the upper P/B ratio quartile, and Home Depot (HD) at 20.63 prices even higher, above its industry range.

BBY

Consumer Discretionary Distribution & Retail industry group

6.59

Max: 10.96
BBY: 6.59
Q3: 5.26
Median: 2.16
Q1: 1.08
Min: -4.45

HD

Consumer Discretionary Distribution & Retail industry group

20.63

HD: 20.63
Max: 10.96
Q3: 5.26
Median: 2.16
Q1: 1.08
Min: -4.45

Best Buy (BBY) vs. Home Depot (HD): A comparison of their P/B ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Valuation Metrics

Valuation metrics for Best Buy (BBY) and Home Depot (HD)
Metric	BBY	HD
P/E Ratio (TTM)	16.58	24.04
P/S Ratio (TTM)	0.50	2.03
P/B Ratio (MRQ)	6.59	20.63
Free Cash Flow Yield (TTM)	6.72%	3.14%