BBY vs. RACE: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at BBY and RACE, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | BBY | RACE |
|---|---|---|
| Company Name | Best Buy Co., Inc. | Ferrari N.V. |
| Country | United States | Italy |
| GICS Sector | Consumer Discretionary | Consumer Discretionary |
| GICS Industry | Specialty Retail | Automobiles |
| Market Capitalization | 15.88 billion USD | 89.05 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | April 18, 1985 | October 21, 2015 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of BBY and RACE by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | BBY | RACE |
|---|---|---|
| 5-Day Price Return | -0.03% | 3.89% |
| 13-Week Price Return | 7.22% | 4.43% |
| 26-Week Price Return | 1.65% | 8.85% |
| 52-Week Price Return | -23.01% | 5.02% |
| Month-to-Date Return | -0.03% | 3.72% |
| Year-to-Date Return | -11.89% | 3.52% |
| 10-Day Avg. Volume | 2.84M | 0.30M |
| 3-Month Avg. Volume | 3.61M | 0.31M |
| 3-Month Volatility | 29.52% | 31.39% |
| Beta | 1.40 | 0.91 |
Profitability
Return on Equity (TTM)
BBY
27.37%
Specialty Retail Industry
- Max
- 64.63%
- Q3
- 37.13%
- Median
- 19.07%
- Q1
- 10.79%
- Min
- -16.66%
BBY’s Return on Equity of 27.37% is on par with the norm for the Specialty Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.
RACE
45.61%
Automobiles Industry
- Max
- 28.52%
- Q3
- 12.70%
- Median
- 5.15%
- Q1
- -1.62%
- Min
- -18.19%
RACE’s Return on Equity of 45.61% is exceptionally high, placing it well beyond the typical range for the Automobiles industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Net Profit Margin (TTM)
BBY
1.87%
Specialty Retail Industry
- Max
- 21.04%
- Q3
- 10.99%
- Median
- 6.08%
- Q1
- 2.46%
- Min
- -4.37%
Falling into the lower quartile for the Specialty Retail industry, BBY’s Net Profit Margin of 1.87% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
RACE
22.91%
Automobiles Industry
- Max
- 8.82%
- Q3
- 5.80%
- Median
- 2.77%
- Q1
- -1.08%
- Min
- -10.15%
RACE’s Net Profit Margin of 22.91% is exceptionally high, placing it well beyond the typical range for the Automobiles industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
Operating Profit Margin (TTM)
BBY
2.48%
Specialty Retail Industry
- Max
- 33.35%
- Q3
- 16.40%
- Median
- 9.28%
- Q1
- 4.05%
- Min
- -10.63%
BBY’s Operating Profit Margin of 2.48% is in the lower quartile for the Specialty Retail industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.
RACE
29.16%
Automobiles Industry
- Max
- 13.07%
- Q3
- 6.94%
- Median
- 4.50%
- Q1
- -2.17%
- Min
- -13.85%
RACE’s Operating Profit Margin of 29.16% is exceptionally high, placing it well above the typical range for the Automobiles industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.
Profitability at a Glance
| Symbol | BBY | RACE |
|---|---|---|
| Return on Equity (TTM) | 27.37% | 45.61% |
| Return on Assets (TTM) | 5.09% | 16.76% |
| Net Profit Margin (TTM) | 1.87% | 22.91% |
| Operating Profit Margin (TTM) | 2.48% | 29.16% |
| Gross Profit Margin (TTM) | 22.54% | 51.20% |
Financial Strength
Current Ratio (MRQ)
BBY
1.04
Specialty Retail Industry
- Max
- 2.72
- Q3
- 1.81
- Median
- 1.38
- Q1
- 1.15
- Min
- 0.52
BBY’s Current Ratio of 1.04 falls into the lower quartile for the Specialty Retail industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
RACE
2.08
Automobiles Industry
- Max
- 2.13
- Q3
- 1.52
- Median
- 1.29
- Q1
- 1.09
- Min
- 0.47
RACE’s Current Ratio of 2.08 is in the upper quartile for the Automobiles industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio (MRQ)
BBY
0.43
Specialty Retail Industry
- Max
- 3.44
- Q3
- 1.57
- Median
- 0.60
- Q1
- 0.22
- Min
- 0.00
BBY’s Debt-to-Equity Ratio of 0.43 is typical for the Specialty Retail industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
RACE
0.89
Automobiles Industry
- Max
- 2.07
- Q3
- 1.17
- Median
- 0.60
- Q1
- 0.30
- Min
- 0.05
RACE’s Debt-to-Equity Ratio of 0.89 is typical for the Automobiles industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
BBY
256.43
Specialty Retail Industry
- Max
- 48.12
- Q3
- 39.12
- Median
- 14.13
- Q1
- 3.63
- Min
- -36.00
With an Interest Coverage Ratio of 256.43, BBY demonstrates a superior capacity to service its debt, placing it well above the typical range for the Specialty Retail industry. This stems from either robust earnings or a conservative debt load.
RACE
181.49
Automobiles Industry
- Max
- 77.87
- Q3
- 37.26
- Median
- 13.42
- Q1
- 1.43
- Min
- -49.07
With an Interest Coverage Ratio of 181.49, RACE demonstrates a superior capacity to service its debt, placing it well above the typical range for the Automobiles industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | BBY | RACE |
|---|---|---|
| Current Ratio (MRQ) | 1.04 | 2.08 |
| Quick Ratio (MRQ) | 0.36 | 1.61 |
| Debt-to-Equity Ratio (MRQ) | 0.43 | 0.89 |
| Interest Coverage Ratio (TTM) | 256.43 | 181.49 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
BBY
4.95%
Specialty Retail Industry
- Max
- 6.48%
- Q3
- 2.84%
- Median
- 1.04%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 4.95%, BBY offers a more attractive income stream than most of its peers in the Specialty Retail industry, signaling a strong commitment to shareholder returns.
RACE
0.64%
Automobiles Industry
- Max
- 10.85%
- Q3
- 4.84%
- Median
- 2.53%
- Q1
- 0.00%
- Min
- 0.00%
RACE’s Dividend Yield of 0.64% is consistent with its peers in the Automobiles industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
BBY
103.47%
Specialty Retail Industry
- Max
- 192.64%
- Q3
- 79.43%
- Median
- 26.55%
- Q1
- 0.00%
- Min
- 0.00%
BBY’s Dividend Payout Ratio of 103.47% is in the upper quartile for the Specialty Retail industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
RACE
44.33%
Automobiles Industry
- Max
- 131.16%
- Q3
- 60.59%
- Median
- 36.73%
- Q1
- 5.97%
- Min
- 0.00%
RACE’s Dividend Payout Ratio of 44.33% is within the typical range for the Automobiles industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | BBY | RACE |
|---|---|---|
| Dividend Yield (TTM) | 4.95% | 0.64% |
| Dividend Payout Ratio (TTM) | 103.47% | 44.33% |
Valuation
Price-to-Earnings Ratio (TTM)
BBY
20.92
Specialty Retail Industry
- Max
- 47.04
- Q3
- 27.74
- Median
- 23.51
- Q1
- 13.77
- Min
- 7.47
BBY’s P/E Ratio of 20.92 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
RACE
51.11
Automobiles Industry
- Max
- 31.95
- Q3
- 22.20
- Median
- 11.17
- Q1
- 7.39
- Min
- 4.54
At 51.11, RACE’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Automobiles industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
Price-to-Sales Ratio (TTM)
BBY
0.39
Specialty Retail Industry
- Max
- 5.77
- Q3
- 2.79
- Median
- 1.21
- Q1
- 0.53
- Min
- 0.09
In the lower quartile for the Specialty Retail industry, BBY’s P/S Ratio of 0.39 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
RACE
11.71
Automobiles Industry
- Max
- 1.49
- Q3
- 0.92
- Median
- 0.47
- Q1
- 0.24
- Min
- 0.09
With a P/S Ratio of 11.71, RACE trades at a valuation that eclipses even the highest in the Automobiles industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio (MRQ)
BBY
5.15
Specialty Retail Industry
- Max
- 16.93
- Q3
- 7.92
- Median
- 3.98
- Q1
- 1.86
- Min
- 0.55
BBY’s P/B Ratio of 5.15 is within the conventional range for the Specialty Retail industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
RACE
22.78
Automobiles Industry
- Max
- 2.87
- Q3
- 1.83
- Median
- 0.79
- Q1
- 0.47
- Min
- 0.18
At 22.78, RACE’s P/B Ratio is at an extreme premium to the Automobiles industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | BBY | RACE |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 20.92 | 51.11 |
| Price-to-Sales Ratio (TTM) | 0.39 | 11.71 |
| Price-to-Book Ratio (MRQ) | 5.15 | 22.78 |
| Price-to-Free Cash Flow Ratio (TTM) | 8.42 | 59.96 |