Best Buy Co. Inc (BBY)
Debt-to-equity ratio
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,152,000 | 1,130,000 | 1,145,000 | 1,155,000 | 1,160,000 | 1,142,000 | 1,184,000 | 1,170,000 | 1,216,000 | 1,223,000 | 1,243,000 | 1,229,000 | 1,253,000 | 1,256,000 | 632,000 | 621,000 | 1,257,000 | 1,239,000 | 1,247,000 | 1,193,000 |
| Total stockholders’ equity | US$ in thousands | 3,053,000 | 2,812,000 | 2,835,000 | 2,793,000 | 2,795,000 | 2,993,000 | 2,892,000 | 2,767,000 | 3,020,000 | 4,278,000 | 4,335,000 | 4,158,000 | 4,587,000 | 4,086,000 | 3,778,000 | 3,410,000 | 3,479,000 | 3,125,000 | 3,285,000 | 3,354,000 |
| Debt-to-equity ratio | 0.38 | 0.40 | 0.40 | 0.41 | 0.42 | 0.38 | 0.41 | 0.42 | 0.40 | 0.29 | 0.29 | 0.30 | 0.27 | 0.31 | 0.17 | 0.18 | 0.36 | 0.40 | 0.38 | 0.36 |
February 3, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,152,000K ÷ $3,053,000K
= 0.38
The debt-to-equity ratio of Best Buy Co. Inc has shown some fluctuation over the past several quarters. The ratio has ranged between 0.17 and 0.42 during this period, indicating the company's varying levels of debt relative to its equity.
A lower debt-to-equity ratio suggests that the company has less financial leverage and relies more on equity financing. In contrast, a higher ratio indicates a higher level of debt compared to equity, which may increase financial risk but could also potentially lead to higher returns on equity.
Overall, the trend in Best Buy's debt-to-equity ratio has been relatively stable, with some minor fluctuations observed. It is important for investors and analysts to closely monitor this ratio to assess the company's financial health and risk profile.