(HD) Home Depot - Ratings and Ratios
BuildingMaterials, HomeImprovement, LawnGarden, DécorProducts, RentalEquipment
HD EPS (Earnings per Share)
HD Revenue
Description: HD Home Depot
Home Depot Inc (NYSE:HD) is a leading home improvement retailer operating in the United States and internationally, offering a wide range of products and services catering to both DIY homeowners and professional contractors. The companys diverse product portfolio includes building materials, home improvement products, lawn and garden products, and décor products, as well as installation services for various home improvement projects.
From a business perspective, Home Depots revenue streams are diversified across various channels, including online sales through its websites and mobile applications, as well as brick-and-mortar stores. The companys e-commerce platforms, such as homedepot.com, homedepot.ca, and homedepot.com.mx, provide customers with a seamless shopping experience. Additionally, the companys acquisition of online retailers like Blinds.com and The Company Store has expanded its online presence.
Key performance indicators (KPIs) that can be used to evaluate Home Depots performance include same-store sales growth, online sales growth, and gross margin expansion. The companys ability to maintain a strong balance sheet, with a healthy debt-to-equity ratio, is also crucial. As of the latest available data, Home Depots return on equity (ROE) stands at 236.10%, indicating a strong return on shareholder investment. Furthermore, the companys dividend yield and payout ratio can be used to assess its attractiveness to income-seeking investors.
From a valuation perspective, Home Depots price-to-earnings (P/E) ratio of 25.34 and forward P/E ratio of 24.75 suggest that the stock is reasonably valued compared to its earnings growth prospects. The companys market capitalization stands at approximately $373.7 billion, reflecting its position as one of the largest home improvement retailers in the United States.
HD Stock Overview
| Market Cap in USD | 395,683m |
| Sub-Industry | Home Improvement Retail |
| IPO / Inception | 1981-09-22 |
HD Stock Ratings
| Growth Rating | 25.2% |
| Fundamental | 68.6% |
| Dividend Rating | 63.2% |
| Return 12m vs S&P 500 | -4.86% |
| Analyst Rating | 4.18 of 5 |
HD Dividends
| Dividend Yield 12m | 1.74% |
| Yield on Cost 5y | 2.71% |
| Annual Growth 5y | 8.45% |
| Payout Consistency | 99.7% |
| Payout Ratio | 46.6% |
HD Growth Ratios
| Growth Correlation 3m | 81.2% |
| Growth Correlation 12m | -35.5% |
| Growth Correlation 5y | 74.1% |
| CAGR 5y | 10.08% |
| CAGR/Max DD 5y | 0.29 |
| Sharpe Ratio 12m | -0.51 |
| Alpha | -0.40 |
| Beta | 0.626 |
| Volatility | 21.27% |
| Current Volume | 4051.6k |
| Average Volume 20d | 3091.6k |
| Stop Loss | 395.2 (-3%) |
| Signal | -0.41 |
Piotroski VR‑10 (Strict, 0-10) 5.0
| Net Income (14.63b TTM) > 0 and > 6% of Revenue (6% = 9.90b TTM) |
| FCFTA 0.14 (>2.0%) and ΔFCFTA -3.10pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 2.75% (prev 2.73%; Δ 0.02pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.18 (>3.0%) and CFO 17.87b > Net Income 14.63b (YES >=105%, WARN >=100%) |
| Net Debt (58.52b) to EBITDA (25.29b) ratio: 2.31 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.15 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (994.0m) change vs 12m ago 0.20% (target <= -2.0% for YES) |
| Gross Margin 33.35% (prev 33.60%; Δ -0.25pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 167.7% (prev 157.0%; Δ 10.61pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 8.84 (EBITDA TTM 25.29b / Interest Expense TTM 2.45b) >= 6 (WARN >= 3) |
Altman Z'' 5.77
| (A) 0.05 = (Total Current Assets 35.39b - Total Current Liabilities 30.85b) / Total Assets 100.05b |
| (B) 0.91 = Retained Earnings (Balance) 90.68b / Total Assets 100.05b |
| warn (B) unusual magnitude: 0.91 — check mapping/units |
| (C) 0.22 = EBIT TTM 21.68b / Avg Total Assets 98.45b |
| (D) 0.99 = Book Value of Equity 88.49b / Total Liabilities 89.38b |
| Total Rating: 5.77 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 68.58
| 1. Piotroski 5.0pt = 0.0 |
| 2. FCF Yield 3.10% = 1.55 |
| 3. FCF Margin 8.62% = 2.16 |
| 4. Debt/Equity 6.21 = -2.50 |
| 5. Debt/Ebitda 2.62 = -1.17 |
| 6. ROIC - WACC 20.25% = 12.50 |
| 7. RoE 188.5% = 2.50 |
| 8. Rev. Trend 50.23% = 2.51 |
| 9. Rev. CAGR 5.70% = 0.71 |
| 10. EPS Trend -1.84% = -0.05 |
| 11. EPS CAGR 3.66% = 0.37 |
What is the price of HD shares?
Over the past week, the price has changed by +2.45%, over one month by +8.01%, over three months by +11.39% and over the past year by +11.96%.
Is Home Depot a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of HD is around 395.27 USD . This means that HD is currently overvalued and has a potential downside of -2.99%.
Is HD a buy, sell or hold?
- Strong Buy: 21
- Buy: 5
- Hold: 12
- Sell: 1
- Strong Sell: 0
What are the forecasts/targets for the HD price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 435.2 | 6.8% |
| Analysts Target Price | 419 | 2.8% |
| ValueRay Target Price | 435.7 | 6.9% |
Last update: 2025-08-23 05:03
HD Fundamental Data Overview
CCE Cash And Equivalents = 2.80b USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 27.036
P/E Forward = 26.5957
P/S = 2.3973
P/B = 37.1011
P/EG = 4.6633
Beta = 1.0
Revenue TTM = 165.05b USD
EBIT TTM = 21.68b USD
EBITDA TTM = 25.29b USD
Long Term Debt = 58.54b USD (from nonCurrentLiabilitiesTotal, last quarter)
Short Term Debt = 7.74b USD (from shortTermDebt, last quarter)
Debt = 66.27b USD (Calculated: Short Term 7.74b + Long Term 58.54b)
Net Debt = 58.52b USD (from netDebt column, last quarter)
Enterprise Value = 459.15b USD (395.68b + Debt 66.27b - CCE 2.80b)
Interest Coverage Ratio = 8.84 (Ebit TTM 21.68b / Interest Expense TTM 2.45b)
FCF Yield = 3.10% (FCF TTM 14.23b / Enterprise Value 459.15b)
FCF Margin = 8.62% (FCF TTM 14.23b / Revenue TTM 165.05b)
Net Margin = 8.86% (Net Income TTM 14.63b / Revenue TTM 165.05b)
Gross Margin = 33.35% ((Revenue TTM 165.05b - Cost of Revenue TTM 110.01b) / Revenue TTM)
Tobins Q-Ratio = 5.19 (Enterprise Value 459.15b / Book Value Of Equity 88.49b)
Interest Expense / Debt = 0.87% (Interest Expense 575.0m / Debt 66.27b)
Taxrate = 23.70% (from yearly Income Tax Expense: 4.60b / 19.41b)
NOPAT = 16.54b (EBIT 21.68b * (1 - 23.70%))
Current Ratio = 1.15 (Total Current Assets 35.39b / Total Current Liabilities 30.85b)
Debt / Equity = 6.21 (Debt 66.27b / last Quarter total Stockholder Equity 10.66b)
Debt / EBITDA = 2.62 (Net Debt 58.52b / EBITDA 25.29b)
Debt / FCF = 4.66 (Debt 66.27b / FCF TTM 14.23b)
Total Stockholder Equity = 7.76b (last 4 quarters mean)
RoA = 14.62% (Net Income 14.63b, Total Assets 100.05b )
RoE = 188.5% (Net Income TTM 14.63b / Total Stockholder Equity 7.76b)
RoCE = 32.70% (Ebit 21.68b / (Equity 7.76b + L.T.Debt 58.54b))
RoIC = 27.48% (NOPAT 16.54b / Invested Capital 60.20b)
WACC = 7.22% (E(395.68b)/V(461.96b) * Re(8.32%)) + (D(66.27b)/V(461.96b) * Rd(0.87%) * (1-Tc(0.24)))
Shares Correlation 5-Years: -90.0 | Cagr: -1.43%
Discount Rate = 8.32% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 77.16% ; FCFE base≈15.25b ; Y1≈15.12b ; Y5≈15.76b
Fair Price DCF = 266.5 (DCF Value 265.18b / Shares Outstanding 994.9m; 5y FCF grow -1.62% → 3.0% )
Revenue Correlation: 50.23 | Revenue CAGR: 5.70%
Rev Growth-of-Growth: 7.94
EPS Correlation: -1.84 | EPS CAGR: 3.66%
EPS Growth-of-Growth: 8.99
Additional Sources for HD Stock
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