(WSM) Williams-Sonoma - Overview
Sector: Consumer Cyclical | Industry: Specialty Retail | Exchange: NYSE (USA) | Market Cap: 23.359m USD | Total Return: 30.6% in 12m
Avg Turnover: 199M
EPS Trend: -89.6%
Qual. Beats: 0
Rev. Trend: -15.4%
Qual. Beats: 0
Warnings
Choppy
Tailwinds
Idiosyncratic Leader
Williams-Sonoma, Inc. (WSM) is a specialty retailer specializing in high-end home furnishings, cookware, and decorative accessories. Founded in 1956 and headquartered in San Francisco, the company operates a diverse portfolio of brands including Pottery Barn, West Elm, and its namesake Williams Sonoma. The business model utilizes an omni-channel approach, integrating physical retail locations with a robust e-commerce platform and direct-mail catalogs to capture multi-channel consumer spending.
The company operates within the Homefurnishing Retail sub-industry, a sector highly sensitive to housing market trends and consumer discretionary income levels. Unlike many traditional retailers, Williams-Sonoma generates a significant portion of its total revenue through digital channels, reducing its reliance on mall-based foot traffic. Investors may find it useful to examine the companys historical performance data on ValueRay. The firm’s brand diversification allows it to target multiple life stages, from nursery furniture via Pottery Barn Kids to premium kitchenware for professional-grade home cooking.
- E-commerce penetration and digital platform efficiency drive high single-digit operating margins
- Housing market turnover and mortgage rate fluctuations impact discretionary home furnishing demand
- Private label expansion and global supply chain optimization mitigate rising freight costs
- Pottery Barn and West Elm brand performance dictates total comparable store sales
- Consumer credit availability and household savings levels influence premium kitchenware revenue growth
| Net Income: 1.09b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.22 > 0.02 and ΔFCF/TA 2.03 > 1.0 |
| NWC/Revenue: 7.47% < 20% (prev 11.25%; Δ -3.78% < -1%) |
| CFO/TA 0.27 > 3% & CFO 1.35b > Net Income 1.09b |
| Net Debt (842.0m) to EBITDA (1.65b): 0.51 < 3 |
| Current Ratio: 1.34 > 1.5 & < 3 |
| Outstanding Shares: last quarter (119.9m) vs 12m ago -3.92% < -2% |
| Gross Margin: 46.06% > 18% (prev 0.46%; Δ 4.56k% > 0.5%) |
| Asset Turnover: 154.3% > 50% (prev 150.9%; Δ 3.42% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBITDA TTM and Interest Expense TTM) |
| A: 0.12 (Total Current Assets 2.35b - Total Current Liabilities 1.76b) / Total Assets 5.06b |
| B: 0.27 (Retained Earnings 1.36b / Total Assets 5.06b) |
| C: 0.28 (EBIT TTM 1.42b / Avg Total Assets 5.11b) |
| D: 0.43 (Book Value of Equity 1.35b / Total Liabilities 3.18b) |
| Altman-Z'' = 3.95 = AA |
| DSRI: 1.12 (Receivables 139.3m/122.8m, Revenue 7.88b/7.78b) |
| GMI: 0.99 (GM 46.06% / 45.57%) |
| AQI: 0.97 (AQ_t 0.06 / AQ_t-1 0.06) |
| SGI: 1.01 (Revenue 7.88b / 7.78b) |
| TATA: -0.05 (NI 1.09b - CFO 1.35b) / TA 5.06b) |
| Beneish M = -3.00 (Cap -4..+1) = A |
As of June 01, 2026, the stock is trading at USD 203.57 with a total of 863,346 shares traded.
Over the past week, the price has changed by +6.06%,
over one month by +12.34%,
over three months by +1.51% and
over the past year by +30.55%.
Williams-Sonoma has received a consensus analysts rating of 3.46. Therefore, it is recommended to hold WSM.
- StrongBuy: 6
- Buy: 1
- Hold: 15
- Sell: 2
- StrongSell: 0
| Analysts Target Price | 207 | 1.7% |
P/E Trailing = 22.2649
P/E Forward = 21.9298
P/S = 2.9635
P/B = 12.4925
P/EG = 2.6959
Revenue TTM = 7.88b USD
EBIT TTM = 1.42b USD
EBITDA TTM = 1.65b USD
Long Term Debt = 1.28b USD (estimated: total debt 1.49b - short term 215.2m)
Short Term Debt = 215.2m USD (from shortTermDebt, last quarter)
Debt = 1.49b USD (from shortLongTermDebtTotal, last quarter) (leases 1.49b already included)
Net Debt = 842.0m USD (calculated: Debt 1.49b - CCE 651.6m)
Enterprise Value = 24.2b USD (23.4b + Debt 1.49b - CCE 651.6m)
Interest Coverage Ratio = unknown (Ebit TTM 1.42b / Interest Expense TTM 0.0)
EV/FCF = 22.09x (Enterprise Value 24.2b / FCF TTM 1.10b)
FCF Yield = 4.53% (FCF TTM 1.10b / Enterprise Value 24.2b)
FCF Margin = 13.90% (FCF TTM 1.10b / Revenue TTM 7.88b)
Net Margin = 13.81% (Net Income TTM 1.09b / Revenue TTM 7.88b)
Gross Margin = 46.06% ((Revenue TTM 7.88b - Cost of Revenue TTM 4.25b) / Revenue TTM)
Gross Margin QoQ = 43.95% (prev 46.87%)
Tobins Q-Ratio = 4.78 (Enterprise Value 24.2b / Total Assets 5.06b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 1.49b)
Taxrate = 22.52% (67.2m / 298.6m)
NOPAT = 1.10b (EBIT 1.42b * (1 - 22.52%))
Current Ratio = 1.34 (Total Current Assets 2.35b / Total Current Liabilities 1.76b)
Debt / Equity = 0.80 (Debt 1.49b / totalStockholderEquity, last quarter 1.87b)
Debt / EBITDA = 0.51 (Net Debt 842.0m / EBITDA 1.65b)
Debt / FCF = 0.77 (Net Debt 842.0m / FCF TTM 1.10b)
Total Stockholder Equity = 2.04b (last 4 quarters mean from totalStockholderEquity)
RoA = 21.31% (Net Income 1.09b / Total Assets 5.06b)
RoE = 53.29% (Net Income TTM 1.09b / Total Stockholder Equity 2.04b)
RoCE = 42.66% (EBIT 1.42b / Capital Employed (Equity 2.04b + L.T.Debt 1.28b))
RoIC = 31.82% (NOPAT 1.10b / Invested Capital 3.45b)
WACC = 9.71% (E(23.4b)/V(24.9b) * Re(10.33%) + D(1.49b)/V(24.9b) * Rd(0.0%) * (1-Tc(0.23)))
Discount Rate = 10.33% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -95.56 | Cagr: -3.63%
[DCF] Terminal Value 71.98% ; FCFF base≈1.06b ; Y1≈1.14b ; Y5≈1.38b
[DCF] Fair Price = 138.3 (EV 17.1b - Net Debt 842.0m = Equity 16.3b / Shares 117.7m; r=9.71% [WACC]; 5y FCF grow 8.27% → 2.50% )
EPS Correlation: -89.61 | EPS CAGR: -23.08% | SUE: 0.29 | # QB: 0
Revenue Correlation: -15.35 | Revenue CAGR: -0.41% | SUE: 0.16 | # QB: 0
EPS current Quarter (2026-07-31): EPS=2.03 | Chg30d=+0.06% | Revisions=+11% | Analysts=13
EPS next Quarter (2026-10-31): EPS=2.12 | Chg30d=-1.44% | Revisions=-17% | Analysts=13
EPS current Year (2027-01-31): EPS=9.35 | Chg30d=+0.79% | Revisions=+64% | GrowthEPS=+5.8% | GrowthRev=+4.4%
EPS next Year (2028-01-31): EPS=10.21 | Chg30d=+0.43% | Revisions=+50% | GrowthEPS=+9.2% | GrowthRev=+4.9%
[Analyst] Revisions Ratio: +64%