HD
6/8LiveThe Home Depot, Inc.
NYSE · Consumer Cyclical · Home Improvement Retail
$337.88
Blended fair value
$162.17
Well above fair value
Margin of safety
-108.35%
against blended fair value
Expected return
+2.87%
per year, mid case
52-week range
Valuation verdict
Based on your current assumptions
Well above fair value
Fair value $162.17 against a market price of $337.88.
- Margin of safety
- -108.35%
- Expected return
- +2.87%/ yr
Company facts
- Market cap
- $334.50B
- P/E (5yr avg)
- 25.7x
- Day range
- $333.70 – $339.49
- 52-week range
- $289.10 – $426.75
- Volume
- 2.4M
- Sector
- Consumer Cyclical
- Industry
- Home Improvement Retail
- Employees
- 470,000
Home-improvement retail weighted toward professional contractors, with high returns on a mature store base.
Falls short on 2 pillars: p/e ratio, price to free cash flow.
P/E ratio
Fail5yr average P/E below 22.5
Price to free cash flow
Fail5yr average P/FCF below 22.5
Return on invested capital
Pass5yr average ROIC above 9%
Revenue growth
Pass10yr CAGR above 0%
Net income growth
Pass10yr CAGR above 0%
Free cash flow growth
Pass10yr CAGR above 0%
Shares outstanding
PassShare count flat or shrinking over 5 years
Long-term debt to FCF
PassDebt payable from under 5 years of free cash flow
Everything Money is not an investment adviser. The fair-value range on this page is the arithmetic output of assumptions you control, not a forecast or a recommendation. Verify figures against the company's filings before acting. How the method works