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Home Depot, Inc. (HD) logo

Stock Analysis

Home Depot, Inc.HD

Price:$309.63Market Closed+0.45%at last close

P/E 21.82×· 5Y range 16.26–29.29×· 40th percentile of history

Sector: Consumer Cyclical · Industry: Retail-Lumber & Other Building Materials Dealers

AnalystsBuy46 analysts
EW Score 30/65 · #356Mkt Cap 308.47BP/E 21.8Div Yield 3.04%ROE 85.2%
Low 16.3×21.8×High 29.3×

P/E 21.8× sits at the 40th percentile of its 5.086926762491444-year history.

Cash $2.08BNet debt $61.10BDebt $63.19B

Cash covers 3% of debt · Q2 2027.

Profilev61g18p70h62q82m81

PMP Verdict

Mixed fundamentals, fairly valued

Strengths

  • Quality82
  • Profitability70

Risks

  • Growth18
Revenue +2.2% CAGRP/E 22× · 40th pctl

Mixed picture — no clear quality or value edge.

Bull Case

  • ✓Altman Z 4.4 — safe-zone balance sheet
  • ✓ROE 85.2% — efficient capital deployment
  • ✓Interest coverage 10.5× — debt well covered

What's happening with HD

Profile

Valuation — 61/100 (Moderate) P/E vs own history: 40th pct → 12/25 FCF yield: 4.1% → 12/25 P/S: 1.9x → 25/25 EV/EBIT: 18.3x → 12/25Valuation61Growth — 18/100 (Weak) Revenue CAGR: 2.2% → 6/25 Net income CAGR: -3.7% → 0/25 EPS CAGR 5Y: -2.2% → 0/25 Fwd implied growth: 11.6% → 12/25Growth18Profitability — 70/100 (Moderate) ROIC: 20.5% → 20/25 ROE: 85.2% → 25/25 Net margin: 8.6% → 13/25 Operating margin: 12.3% → 12/25Profitability70Financial Health — 62/100 (Moderate) Altman Z: 4.43 → 25/25 Current ratio: 1.08 → 12/25 Interest coverage: 10.5x → 25/25 Net cash / debt: D/A 56% → 0/25Health62Quality — 82/100 (Strong) Piotroski F: 4/9 → 10/25 Beneish M: -2.88 → 25/25 FCF conversion: 89% → 22/25 Margin stability: σ 1.1% → 25/25Quality82Moat — 81/100 (Strong) ROIC >12% years: 11/11 yrs → 25/25 Median gross margin: 33.6% → 13/25 FCF-positive years: 11/11 yrs → 25/25 Worst-year net margin: worst 8.4% → 18/25Moat81

Strong earnings quality and moat; growth lags behind.

How is each axis scored?
  • Valuation61/100 · Moderate
    • P/E vs own history (40th pct)12/25
    • FCF yield (4.1%)12/25
    • P/S (1.9x)25/25
    • EV/EBIT (18.3x)12/25
  • Growth18/100 · Weak
    • Revenue CAGR (2.2%)6/25
    • Net income CAGR (-3.7%)0/25
    • EPS CAGR 5Y (-2.2%)0/25
    • Fwd implied growth (11.6%)12/25
  • Profitability70/100 · Moderate
    • ROIC (20.5%)20/25
    • ROE (85.2%)25/25
    • Net margin (8.6%)13/25
    • Operating margin (12.3%)12/25
  • Financial Health62/100 · Moderate
    • Altman Z (4.43)25/25
    • Current ratio (1.08)12/25
    • Interest coverage (10.5x)25/25
    • Net cash / debt (D/A 56%)0/25
  • Quality82/100 · Strong
    • Piotroski F (4/9)10/25
    • Beneish M (-2.88)25/25
    • FCF conversion (89%)22/25
    • Margin stability (σ 1.1%)25/25
  • Moat81/100 · Strong
    • ROIC >12% years (11/11 yrs)25/25
    • Median gross margin (33.6%)13/25
    • FCF-positive years (11/11 yrs)25/25
    • Worst-year net margin (worst 8.4%)18/25

About Home Depot, Inc.

Home Depot is the world's largest home improvement specialty retailer, operating 2,364 warehouse-format stores offering more than 30,000 products in store and 1 million products online in the US, Canada, and Mexico. Show more

Its stores offer building materials, home improvement products, lawn and garden products, and decor products and provide various services, including home improvement installation services and tool and equipment rentals. The acquisition of Interline Brands in 2015 allowed Home Depot to enter the MRO business, which has been expanded through the tie-up with HD Supply (2020). The 2024 tie-up with SRS will help grow professional demand in roofing, pool, and landscaping projects, while the 2025 purchase of GMS will lift building product sales through 1,340 distribution locations.

Headquarters: ATLANTA, GA · Employees: 472,400 · Website ↗

Price History

Weekly Candlestick Chart — up to 5Y

Key Metrics

Financial snapshot · Tap any metric for its definition and grade

TTM Snapshot

trailing twelve months · YoY
Revenue
164.7B+1%
Op. Income
20.2B-6%
Net Income
14.2B-3%
EPS
14.2-3%
Operating CF
16.3B-12%
Free CF
12.6B-17%

Valuation

61B
P/E (TTM)21.8xB

Grade B: FairPrice / TTM EPS (own statements) — vs own 5Y history: 16.3x–29.3x · 40th pct

P/FCF20.1xB

Grade B: FairPrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative

FCF Yield4.1%C

Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 2.7%–5.5% · 50th pct

P/S (TTM)1.87xA

Grade A: CheapPrice / TTM Revenue (own statements) — vs own 5Y history: 1.7x–3.0x · 6th pct

EV/EBIT18.3xC

Grade C: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 13.2x–22.6x · 53rd pct

EV/Sales2.1xB

Grade B: FairEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple

Forward P/E19.5xB

Grade B: FairPrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth

P/B Ratio18.56xD

Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks

PEG Ratio4.11D

Grade D: ExpensiveFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)

Dividend Yield3.04%A

Grade A: PaysTTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress

Payout Ratio64.8%C

Grade C: HighDividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable

P/E vs own 5Y historyIn range · 40th pct

Profitability

70B+
ROIC20.5%A

Grade A: MoatNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat

ROE85.2%A

Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks

ROA13.3%A

Grade A: StrongReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit

Net Margin8.6%C

Grade C: AverageNet Income / Revenue

Operating Margin12.3%C

Grade C: AverageTTM EBIT / TTM Revenue

Gross Margin32.9%C

Grade C: AverageGross Profit / Revenue

FCF Margin7.7%D

Grade D: LowFCF / Revenue

True FCF Margin7.4%C

Grade C: AverageTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost

Growth

18E
Revenue CAGR2.2%D

Grade D: LowCompound annual revenue growth (up to 5Y depending on data availability)

Net Income CAGR-3.7%D

Grade D: LowCompound annual net income growth (up to 5Y depending on data availability)

EPS CAGR (5Y)-2.2%D

Grade D: LowCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0

Implied EPS Growth11.6%B

Grade B: LowAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth

Dilution (5Y)-3.1%A

Grade A: BuybacksShare count change over 5Y

SBC / Net Income3.7%A

Grade A: LowStock-based comp/Net income. >30% = dilution risk

SBC / Revenue0.3%A

Grade A: LowTTM stock-based comp / TTM Revenue

Financial Health

62B
Altman Z-Score4.43A

Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress

Current Ratio1.08xC

Grade C: OkCurrent Assets/Liabilities

Quick Ratio0.31xD

Grade D: Low(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory

Interest Coverage10.5xA

Grade A: StrongEBIT/Interest. >10 Strong

Debt Repayment4.8yC

Grade C: AverageYears to repay net debt via FCF

Net Debt/EBIT3.0xC

Grade C: MedLeverage. <2x Low, >4x High

Debt/Equity3.80xD

Grade D: HighDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.

Cash / Debt0.03xD

Grade D: ThinCash covers how much of total debt. >1 = could repay all debt from cash

Quality

82A
Piotroski F-Score4/9C

Grade C: AverageFinancial strength 0–9. >7 Strong

Beneish M-Score-2.88A

Grade A: SafeEarnings manipulation risk. < -2.22 Safe

FCF Conversion89.3%A

Grade A: StrongFCF / Net Income

Margin Stability1.1%A

Grade A: StableEBIT margin std deviation. Lower = stable

Capex / Revenue2.2%A

Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business

Asset Turnover1.58xA

Grade A: HighRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales

Insider Transactions

SEC Form 4 · 8 records
Open-market · 90dBuy —Sell $3.3M (4)Other filings 11Net open-market selling

P/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.

Recent insider transactions
Trade dateTransactionShares
SMITH STEPHANIE
Filed
Tax withholding
-130
BROWN ANGIE
Filed
Tax withholding
-96
Broggi Jordan
Filed
Tax withholding
-130
Deaton John A.
Filed
Tax withholding
-344
McPhail Richard V
Filed
Tax withholding
-554
Show 3 more filings
Additional recent insider transactions
Trade dateTransactionShares
Scardino Kimberly R
Filed
Tax withholding
-81
Scardino Kimberly R
Filed
SellOpen market sale
-675
Roseborough Teresa Wynn
Filed
SellOpen market sale
-2455
More metrics — Moat, Per Share, Balance Sheet, Market

Moat

81A
ROIC >12% Years11/11 yrsA

Grade A: DurableShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability

Gross Margin (Med.)33.6%C

Grade C: ModerateMedian annual gross margin across available fiscal years — pricing-power durability

FCF-Positive Years11/11 yrsA

Grade A: DurableShare of completed fiscal years with positive free cash flow

Net Margin Floor8.4%A

Grade A: DurableWeakest annual net margin across completed fiscal years — recession/downcycle resilience

Per Share

EPS (TTM)$14.19

Own TTM net income / shares — same earnings basis as P/E

Cash / Share$2.09

Cash & short-term investments per share (Finnhub)

Book Value / Share$16.66

Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks

Balance Sheet

Total Debt$63.19B

Total debt obligations (short + long term)

Cash & Equiv.$2.08B

Cash and short-term investments

Net Debt$61.10B

Total Debt minus Cash. Negative = Net Cash position

Total Equity$16.62B

Shareholders' equity (book value)

Asset / Liability1.18xC

Grade C: AdequateTotal Assets / Total Liabilities

Market

Market Cap$308.47B

Current Market Capitalization

Beta0.98B

Grade B: MarketPrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings

How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.

Financials as of Aug 2026 · Ratio snapshot Oct 17, 2026

Key Insights: Home Depot, Inc. (HD)

Piotroski F-Score of 4/9 indicates mixed fundamentals for Home Depot, Inc.. Altman Z-Score of 4.43 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -2.88 suggests a low likelihood of earnings manipulation.

  • Takes ~4.8 years to repay net debt from free cash flow.
  • Return on equity of 85.2% is well above the market average.
  • The stock currently yields 3.0% in dividends.

See how HD ranks on the Capex Tracker — top 50 capital spenders compared.

Recent Market Moves

See all HD moves →
DateSessionPriceMoveZ-Score
Oct 15Regular307.62+4.10%2.74
Oct 15After-hours308.84+4.51%3.01
Oct 8Regular294.95+3.21%2.76
Oct 8After-hours295.47+3.39%2.89
Oct 6After-hours287.13+2.13%2.27

Frequently Asked Questions about HD

What is the current Home Depot, Inc. (HD) stock price?

HD is trading at $309.63 at the last market close, up 0.45% on the session. PreMarketPrice tracks HD pre-market, intraday and after-hours prices.

Is HD stock a buy right now?

PreMarketPrice's quantitative model rates Home Depot, Inc.'s financial health at 62/100. This is a data-driven snapshot of fundamentals, not investment advice.

Is HD stock overvalued?

Home Depot, Inc. trades at a trailing P/E of 21.8 and our valuation score rates it 61/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.

When does Home Depot, Inc. report earnings?

No confirmed earnings date is currently scheduled for HD. The Earnings section lists recent reports and updates as dates are announced.

What sector does Home Depot, Inc. operate in?

Home Depot, Inc. operates in the Consumer Cyclical sector, within the Retail-Lumber & Other Building Materials Dealers industry. The Related Stocks section lists sector peers for comparison.

What does Home Depot, Inc. do?

Home Depot is the world's largest home improvement specialty retailer, operating 2,364 warehouse-format stores offering more than 30,000 products in store and 1 million products online in the US, Canada, and Mexico.

About Home Depot, Inc. (HD) Stock

Home Depot, Inc. (HD) is a US-listed stock operating in the Consumer Cyclical sector, specifically the Retail-Lumber & Other Building Materials Dealers industry. As of the latest update, Home Depot, Inc. is trading at $309.63, up 0.45% on the day with a market capitalization of $308.5 billion. The financial health score for HD is 62/100, which indicates good financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for HD stock.

HD Stock Analysis & Key Metrics

On PreMarketPrice, you can track Home Depot, Inc. (HD) across multiple dimensions:

Is HD a Good Stock to Buy?

This page provides data-driven analysis to help you evaluate Home Depot, Inc. (HD) as an investment. The financial health score of 62/100 suggests good financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.

Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Home Depot, Inc. (HD) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.

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