HOME DEPOT INC (HDI.DE) Fundamental Analysis & Valuation

FRA:HDI • US4370761029

Current stock price

279.95 EUR
+5.95 (+2.17%)
Last:

This HDI.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. HDI.DE Profitability Analysis

1.1 Basic Checks

  • HDI had positive earnings in the past year.
  • In the past year HDI had a positive cash flow from operations.
  • HDI had positive earnings in each of the past 5 years.
  • In the past 5 years HDI always reported a positive cash flow from operatings.
HDI.DE Yearly Net Income VS EBIT VS OCF VS FCFHDI.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 5B 10B 15B 20B

1.2 Ratios

  • HDI has a better Return On Assets (13.47%) than 91.84% of its industry peers.
  • HDI has a better Return On Equity (110.48%) than 100.00% of its industry peers.
  • With an excellent Return On Invested Capital value of 20.64%, HDI belongs to the best of the industry, outperforming 93.88% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for HDI is significantly above the industry average of 9.06%.
  • The 3 year average ROIC (25.05%) for HDI is well above the current ROIC(20.64%). The reason for the recent decline needs to be investigated.
Industry RankSector Rank
ROA 13.47%
ROE 110.48%
ROIC 20.64%
ROA(3y)16.22%
ROA(5y)18.78%
ROE(3y)594.65%
ROE(5y)N/A
ROIC(3y)25.05%
ROIC(5y)29.93%
HDI.DE Yearly ROA, ROE, ROICHDI.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 500 -500 1K

1.3 Margins

  • Looking at the Profit Margin, with a value of 8.60%, HDI belongs to the top of the industry, outperforming 89.80% of the companies in the same industry.
  • In the last couple of years the Profit Margin of HDI has declined.
  • Looking at the Operating Margin, with a value of 12.68%, HDI belongs to the top of the industry, outperforming 95.92% of the companies in the same industry.
  • In the last couple of years the Operating Margin of HDI has declined.
  • The Gross Margin of HDI (33.32%) is comparable to the rest of the industry.
  • In the last couple of years the Gross Margin of HDI has remained more or less at the same level.
Industry RankSector Rank
OM 12.68%
PM (TTM) 8.6%
GM 33.32%
OM growth 3Y-6%
OM growth 5Y-3.74%
PM growth 3Y-7.52%
PM growth 5Y-2.47%
GM growth 3Y-0.21%
GM growth 5Y-0.38%
HDI.DE Yearly Profit, Operating, Gross MarginsHDI.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 10 20 30

3

2. HDI.DE Health Analysis

2.1 Basic Checks

  • HDI has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • The number of shares outstanding for HDI remains at a similar level compared to 1 year ago.
  • HDI has less shares outstanding than it did 5 years ago.
  • HDI has a better debt/assets ratio than last year.
HDI.DE Yearly Shares OutstandingHDI.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 200M 400M 600M 800M 1B
HDI.DE Yearly Total Debt VS Total AssetsHDI.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 20B 40B 60B 80B 100B

2.2 Solvency

  • The Debt to FCF ratio of HDI is 4.41, which is a neutral value as it means it would take HDI, 4.41 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of HDI (4.41) is better than 61.22% of its industry peers.
  • HDI has a Debt/Equity ratio of 3.97. This is a high value indicating a heavy dependency on external financing.
  • HDI's Debt to Equity ratio of 3.97 is on the low side compared to the rest of the industry. HDI is outperformed by 87.76% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.97
Debt/FCF 4.41
Altman-Z N/A
ROIC/WACC2.52
WACC8.2%
HDI.DE Yearly LT Debt VS Equity VS FCFHDI.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 10B 20B 30B 40B

2.3 Liquidity

  • A Current Ratio of 1.06 indicates that HDI should not have too much problems paying its short term obligations.
  • HDI has a Current ratio of 1.06. This is in the lower half of the industry: HDI underperforms 61.22% of its industry peers.
  • A Quick Ratio of 0.26 indicates that HDI may have some problems paying its short term obligations.
  • HDI has a worse Quick ratio (0.26) than 81.63% of its industry peers.
Industry RankSector Rank
Current Ratio 1.06
Quick Ratio 0.26
HDI.DE Yearly Current Assets VS Current LiabilitesHDI.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 10B 20B 30B

4

3. HDI.DE Growth Analysis

3.1 Past

  • The earnings per share for HDI have decreased by -1.47% in the last year.
  • HDI shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.26% yearly.
  • HDI shows a small growth in Revenue. In the last year, the Revenue has grown by 3.24%.
  • Measured over the past years, HDI shows a small growth in Revenue. The Revenue has been growing by 4.51% on average per year.
EPS 1Y (TTM)-1.47%
EPS 3Y-4.12%
EPS 5Y4.26%
EPS Q2Q%-9.93%
Revenue 1Y (TTM)3.24%
Revenue growth 3Y1.52%
Revenue growth 5Y4.51%
Sales Q2Q%-3.79%

3.2 Future

  • Based on estimates for the next years, HDI will show a small growth in Earnings Per Share. The EPS will grow by 7.18% on average per year.
  • Based on estimates for the next years, HDI will show a small growth in Revenue. The Revenue will grow by 3.81% on average per year.
EPS Next Y5.56%
EPS Next 2Y6.91%
EPS Next 3Y7.65%
EPS Next 5Y7.18%
Revenue Next Year3.95%
Revenue Next 2Y4.02%
Revenue Next 3Y4.16%
Revenue Next 5Y3.81%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
HDI.DE Yearly Revenue VS EstimatesHDI.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 50B 100B 150B 200B
HDI.DE Yearly EPS VS EstimatesHDI.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10 15 20 25

3

4. HDI.DE Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 22.29, the valuation of HDI can be described as rather expensive.
  • Compared to the rest of the industry, the Price/Earnings ratio of HDI indicates a somewhat cheap valuation: HDI is cheaper than 65.31% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of HDI to the average of the S&P500 Index (26.77), we can say HDI is valued inline with the index average.
  • HDI is valuated rather expensively with a Price/Forward Earnings ratio of 21.12.
  • HDI's Price/Forward Earnings is on the same level as the industry average.
  • HDI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.75, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 22.29
Fwd PE 21.12
HDI.DE Price Earnings VS Forward Price EarningsHDI.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • HDI's Enterprise Value to EBITDA is on the same level as the industry average.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as HDI.
Industry RankSector Rank
P/FCF 25.81
EV/EBITDA 14.77
HDI.DE Per share dataHDI.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HDI does not grow enough to justify the current Price/Earnings ratio.
  • The excellent profitability rating of HDI may justify a higher PE ratio.
PEG (NY)4.01
PEG (5Y)5.23
EPS Next 2Y6.91%
EPS Next 3Y7.65%

5

5. HDI.DE Dividend Analysis

5.1 Amount

  • HDI has a Yearly Dividend Yield of 2.74%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 1.29, HDI pays a bit more dividend than its industry peers.
  • HDI's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
Industry RankSector Rank
Dividend Yield 2.74%

5.2 History

  • On average, the dividend of HDI grows each year by 8.96%, which is quite nice.
Dividend Growth(5Y)8.96%
Div Incr Years7
Div Non Decr Years7
HDI.DE Yearly Dividends per shareHDI.DE Yearly Dividends per shareYearly Dividends per share 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6 8

5.3 Sustainability

  • 64.65% of the earnings are spent on dividend by HDI. This is not a sustainable payout ratio.
  • HDI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP64.65%
EPS Next 2Y6.91%
EPS Next 3Y7.65%
HDI.DE Yearly Income VS Free CF VS DividendHDI.DE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 5B 10B 15B
HDI.DE Dividend Payout.HDI.DE Dividend Payout, showing the Payout Ratio.HDI.DE Dividend Payout.PayoutRetained Earnings

HDI.DE Fundamentals: All Metrics, Ratios and Statistics

HOME DEPOT INC

FRA:HDI (4/30/2026, 7:00:00 PM)

279.95

+5.95 (+2.17%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Industry Strength18.01
Industry Growth14.91
Earnings (Last)02-24
Earnings (Next)05-19
Inst Owners74.36%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap278.84B
Revenue(TTM)164.68B
Net Income(TTM)14.16B
Analysts76.09
Price Target348.72 (24.57%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.74%
Yearly Dividend7.86
Dividend Growth(5Y)8.96%
DP64.65%
Div Incr Years7
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.72%
Min EPS beat(2)-5.4%
Max EPS beat(2)3.96%
EPS beat(4)1
Avg EPS beat(4)-2.22%
Min EPS beat(4)-5.4%
Max EPS beat(4)3.96%
EPS beat(8)1
Avg EPS beat(8)-2.03%
EPS beat(12)2
Avg EPS beat(12)-1.64%
EPS beat(16)3
Avg EPS beat(16)-0.92%
Revenue beat(2)0
Avg Revenue beat(2)-2.52%
Min Revenue beat(2)-2.71%
Max Revenue beat(2)-2.32%
Revenue beat(4)0
Avg Revenue beat(4)-2.42%
Min Revenue beat(4)-3.08%
Max Revenue beat(4)-1.56%
Revenue beat(8)0
Avg Revenue beat(8)-2.27%
Revenue beat(12)0
Avg Revenue beat(12)-2.51%
Revenue beat(16)1
Avg Revenue beat(16)-2.07%
PT rev (1m)1.71%
PT rev (3m)1.12%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.96%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.31%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.02%
Valuation
Industry RankSector Rank
PE 22.29
Fwd PE 21.12
P/S 1.98
P/FCF 25.81
P/OCF 19.99
P/B 25.47
P/tB N/A
EV/EBITDA 14.77
EPS(TTM)12.56
EY4.49%
EPS(NY)13.26
Fwd EY4.73%
FCF(TTM)10.85
FCFY3.87%
OCF(TTM)14
OCFY5%
SpS141.24
BVpS10.99
TBVpS-17.03
PEG (NY)4.01
PEG (5Y)5.23
Graham Number55.7277 (-80.09%)
Profitability
Industry RankSector Rank
ROA 13.47%
ROE 110.48%
ROCE 28.75%
ROIC 20.64%
ROICexc 21.01%
ROICexgc 36.96%
OM 12.68%
PM (TTM) 8.6%
GM 33.32%
FCFM 7.68%
ROA(3y)16.22%
ROA(5y)18.78%
ROE(3y)594.65%
ROE(5y)N/A
ROIC(3y)25.05%
ROIC(5y)29.93%
ROICexc(3y)26.13%
ROICexc(5y)31.4%
ROICexgc(3y)41.07%
ROICexgc(5y)45.33%
ROCE(3y)33.48%
ROCE(5y)39.89%
ROICexgc growth 3Y-7.04%
ROICexgc growth 5Y-4.98%
ROICexc growth 3Y-16.59%
ROICexc growth 5Y-11.68%
OM growth 3Y-6%
OM growth 5Y-3.74%
PM growth 3Y-7.52%
PM growth 5Y-2.47%
GM growth 3Y-0.21%
GM growth 5Y-0.38%
F-Score4
Asset Turnover1.57
Health
Industry RankSector Rank
Debt/Equity 3.97
Debt/FCF 4.41
Debt/EBITDA 2.03
Cap/Depr 89.27%
Cap/Sales 2.23%
Interest Coverage 250
Cash Conversion 65.27%
Profit Quality 89.33%
Current Ratio 1.06
Quick Ratio 0.26
Altman-Z N/A
F-Score4
WACC8.2%
ROIC/WACC2.52
Cap/Depr(3y)93.76%
Cap/Depr(5y)95.16%
Cap/Sales(3y)2.18%
Cap/Sales(5y)2.04%
Profit Quality(3y)106.03%
Profit Quality(5y)94.11%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.47%
EPS 3Y-4.12%
EPS 5Y4.26%
EPS Q2Q%-9.93%
EPS Next Y5.56%
EPS Next 2Y6.91%
EPS Next 3Y7.65%
EPS Next 5Y7.18%
Revenue 1Y (TTM)3.24%
Revenue growth 3Y1.52%
Revenue growth 5Y4.51%
Sales Q2Q%-3.79%
Revenue Next Year3.95%
Revenue Next 2Y4.02%
Revenue Next 3Y4.16%
Revenue Next 5Y3.81%
EBIT growth 1Y-2.95%
EBIT growth 3Y-4.57%
EBIT growth 5Y0.6%
EBIT Next Year19.55%
EBIT Next 3Y10.54%
EBIT Next 5Y7.64%
FCF growth 1Y-22.54%
FCF growth 3Y3.23%
FCF growth 5Y-5.04%
OCF growth 1Y-17.59%
OCF growth 3Y3.76%
OCF growth 5Y-2.82%

HOME DEPOT INC / HDI.DE Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for HOME DEPOT INC?

ChartMill assigns a fundamental rating of 5 / 10 to HDI.DE.


Can you provide the valuation status for HOME DEPOT INC?

ChartMill assigns a valuation rating of 3 / 10 to HOME DEPOT INC (HDI.DE). This can be considered as Overvalued.


How profitable is HOME DEPOT INC (HDI.DE) stock?

HOME DEPOT INC (HDI.DE) has a profitability rating of 8 / 10.


What is the valuation of HOME DEPOT INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for HOME DEPOT INC (HDI.DE) is 22.29 and the Price/Book (PB) ratio is 25.47.


How financially healthy is HOME DEPOT INC?

The financial health rating of HOME DEPOT INC (HDI.DE) is 3 / 10.