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

FRA:HDI • US4370761029

Current stock price

297.45 EUR
+0.35 (+0.12%)
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.
  • Each year in the past 5 years HDI had a positive operating cash flow.
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 91.38% of its industry peers.
  • HDI's Return On Equity of 110.48% is amongst the best of the industry. HDI outperforms 98.28% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 20.64%, HDI belongs to the top of the industry, outperforming 93.10% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for HDI is significantly above the industry average of 9.79%.
  • 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

  • With an excellent Profit Margin value of 8.60%, HDI belongs to the best of the industry, outperforming 89.66% of the companies in the same industry.
  • HDI's Profit Margin has declined in the last couple of years.
  • HDI's Operating Margin of 12.68% is amongst the best of the industry. HDI outperforms 94.83% of its industry peers.
  • 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.
  • The number of shares outstanding for HDI has been reduced compared to 5 years ago.
  • Compared to 1 year ago, HDI has an improved debt to assets ratio.
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.
  • With a decent Debt to FCF ratio value of 4.41, HDI is doing good in the industry, outperforming 63.79% of the companies in the same industry.
  • HDI has a Debt/Equity ratio of 3.97. This is a high value indicating a heavy dependency on external financing.
  • With a Debt to Equity ratio value of 3.97, HDI is not doing good in the industry: 86.21% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 3.97
Debt/FCF 4.41
Altman-Z N/A
ROIC/WACC2.17
WACC9.52%
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

  • HDI has a Current Ratio of 1.06. This is a normal value and indicates that HDI is financially healthy and should not expect problems in meeting its short term obligations.
  • HDI has a worse Current ratio (1.06) than 67.24% of its industry peers.
  • HDI has a Quick Ratio of 1.06. This is a bad value and indicates that HDI is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Quick ratio of HDI (0.26) is worse than 82.76% 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.
  • The Earnings Per Share has been growing slightly by 4.26% on average over the past years.
  • Looking at the last year, HDI shows a small growth in Revenue. The Revenue has grown by 3.24% in the last year.
  • HDI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.51% yearly.
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 Y5.55%
EPS Next 2Y6.91%
EPS Next 3Y7.68%
EPS Next 5Y7.18%
Revenue Next Year3.95%
Revenue Next 2Y4.02%
Revenue Next 3Y4.15%
Revenue Next 5Y3.81%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • 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 23.37, the valuation of HDI can be described as rather expensive.
  • HDI's Price/Earnings ratio is a bit cheaper when compared to the industry. HDI is cheaper than 67.24% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 25.70. HDI is around the same levels.
  • HDI is valuated rather expensively with a Price/Forward Earnings ratio of 22.14.
  • HDI's Price/Forward Earnings ratio is in line with the industry average.
  • HDI's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.84.
Industry RankSector Rank
PE 23.37
Fwd PE 22.14
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 ratio is in line with the industry average.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of HDI is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 27.04
EV/EBITDA 15.65
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)4.21
PEG (5Y)5.48
EPS Next 2Y6.91%
EPS Next 3Y7.68%

4

5. HDI.DE Dividend Analysis

5.1 Amount

  • HDI has a Yearly Dividend Yield of 2.75%. Purely for dividend investing, there may be better candidates out there.
  • HDI's Dividend Yield is a higher than the industry average which is at 1.34.
  • Compared to an average S&P500 Dividend Yield of 1.89, HDI pays a bit more dividend than the S&P500 average.
Industry RankSector Rank
Dividend Yield 2.75%

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 Years6
Div Non Decr Years6
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 3Y7.68%
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 (3/13/2026, 7:00:00 PM)

297.45

+0.35 (+0.12%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)02-24
Earnings (Next)05-18
Inst Owners74.44%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap296.11B
Revenue(TTM)164.68B
Net Income(TTM)14.16B
Analysts75.65
Price Target342.85 (15.26%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 2.75%
Yearly Dividend8.02
Dividend Growth(5Y)8.96%
DP64.65%
Div Incr Years6
Div Non Decr Years6
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)1.45%
PT rev (3m)-2.7%
EPS NQ rev (1m)-5.96%
EPS NQ rev (3m)-6.93%
EPS NY rev (1m)-0.1%
EPS NY rev (3m)-1.81%
Revenue NQ rev (1m)-0.31%
Revenue NQ rev (3m)-0.58%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.43%
Valuation
Industry RankSector Rank
PE 23.37
Fwd PE 22.14
P/S 2.08
P/FCF 27.04
P/OCF 20.94
P/B 26.69
P/tB N/A
EV/EBITDA 15.65
EPS(TTM)12.73
EY4.28%
EPS(NY)13.44
Fwd EY4.52%
FCF(TTM)11
FCFY3.7%
OCF(TTM)14.2
OCFY4.77%
SpS143.26
BVpS11.15
TBVpS-17.28
PEG (NY)4.21
PEG (5Y)5.48
Graham Number56.5
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
WACC9.52%
ROIC/WACC2.17
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 Y5.55%
EPS Next 2Y6.91%
EPS Next 3Y7.68%
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 3Y4.15%
Revenue Next 5Y3.81%
EBIT growth 1Y-2.95%
EBIT growth 3Y-4.57%
EBIT growth 5Y0.6%
EBIT Next Year19.6%
EBIT Next 3Y10.35%
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.


What is the profitability of HDI stock?

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


What is the expected EPS growth for HOME DEPOT INC (HDI.DE) stock?

The Earnings per Share (EPS) of HOME DEPOT INC (HDI.DE) is expected to grow by 5.55% in the next year.


How sustainable is the dividend of HOME DEPOT INC (HDI.DE) stock?

The dividend rating of HOME DEPOT INC (HDI.DE) is 4 / 10 and the dividend payout ratio is 64.65%.