HOME DEPOT INC (HDI.DE) Fundamental Analysis & Valuation
FRA:HDI • US4370761029
308.55 EUR
+8.5 (+2.83%)
Last: Mar 10, 2026, 07:00 PM
This HDI.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Taking everything into account, HDI scores 5 out of 10 in our fundamental rating. HDI was compared to 58 industry peers in the Specialty Retail industry. HDI has an excellent profitability rating, but there are concerns on its financial health. While showing a medium growth rate, HDI is valued expensive at the moment.
1. HDI.DE Profitability Analysis
1.1 Basic Checks
- HDI had positive earnings in the past year.
- HDI had a positive operating cash flow in the past year.
- In the past 5 years HDI has always been profitable.
- In the past 5 years HDI always reported a positive cash flow from operatings.
1.2 Ratios
- HDI's Return On Assets of 13.47% is amongst the best of the industry. HDI outperforms 91.38% of its industry peers.
- HDI has a Return On Equity of 110.48%. This is amongst the best in 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.
- HDI had an Average Return On Invested Capital over the past 3 years of 25.05%. This 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 Rank | Sector 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%
1.3 Margins
- HDI's Profit Margin of 8.60% is amongst the best of the industry. HDI outperforms 89.66% of its industry peers.
- In the last couple of years the Profit Margin of HDI has declined.
- HDI has a better Operating Margin (12.68%) than 94.83% of its industry peers.
- HDI's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 33.32%, HDI is in line with its industry, outperforming 46.55% of the companies in the same industry.
- In the last couple of years the Gross Margin of HDI has remained more or less at the same level.
| Industry Rank | Sector 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%
2. HDI.DE Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so HDI is creating value.
- HDI has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 5 years ago, HDI has less shares outstanding
- HDI has a better debt/assets ratio than last year.
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.
- HDI has a better Debt to FCF ratio (4.41) than 63.79% 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 86.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.97 | ||
| Debt/FCF | 4.41 | ||
| Altman-Z | N/A |
ROIC/WACC2.19
WACC9.41%
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.
- 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 82.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.26 |
3. HDI.DE Growth Analysis
3.1 Past
- HDI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.47%.
- 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
- HDI is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.18% yearly.
- The Revenue is expected to grow by 3.81% on average over the next years.
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.
4. HDI.DE Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 24.26, which indicates a rather expensive current valuation of HDI.
- Based on the Price/Earnings ratio, HDI is valued a bit cheaper than 63.79% of the companies in the same industry.
- HDI is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.25, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 22.98 indicates a rather expensive valuation of HDI.
- HDI's Price/Forward Earnings is on the same level as the industry average.
- When comparing the Price/Forward Earnings ratio of HDI to the average of the S&P500 Index (24.39), we can say HDI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.26 | ||
| Fwd PE | 22.98 |
4.2 Price Multiples
- HDI's Enterprise Value to EBITDA ratio is in line with the industry average.
- HDI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.07 | ||
| EV/EBITDA | 15.8 |
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.
- HDI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.37
PEG (5Y)5.69
EPS Next 2Y6.91%
EPS Next 3Y7.68%
5. HDI.DE Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 2.58%, HDI has a reasonable but not impressive dividend return.
- HDI's Dividend Yield is a higher than the industry average which is at 1.32.
- HDI's Dividend Yield is a higher than the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.58% |
5.2 History
- The dividend of HDI is nicely growing with an annual growth rate of 8.96%!
Dividend Growth(5Y)8.96%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- 64.65% of the earnings are spent on dividend by HDI. This is not a sustainable payout ratio.
- The dividend of HDI is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP64.65%
EPS Next 2Y6.91%
EPS Next 3Y7.68%
HDI.DE Fundamentals: All Metrics, Ratios and Statistics
FRA:HDI (3/10/2026, 7:00:00 PM)
308.55
+8.5 (+2.83%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)02-24 2026-02-24/bmo
Earnings (Next)05-18 2026-05-18
Inst Owners74.44%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap307.16B
Revenue(TTM)164.68B
Net Income(TTM)14.16B
Analysts75.65
Price Target342.85 (11.12%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.58% |
Yearly Dividend7.96
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.26 | ||
| Fwd PE | 22.98 | ||
| P/S | 2.16 | ||
| P/FCF | 28.07 | ||
| P/OCF | 21.74 | ||
| P/B | 27.7 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.8 |
EPS(TTM)12.72
EY4.12%
EPS(NY)13.43
Fwd EY4.35%
FCF(TTM)10.99
FCFY3.56%
OCF(TTM)14.19
OCFY4.6%
SpS143.16
BVpS11.14
TBVpS-17.26
PEG (NY)4.37
PEG (5Y)5.69
Graham Number56.46
Profitability
| Industry Rank | Sector 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 Rank | Sector 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
WACC9.41%
ROIC/WACC2.19
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 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%.