Home Improvement · NYSE
Current Price
$339.03
Intrinsic Value
Use the calculator below to estimate
Run a full DCF analysis on The Home Depot, Inc. with auto-filled fundamentals, adjustable assumptions, and sensitivity heatmap.
The Home Depot, Inc. operates as a home improvement retailer. It operates The Home Depot stores that sell various building materials, home improvement products, lawn and garden products, and décor products, as well as facilities maintenance, repair, and operations products The company also offers installation services for flooring, cabinets and cabinet makeovers, countertops, furnaces and central air systems, and windows. In addition, it provides tool and equipment rental services. The company primarily serves homeowners; and professional renovators/remodelers, general contractors, maintenance professionals, handymen, property managers, building service contractors, and specialty tradesmen, such as electricians, plumbers, and painters. It also sells its products through websites, including homedepot.com; blinds.com, an online site for custom window coverings; and thecompanystore.com, an online site for textiles and décor products. As of December 31, 2021, the company operated 2,317 stores in the United States. The Home Depot, Inc. was incorporated in 1978 and is based in Atlanta, Georgia.
ROIC (TTM)
19.0%
ROE (TTM)
130.0%
FCF Yield
3.75%
Based on trailing twelve-month data, HD shows a free cash flow per share of N/A and a ROIC of 19.0%, key inputs for stock valuation using the DCF method. The P/FCF ratio of N/A and FCF yield of 3.75% are important context metrics when evaluating HD's stock valuation relative to peers.
The intrinsic value of HD depends on your assumptions about future growth rate, discount rate (WACC), and terminal value. Use MiniValuator's free DCF stock valuation calculator to estimate it with your own assumptions and see the sensitivity analysis heatmap.
Whether HD is undervalued depends on your DCF assumptions. If the calculated intrinsic value is significantly above the current market price, it may be undervalued. The margin of safety indicates the degree of undervaluation. Run a full stock valuation on MiniValuator to find out.
You can value HD using MiniValuator's DCF stock valuation calculator: enter the ticker, review auto-filled fundamentals, adjust growth rate and discount rate assumptions, then get an instant intrinsic value with sensitivity heatmap.
DCF (Discounted Cash Flow) stock valuation estimates a company's intrinsic value by discounting projected future free cash flows back to their present value. For HD, you input expected growth rates and a discount rate (WACC), and the model calculates what the stock should be worth today based on its future cash generation.
WACC (Weighted Average Cost of Capital) is the discount rate used in HD stock valuation. A higher WACC lowers the intrinsic value estimate, while a lower WACC raises it. Use MiniValuator's sensitivity heatmap to see how different WACC assumptions impact the HD DCF valuation result.
