The Home Depot, Inc. (HD) Stock

The Home Depot, Inc. (HD) is a Consumer Discretionary stock trading at $332.99 (as of 2026-07-20), with a market capitalization of $331.66B and a trailing P/E of 23.7. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

The Home Depot, Inc. is a home improvement retailer offering products for building materials, home improvement, lawn and garden, décor, and facilities maintenance and repair, along with installation services for items such as flooring and cabinetry, and tool and equipment rental. It sells through stores and websites, serving homeowners and a range of professional trades and contractors.

Understand The Home Depot, Inc.: how it makes money

The Home Depot sells home improvement products and building materials through its stores, and it also offers installation services and tool and equipment rentals, earning money from product sales plus service and rental revenues.

HD’s profit model is primarily driven by selling building and home improvement merchandise through its large store network, with demand support from its professional customer base (Pro share of sales 45%) and execution efficiency tied to how online orders flow through stores (Online order fulfillment through stores 45%).

Revenue by segment (latest quarter)
Net sales$41.8B

Business quality (Solid): The snapshot includes a clean company-level net sales figure, but it provides only a single segment line item, so segment-level drivers cannot be isolated. The operational focus is on store-based execution metrics, pro mix, and comparable sales.

Valuation: At 24× earnings, HD trades 24% above the Retail average (19×). Note: one-time items can distort reported P/E.

Bull case

  • Pro mix is meaningful: Pro share of sales is 45%, highlighting that a large portion of demand comes from professional renovators/remodelers and general contractors.
  • Store-based online fulfillment supports scale: Online order fulfillment through stores is 45%, indicating a model where the physical footprint helps serve online orders.
  • Big-ticket category shows positive sales: Big ticket sales over one thousand dollars is 2.3% on a comparable basis, suggesting continued strength in higher-value purchases.

Bear case

  • Comparable sales growth is modest: Comparable sales (comps) are 0.4%, so near-term upside may be limited unless demand improves further.
  • Big-ticket transaction growth lags sales growth: Big ticket comparable transactions over one thousand dollars is 0.8%, below big ticket comparable sales over one thousand dollars (2.3%), which can indicate that fewer customers are driving higher sales totals.
  • Execution depends on store network dynamics: Because online orders are fulfilled through stores (Online order fulfillment through stores 45%), store-level availability and throughput matter to how effectively online demand converts into sales.
Valuation — source: SEC EDGAR (first-party)
Price$332.99
Market Cap$331.66B
P/E Ratio23.7
EV / EBITDA13.6
Price / Book23.91
Price / Sales1.99
FCF Yield4.3%
DCF Value (model)$168.79
DCF Upside vs Price-49.3%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$164.68B
Net Margin8.6%
Revenue Growth (YoY)4.8%
EPS Growth (YoY)-4.3%
FCF Growth (YoY)47.4%
Financial Health — source: SEC EDGAR
Altman Z-Score5.66 (safe)
Piotroski F-Score4/9 (moderate)
Valuation vs Sector & Industry
Stock P/E23.7
Sector P/E (Consumer Discretionary)21.6
Industry P/E (Retail)19.1
vs Sector9.8%
vs Industry23.8%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Insider Sells (12mo)9
Top Institutional HolderVANGUARD GROUP INC ($34.28B)
Institutional Holders Tracked10
Congressional Trades (recent)10
Company
SectorConsumer Discretionary
IndustryRetail
CEOEdward Decker
Employees470,100
CountryUS
IPO Date1981-09-22

Related Companies (Business model: Brick-and-Mortar Retail (incl. Omnichannel); 8 closest by market cap; US-domiciled)

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HD earnings history · HD institutional & insider holders · HD KPIs & operating metrics · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-07-20.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.