The Home Depot, Inc. (HD) Stock Analysis
Last updated Sep 8, 2026
Health Check
Last analyzed Sep 7, 2026
- Financial Health 65
- Profitability 50
- Business Quality 65
- Balance Sheet 55
- Cash Flow 45
Why this rating?
Health 57/100 — Acceptable
Entry timing is weak right now. Quality may be fine; the setup is not.
Company overview
The Home Depot, Inc. (HD) is a Home Improvement Retail company in the Consumer Cyclical sector. Compound Radar rates The Home Depot, Inc. 57/100 (Acceptable) due to solid business quality, steady revenue growth, and manageable leverage.
Investment profile
- Quality Moderate
- Growth Moderate
- Balance Sheet Adequate
- Valuation Fair
Financial highlights
Valuation
- P/E 21.95
- Forward P/E 19.56
- PEG 1.79
- EV/Revenue 2.26
Profitability
- Revenue Growth 5.7%
- Gross Margin 32.8%
- Operating Margin 12.9%
- Net Margin 8.4%
- ROE 104.3%
Financial strength
- Cash $2.08B
- Debt $63.19B
- Net Cash $-61.10B
- Free Cash Flow $12.65B
- Current Ratio 1.08
Similar companies
Peers in Home Improvement Retail, ranked by Financial Health.
Latest quoted price for the name. Helps anchor the setup in today’s market level.
Health Entry- Lowe's Companies, Inc. Home Improvement Retail LOW$200.80 60 Health 60 / 100
Solid fundamentals with some trade-offs across our health dimensions.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
- Floor & Decor Holdings, Inc. Home Improvement Retail FND$47.92 53 Health 53 / 100
Weaker fundamentals relative to higher-quality names in the universe.
Wait WaitEntry timing is weak right now. Quality may be fine; the setup is not.
FAQ
How Compound Radar scores and tracks The Home Depot, Inc. (HD).