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The Home Depot (HD) Shiller PE Ratio

: 28.30 (As of Today)
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As of today (2024-04-20), The Home Depot's current share price is $335.36. The Home Depot's E10 for the quarter that ended in Jan. 2024 was $11.85. The Home Depot's Shiller PE Ratio for today is 28.30.

The historical rank and industry rank for The Home Depot's Shiller PE Ratio or its related term are showing as below:

HD' s Shiller PE Ratio Range Over the Past 10 Years
Min: 24.31   Med: 39   Max: 53.27
Current: 28.3

During the past years, The Home Depot's highest Shiller PE Ratio was 53.27. The lowest was 24.31. And the median was 39.00.

HD's Shiller PE Ratio is ranked worse than
70.61% of 558 companies
in the Retail - Cyclical industry
Industry Median: 16.83 vs HD: 28.30

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

The Home Depot's adjusted earnings per share data for the three months ended in Jan. 2024 was $2.820. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $11.85 for the trailing ten years ended in Jan. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


The Home Depot Shiller PE Ratio Historical Data

The historical data trend for The Home Depot's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

The Home Depot Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Shiller PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 38.94 39.25 42.17 30.70 29.79

The Home Depot Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Shiller PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 30.70 27.37 29.37 24.34 29.79

Competitive Comparison

For the Home Improvement Retail subindustry, The Home Depot's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


The Home Depot Shiller PE Ratio Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, The Home Depot's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where The Home Depot's Shiller PE Ratio falls into.



The Home Depot Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

The Home Depot's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=335.36/11.85
=28.30

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The Home Depot's E10 for the quarter that ended in Jan. 2024 is calculated as:

For example, The Home Depot's adjusted earnings per share data for the three months ended in Jan. 2024 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Jan. 2024 (Change)*Current CPI (Jan. 2024)
=2.82/129.4194*129.4194
=2.820

Current CPI (Jan. 2024) = 129.4194.

The Home Depot Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201404 1.000 100.023 1.294
201407 1.520 100.520 1.957
201410 1.150 100.176 1.486
201501 1.050 98.604 1.378
201504 1.210 99.824 1.569
201507 1.730 100.691 2.224
201510 1.350 100.346 1.741
201601 1.170 99.957 1.515
201604 1.440 100.947 1.846
201607 1.970 101.524 2.511
201610 1.600 101.988 2.030
201701 1.440 102.456 1.819
201704 1.670 103.167 2.095
201707 2.250 103.278 2.820
201710 1.840 104.070 2.288
201801 1.520 104.578 1.881
201804 2.080 105.708 2.547
201807 3.050 106.324 3.713
201810 2.510 106.695 3.045
201901 2.090 106.200 2.547
201904 2.270 107.818 2.725
201907 3.170 108.250 3.790
201910 2.530 108.577 3.016
202001 2.280 108.841 2.711
202004 2.080 108.173 2.489
202007 4.020 109.318 4.759
202010 3.180 109.861 3.746
202101 2.650 110.364 3.108
202104 3.860 112.673 4.434
202107 4.530 115.183 5.090
202110 3.920 116.696 4.347
202201 3.210 118.619 3.502
202204 4.090 121.978 4.340
202207 5.050 125.002 5.228
202210 4.240 125.734 4.364
202301 3.300 126.223 3.384
202304 3.820 127.992 3.863
202307 4.650 128.974 4.666
202310 3.810 129.810 3.799
202401 2.820 129.419 2.820

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


The Home Depot  (NYSE:HD) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


The Home Depot Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of The Home Depot's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


The Home Depot (HD) Business Description

Address
2455 Paces Ferry Road, Atlanta, GA, USA, 30339
Home Depot is the world's largest home improvement specialty retailer, operating more than 2,300 warehouse-format stores offering more than 30,000 products in store and 1 million products online in the United States, Canada, and Mexico. Its stores offer numerous building materials, home improvement products, lawn and garden products, and decor products and provide various services, including home improvement installation services and tool and equipment rentals. The acquisition of distributor Interline Brands in 2015 allowed Home Depot to enter the maintenance, repair, and operations business, which has been expanded through the tie-up with HD Supply (2020). Moreover, the additions of the Company Store brought textile exposure to the lineup, while Redi Carpet added multifamily flooring.
Executives
William D Bastek officer: EVP, Merchandising 2455 PACES FERRY RD., SE, C-20, ATLANTA GA 30339
Ann Marie Campbell officer: EVP - U.S. Stores 2455 PACES FERRY ROAD, ATLANTA GA 30339
Kimberly R Scardino officer: SVP-Finance, CAO & Controller 108 WILMOT ROAD, DEERFIELD IL 60015
Richard V Mcphail officer: EVP & CFO 2455 PACES FERRY RD SE, ATLANTA GA 30339
Timothy A. Hourigan officer: EVP - Human Resources 2455 PACES FERRY RD, SE, ATLANTA GA 30339
Fahim Siddiqui officer: EVP and CIO 2455 PACES FERRY RD., SE, ATLANTA GA 30339
Teresa Wynn Roseborough officer: EVP, Gen. Counsel & Corp. Sec. 2455 PACES FERRY ROAD NW, C-20, ATLANTA GA 30339
Hector A Padilla officer: EVP - Outside Sales & Service 2455 PACES FERRY RD., SE, ATLANTA GA 30339
Jeffrey G Kinnaird officer: EVP - Merchandising 2455 PACES FERRY RD., SE, C-20 LEGAL AFFAIRS, ATLANTA GA 30339
Edward P. Decker officer: EVP, Merchandising 2455 PACES FERRY RD NW, C-20, ATLANTA X1 30339
Matt Carey officer: EVP & CIO 11216 WAPLES MILL ROAD SUITE 100, FAIRFAX VA 22030
Paula Santilli director PEPSICO, INC., 700 ANDERSON HILL ROAD, PURCHASE NY 10577
Becker Caryn Seidman director 65 EAST 55TH STREET, 17TH FLOOR, NEW YORK NY 10022
John A. Deaton officer: EVP - Supply Chain & Prod. Dev 2455 PACES FERRY RD., SE, ATLANTA GA 30339
Craig A Menear director, officer: Chairman & CEO 1436 PEACHTREE BATTLE AVENUE, ATLANTA GA 30327