The Home Depot, Inc. cash flow to debt ratio of 24.98% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

The Home Depot, Inc.'s free cash flow has decreased 22.54% from $16.32B last year to $12.65B, signaling decreasing performance

The Home Depot, Inc.'s debt to equity ratio is 4.18, which means that the company's assets are unhealthy financed, signaling financial risk.

The Home Depot, Inc.'s debt has decreased relative to shareholder equity from 9.38 last year to 4.18 today, signaling strengthened financials

The Home Depot, Inc. has a net debt to EBITDA ratio of 2.63x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

The Home Depot, Inc.'s interest coverage ratio of 8.61 indicates that earnings with good margin can cover interest payments on company debt

The Home Depot, Inc.'s profit margin has decreased (9.38%) in the last year from 9.28% to 8.41%, signaling decreasing performance

The Home Depot, Inc.'s short-term assets of $34.39B exceed its short-term liabilities of $32.42B

The Home Depot, Inc.'s return on assets of 12.99% is higher than the 5.00% threshold, indicating efficient asset utilization

The Home Depot, Inc.'s return on equity of 113.30%, is higher than 15.00%, indicating good performance

The Home Depot, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

The Home Depot, Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

The Home Depot, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

The Home Depot, Inc. has a free cash flow yield of 3.62%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

The Home Depot, Inc.'s yearly earnings has decreased 4.39% since last year from $14.81B to $14.16B, signaling decreasing performance

The Home Depot, Inc.'s yearly revenue has increased 3.24% since last year from $159.51B to $164.68B, signaling increasing performance

ROIC 20.39% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

The Home Depot, Inc.'s 3-year revenue CAGR of 1.52% is positive, indicating growing revenue over the past 3 years

The Home Depot, Inc. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

The Home Depot, Inc. had positive ROE in 4 out of 5 years, indicating consistent and reliable returns on equity

The Home Depot, Inc. is overvalued relative to its fair value price of 55.14 based on Discounted Cash Flow model

The Home Depot, Inc. has an earnings yield of 4.02%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

The Home Depot, Inc. is overvalued relative to its fair value price of 106.48 based on EBITDA multiple model

The Home Depot, Inc. has an EV/EBITDA ratio of 17.04x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

The Home Depot, Inc. is overvalued relative to its fair value price of 320.37 based on Earnings Fair Value model

The Home Depot, Inc. has a PEG-ratio over 1 which is considered overvalued

The Home Depot, Inc. has a price-to-book ratio of 25.13x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

The Home Depot, Inc. has a price-to-sales ratio of 2.09x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue