Stock Analysis on Net

Home Depot Inc. (NYSE:HD)

Price to FCFE (P/FCFE) 

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Free Cash Flow to Equity (FCFE)

Home Depot Inc., FCFE calculation

US$ in millions

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12 months ended: Feb 2, 2025 Jan 28, 2024 Jan 29, 2023 Jan 30, 2022 Jan 31, 2021 Feb 2, 2020
Net earnings 14,806 15,143 17,105 16,433 12,866 11,242
Net noncash charges 4,203 3,627 3,341 3,261 2,829 2,547
Changes in assets and liabilities, net of acquisition effects 801 2,402 (5,831) (3,123) 3,144 (66)
Net cash provided by operating activities 19,810 21,172 14,615 16,571 18,839 13,723
Capital expenditures (3,485) (3,226) (3,119) (2,566) (2,463) (2,678)
Proceeds from (repayments of) short-term debt, net 316 (1,035) 1,035 (974) (365)
Proceeds from long-term debt, net of discounts 10,010 1,995 6,942 2,979 7,933 3,420
Repayments of long-term debt (1,536) (1,271) (2,491) (1,532) (2,872) (1,070)
Free cash flow to equity (FCFE) 25,115 18,670 14,912 16,487 20,463 13,030

Based on: 10-K (reporting date: 2025-02-02), 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02).

Item Description The company
FCFE Free cash flow to equity is the cash flow available to Home Depot Inc. equity holders after all operating expenses, interest, and principal payments have been paid and necessary investments in working and fixed capital have been made. Home Depot Inc. FCFE increased from 2023 to 2024 and from 2024 to 2025.

Price to FCFE Ratio, Current

Home Depot Inc., current P/FCFE calculation, comparison to benchmarks

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No. shares of common stock outstanding 994,032,168
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions) 25,115
FCFE per share 25.27
Current share price (P) 358.15
Valuation Ratio
P/FCFE 14.18
Benchmarks
P/FCFE, Competitors1
Amazon.com Inc. 75.43
Lowe’s Cos. Inc. 17.87
TJX Cos. Inc. 34.65
P/FCFE, Sector
Consumer Discretionary Distribution & Retail 46.13
P/FCFE, Industry
Consumer Discretionary 32.69

Based on: 10-K (reporting date: 2025-02-02).

1 Click competitor name to see calculations.

If the company P/FCFE is lower then the P/FCFE of benchmark then company is relatively undervalued.
Otherwise, if the company P/FCFE is higher then the P/FCFE of benchmark then company is relatively overvalued.


Price to FCFE Ratio, Historical

Home Depot Inc., historical P/FCFE calculation, comparison to benchmarks

Microsoft Excel
Feb 2, 2025 Jan 28, 2024 Jan 29, 2023 Jan 30, 2022 Jan 31, 2021 Feb 2, 2020
No. shares of common stock outstanding1 994,032,168 991,015,773 1,014,955,506 1,033,349,933 1,077,069,383 1,074,741,592
Selected Financial Data (US$)
Free cash flow to equity (FCFE) (in millions)2 25,115 18,670 14,912 16,487 20,463 13,030
FCFE per share3 25.27 18.84 14.69 15.95 19.00 12.12
Share price1, 4 351.15 378.99 287.97 317.05 292.75 181.76
Valuation Ratio
P/FCFE5 13.90 20.12 19.60 19.87 15.41 14.99
Benchmarks
P/FCFE, Competitors6
Amazon.com Inc. 89.69 84.16 240.95 55.66
Lowe’s Cos. Inc. 18.22 18.03 7.08 13.55 12.28 8.69
TJX Cos. Inc. 28.74 33.59 10.55 19.71
P/FCFE, Sector
Consumer Discretionary Distribution & Retail 53.08 41.58 51.89 59.10 38.09
P/FCFE, Industry
Consumer Discretionary 39.60 30.84 36.19 82.92 32.04

Based on: 10-K (reporting date: 2025-02-02), 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02).

1 Data adjusted for splits and stock dividends.

2 See details »

3 2025 Calculation
FCFE per share = FCFE ÷ No. shares of common stock outstanding
= 25,115,000,000 ÷ 994,032,168 = 25.27

4 Closing price as at the filing date of Home Depot Inc. Annual Report.

5 2025 Calculation
P/FCFE = Share price ÷ FCFE per share
= 351.15 ÷ 25.27 = 13.90

6 Click competitor name to see calculations.

Valuation ratio Description The company
P/FCFE Price to free cash flow to equity is cash valuation indicator of stockholders’ equity. Home Depot Inc. P/FCFE ratio increased from 2023 to 2024 but then decreased significantly from 2024 to 2025.