HD P/E Ratio Analysis
Higher than 0% of CONSUMER CYCLICAL sector peers
Updated 963h ago·SEC filings & market data
Key Takeaway
The P/E ratio compares a stock’s price to its annual earnings per share; at 23.2x, Home Depot trades directly at the sector median of 23.2x, meaning a 0th percentile rank among consumer cyclical peers (every tracked peer matches or exceeds this multiple).
Sector Performance
0th percentileHD
23.3x
Sector Median
23.3x
Sector Avg
23.3x
Prior Period
23.6x(Aug 2026)
Deep Analysis
The P/E ratio compares a stock’s price to its annual earnings per share; at 23.2x, Home Depot trades directly at the sector median of 23.2x, meaning a 0th percentile rank among consumer cyclical peers (every tracked peer matches or exceeds this multiple).
The ratio declined 1.4% quarter over quarter from 23.6x, with no year-over-year change or eight-quarter trend available. A valuation exactly in line with the sector median combined with a modest recent contraction implies fair pricing with limited downside from multiple compression, but no margin of safety. This supports the cautious overall verdict because the metric shows neither a compelling discount nor a durable re-rating catalyst.
Frequently Asked Questions
What does the P/E Ratio tell investors about HD?
Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.
How is the P/E Ratio calculated?
P/E Ratio is calculated as: Price / EPS.
How does HD's P/E Ratio compare to its sector?
HD's P/E Ratio of 23.3x compares to a CONSUMER CYCLICAL sector median of 23.3x, placing it in the 0th percentile.
Learn More About P/E Ratio
The Formula
Price / EPS
Why It Matters
Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.
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23.3x
Sector Median
23.3x
Sector Avg
23.3x
How HD's P/E Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.