Aureus
AExcellent

Home Depot, Inc. (The)(HD)

A

Financial data as of Jan 31, 2025Stable · Consumer Discretionary

FCF Margin10.2%Free Cash Flow / Revenue
Cash Conversion133.8%Operating CF / Net Income
Free Cash Flow$16.3B
Revenue$159.5B
Net Cash-$60.6BNet debt position
Debt / FCF3.8xElevated debt burden
Current Ratio1.11Adequate short-term liquidity
YoY FCF Growth-8.9%5 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseB
→
+0.5Highly consistent quarterly FCF
→
FinalA

Analysis Summary

Strengths

  • Healthy FCF margin (10.2%)
  • Excellent cash conversion (134%)
  • Highly consistent quarterly FCF

Concerns

  • Net debt position ($60.6B)

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin10.2%
Net Margin9.3%
Operating CF Margin12.4%
CapEx Ratio2.2%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$60.6BNet debt position
Debt / FCF3.8xElevated debt burden
Current Ratio1.11Adequate liquidity
Debt / Equity9.38High leverage

Quarterly FCF Trend

-8.9% YoYStable (-8.9%)

Free cash flow per quarter

Sector Comparison — Consumer Discretionary

FCF Margin ranked against sector peers

View all →

Detailed Metrics

Company NameHome Depot, Inc. (The)
SectorConsumer Discretionary
Free Cash Flow$16.3B
Revenue$159.5B
Net Income$14.8B
Operating Cash Flow$19.8B
Capital Expenditure$3.5B
FCF Margin10.2%
Cash Conversion Rate133.8%
Net Margin9.3%
Total Debt$62.3B
Total Cash$1.7B
Net Cash-$60.6B
Current Ratio1.11
Debt / Equity9.38
Debt / FCF3.8x
YoY FCF Growth-8.9%
Positive Quarters5 of 5
Trend DirectionStable
Report DateJan 31, 2025
GradeA
Data SourceYahoo Finance