HDHome Depot (The)

$290.32-29% 1Y
Latest close: a new 52-week lowSep 28, 2026what changed →

RyuScore

Seven criteria, each scored 0 to 100 on a published scale, weighted into one number.

RyuScore 72 out of 100, Above average
Today's price. Only valuation depends on it.

Above average. Home Depot (The) scores higher than 78% of the 1,794 companies Ryufin scores.

Carried by valuation and return on capital, held back by return on new capital.

Consumer Cyclical median 67 · all companies 57

How the score has moved

At each fiscal year end, from the reports and price of the time
84
83
83
79
72
70
72
202020212022202320242025today

The biggest move was down 7 points from 2023 to 2024, mostly valuation.

Valuation

26% of the score

72median 56

Home Depot (The) is valued at 17.5x its operating profit before acquisition amortisation (EBITA), including debt: an ordinary multiple.

60x
50x
35x
25x
18x
12x
8x
17.5x
Full points at 8x or less, none from 60xfull points

Return on capital

18% of the score

100median 34

Over 7 years the business earned 32% a year after tax on the capital it uses.

2%
8%
15%
25%
32%
None at 2% or less, full points from 25%full points
Return on capital by year
7 years agolatest 21%

Return on new capital

16% of the score

33median 49

For every dollar of operating profit earned over 6 years, yearly profit grew by 1 cents. New capital earned 1.6%, and 39% of profit went back into the business.

-5%
12%
0.6%
None at minus 5 cents, full points from 12 centsfull points

Capital allocation

14% of the score

73median 64

How management spends the money: shares bought back or issued, and whether assets grow faster than the business they serve.

Share countDown 1.6% a year over 5 years: buybacks
82
5%
-3%
-1.6%
0 pointsfull points
Assets against salesAssets grew 8.3% a year, sales 4.5%
59
12%
-2%
3.8%
0 pointsfull points

Cycle position

12% of the score

82median 62

Today's operating margin of 12% is 0.86x its normal 14%: below its usual level, with room to recover. Normal is half the 10 year median, half the last four years, so a margin that has held is not taken for a peak.

2x
1.5x
1x
0.7x
0.9x
A trough earns points, a peak costs themfull points
Operating margin by year, against its normal level
10 years agonow 12%

Balance sheet

8% of the score

65median 50

What the debt weighs against the profit that has to carry it.

Net debt to EBITDA2.1x a year of EBITDA
61
4.5x
0.5x
2.1x
0 pointsfull points
Interest coverOperating profit covers interest 9x
69
1.5x
12x
8.7x
0 pointsfull points

Earnings quality

6% of the score

75median 90

Whether the reported profit arrives as cash, and whether the accounts show the usual signs of stretching.

Cash against profitOperating cash flow was 1.30x profit over 3 years
100
0.7x
1x
1.3x
1.3x
0 pointsfull points
AccrualsCash ran ahead of profit by 2.2% of assets
71
8%
0%
-8%
-2.2%
0 pointsfull points
Beneish M-score-2.15
54
-1.50
-1.78
-2.22
-3.00
-2.15
0 pointsfull points

How the RyuScore works

Each criterion earns 0 to 100 points on the scale drawn under it, and the RyuScore is their average weighted 26, 18, 16, 14, 12, 8 and 6. Scales bend in the company's favour between their ends, so an ordinary figure is never already near zero. Where a criterion cannot be measured from the filings it is taken out and the remaining weights scale up; a company needs 60% of the weight covered, and always a price, to get a score.

Built from the company's annual and quarterly filings with the SEC and today's share price. Banks, insurers and property trusts are not scored: their debt is their raw material, so these yardsticks mean something else there. Figures as of 2026-08-02, latest annual report FY2025.