HD vs. WSM: Home Depot vs. Williams-Sonoma Stock Comparison

November 11, 2026

How do Home Depot (HD) and Williams-Sonoma (WSM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Home Depot (HD) and Williams-Sonoma (WSM) both belong to the Specialty Retail industry, though HD is classified under Home Improvement Retail while WSM falls under Homefurnishing Retail.

Company profile comparison for Home Depot (HD) and Williams-Sonoma (WSM)
Profile Item	HD	WSM
Name	The Home Depot, Inc.	Williams-Sonoma, Inc.
Country/Region	United States	United States
GICS Sector	Consumer Discretionary	Consumer Discretionary
GICS Industry Group	Consumer Discretionary Distribution & Retail	Consumer Discretionary Distribution & Retail
GICS Industry	Specialty Retail	Specialty Retail
GICS Sub-Industry	Home Improvement Retail	Homefurnishing Retail
Market Capitalization	342.68 billion USD	29.92 billion USD
Currency	USD	USD
Exchange	NYSE	NYSE
Listing Date	September 22, 1981	July 7, 1983
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

WSM

GSPC

Home Depot (HD) vs. Williams-Sonoma (WSM), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Home Depot (HD) and Williams-Sonoma (WSM). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Home Depot (HD) and Williams-Sonoma (WSM). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
Total Return (1Y)	-2.13%	34.84%
Total Return (3Y, Annualized)	9.84%	54.88%
Total Return (5Y, Annualized)	1.58%	22.98%

Risk Profile

Drawdown History

WSM

GSPC

Home Depot (HD) vs. Williams-Sonoma (WSM), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Home Depot (HD) and Williams-Sonoma (WSM). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
Volatility (1Y, Annualized)	28.07%	34.01%
Beta (5Y)	0.92	1.48
Max Drawdown (5Y)	-34.73%	-51.92%
Avg. Volume (3M)	4.59M	1.10M

Risk-Adjusted Performance

Risk-Return Positioning

HD and WSM are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
Sharpe Ratio (1Y)	-0.23	0.90
Sortino Ratio (1Y)	-0.35	1.45

Profitability

ROE (TTM)

Both companies show strong equity returns, but Home Depot (HD) at 104.30% is the standout with ROE above its industry range; Williams-Sonoma (WSM) at 54.96% also sits in the top quartile.

HD

Consumer Discretionary Distribution & Retail industry group

104.30%

HD: 104.30%
Max: 62.17%
Q3: 29.44%
Median: 15.69%
Q1: 6.73%
Min: -12.16%

WSM

Consumer Discretionary Distribution & Retail industry group

54.96%

Max: 62.17%
WSM: 54.96%
Q3: 29.44%
Median: 15.69%
Q1: 6.73%
Min: -12.16%

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their ROE against the Consumer Discretionary Distribution & Retail industry group benchmark.

Net Margin (TTM)

Williams-Sonoma (WSM) at 14.73% retains a top-quartile share of revenue as profit, ahead of Home Depot (HD) at 8.41%, which keeps about the industry-typical share.

HD

Consumer Discretionary Distribution & Retail industry group

8.41%

Max: 16.94%
Q3: 8.69%
HD: 8.41%
Median: 3.55%
Q1: 1.14%
Min: -9.41%

WSM

Consumer Discretionary Distribution & Retail industry group

14.73%

Max: 16.94%
WSM: 14.73%
Q3: 8.69%
Median: 3.55%
Q1: 1.14%
Min: -9.41%

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their net margin against the Consumer Discretionary Distribution & Retail industry group benchmark.

Operating Margin (TTM)

Both Home Depot (HD) at 12.86% and Williams-Sonoma (WSM) at 17.27% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

HD

Consumer Discretionary Distribution & Retail industry group

12.86%

Max: 21.45%
HD: 12.86%
Q3: 10.89%
Median: 5.57%
Q1: 2.28%
Min: -7.12%

WSM

Consumer Discretionary Distribution & Retail industry group

17.27%

Max: 21.45%
WSM: 17.27%
Q3: 10.89%
Median: 5.57%
Q1: 2.28%
Min: -7.12%

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their operating margin against the Consumer Discretionary Distribution & Retail industry group benchmark.

Profitability Metrics

Profitability metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
ROE (TTM)	104.30%	54.96%
ROA (TTM)	12.14%	16.64%
Net Margin (TTM)	8.41%	14.73%
Operating Margin (TTM)	12.86%	17.27%
Gross Margin (TTM)	32.80%	45.69%

Growth

Revenue Growth

Both Home Depot (HD) at 3.24% and Williams-Sonoma (WSM) at 1.24% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Home Depot (HD) at -4.56% and Williams-Sonoma (WSM) at 0.57% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
Revenue Growth (YoY)	3.24%	1.24%
Revenue Growth (3Y CAGR)	1.52%	-3.45%
EPS Growth (YoY)	-4.56%	0.57%
EPS Growth (3Y CAGR)	-5.18%	2.70%

Financial Strength

Current Ratio (MRQ)

Both Home Depot (HD) at 1.08 and Williams-Sonoma (WSM) at 1.45 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

HD

Consumer Discretionary Distribution & Retail industry group

1.08

Max: 2.62
Q3: 1.75
Median: 1.35
HD: 1.08
Q1: 1.00
Min: 0.48

WSM

Consumer Discretionary Distribution & Retail industry group

1.45

Max: 2.62
Q3: 1.75
WSM: 1.45
Median: 1.35
Q1: 1.00
Min: 0.48

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their current ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Debt / Equity (MRQ)

Williams-Sonoma (WSM) at 0.71 keeps leverage in the lower quartile, while Home Depot (HD) at 3.80 sits in the higher-leverage quartile.

HD

Consumer Discretionary Distribution & Retail industry group

3.80

Max: 3.93
HD: 3.80
Q3: 2.14
Median: 1.25
Q1: 0.73
Min: 0.01

WSM

Consumer Discretionary Distribution & Retail industry group

0.71

Max: 3.93
Q3: 2.14
Median: 1.25
Q1: 0.73
WSM: 0.71
Min: 0.01

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their debt-to-equity ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
Current Ratio (MRQ)	1.08	1.45
Debt / Equity (MRQ)	3.80	0.71
Net Debt / EBITDA	2.48	0.30

Dividends

Dividend Yield (TTM)

Both Home Depot (HD) at 1.32% and Williams-Sonoma (WSM) at 1.10% pay solid, industry-typical yields, sitting squarely within their peers’ usual range.

HD

Consumer Discretionary Distribution & Retail industry group

1.32%

Max: 5.84%
Q3: 2.50%
HD: 1.32%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

WSM

Consumer Discretionary Distribution & Retail industry group

1.10%

Max: 5.84%
Q3: 2.50%
WSM: 1.10%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their dividend yield against the Consumer Discretionary Distribution & Retail industry group benchmark.

Dividend Payout Ratio (TTM)

Williams-Sonoma (WSM) at 29.13% pays out a band-typical share of earnings, while Home Depot (HD) at 64.80% distributes more than its industry norm — less retained, thinner cover.

HD

Consumer Discretionary Distribution & Retail industry group

64.80%

Max: 72.73%
HD: 64.80%
Q3: 32.44%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

WSM

Consumer Discretionary Distribution & Retail industry group

29.13%

Max: 72.73%
Q3: 32.44%
WSM: 29.13%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their payout ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Dividend Metrics

Dividend metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
Dividend Yield (TTM)	1.32%	1.10%
Dividend Payout Ratio (TTM)	64.80%	29.13%

Valuation

P/E Ratio (TTM)

Home Depot (HD) at 24.04 is near its industry’s usual P/E ratio, while Williams-Sonoma (WSM) at 26.06 sits in the richer quartile — WSM needs stronger growth or earnings quality to justify the premium.

HD

Consumer Discretionary Distribution & Retail industry group

24.04

Max: 40.50
Q3: 24.26
HD: 24.04
Median: 19.23
Q1: 12.64
Min: 4.67

WSM

Consumer Discretionary Distribution & Retail industry group

26.06

Max: 40.50
WSM: 26.06
Q3: 24.26
Median: 19.23
Q1: 12.64
Min: 4.67

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their P/E ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

P/S Ratio (TTM)

Both Home Depot (HD) at 2.03 and Williams-Sonoma (WSM) at 3.74 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

HD

Consumer Discretionary Distribution & Retail industry group

2.03

Max: 4.32
HD: 2.03
Q3: 1.99
Median: 0.70
Q1: 0.26
Min: 0.03

WSM

Consumer Discretionary Distribution & Retail industry group

3.74

Max: 4.32
WSM: 3.74
Q3: 1.99
Median: 0.70
Q1: 0.26
Min: 0.03

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their P/S ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

P/B Ratio (MRQ)

Measured against book value, both Home Depot (HD) at 20.63 and Williams-Sonoma (WSM) at 13.98 look expensive — each P/B ratio sits above its industry’s benchmark range.

HD

Consumer Discretionary Distribution & Retail industry group

20.63

HD: 20.63
Max: 10.96
Q3: 5.26
Median: 2.16
Q1: 1.08
Min: -4.45

WSM

Consumer Discretionary Distribution & Retail industry group

13.98

WSM: 13.98
Max: 10.96
Q3: 5.26
Median: 2.16
Q1: 1.08
Min: -4.45

Home Depot (HD) vs. Williams-Sonoma (WSM): A comparison of their P/B ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Valuation Metrics

Valuation metrics for Home Depot (HD) and Williams-Sonoma (WSM)
Metric	HD	WSM
P/E Ratio (TTM)	24.04	26.06
P/S Ratio (TTM)	2.03	3.74
P/B Ratio (MRQ)	20.63	13.98
Free Cash Flow Yield (TTM)	3.14%	3.57%