The Home Depot, Inc.
HD Consumer Cyclical Home Improvement Retail
The Home Depot, Inc.’s revenue for fiscal 2026 (year ended January 2026) was $164.7 billion, up 3.24% from fiscal 2025. In the quarter to July 2026, revenue grew 5.71%, EPS grew 4.36%, free cash flow grew 21.0% and total debt rose 1.11%, each against the same quarter a year earlier. Member of the S&P 500 and Dow Jones; dividend growth for twenty-five consecutive years.
Follow HD
The Home Depot, Inc. (HD) Altman Z-score
The Home Depot, Inc.'s Altman Z-score for fiscal 2026 is 5.92, in the safe zone (above 2.99).
Altman Z-score, annual
Embed this chart
Annual newest first
| Period | Altman Z-score | Change (points) |
|---|---|---|
| FY2026 | 5.92 | (0.55) |
| FY2025 | 6.48 | (0.91) |
| FY2024 | 7.38 | 0.08 |
| FY2023 | 7.31 | (0.33) |
| FY2022 | 7.64 | 1.07 |
| FY2021 | 6.56 | (0.81) |
| FY2020 | 7.37 | (0.51) |
| FY2019 | 7.88 | (0.10) |
| FY2018 | 7.98 | 0.86 |
| FY2017 | 7.12 | 0.23 |
How fiscal 2026’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Working capital / total assets | 0.02 | — | 0.02 | |
| Retained earnings / total assets | 0.90 | — | 1.26 | |
| EBIT / total assets | 0.20 | — | 0.66 | |
| Market value of equity / total liabilities | 4.03 | — | 2.42 | |
| Sales / total assets | 1.57 | — | 1.57 | |
| Altman Z-score | Safe zone | 5.92 | ||
| Z″ Variant for non-manufacturing and asset-light companies (drops the sales/assets term, uses book equity) | Safe zone | 4.54 | ||
How the Altman Z-score works
Z = 1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets (Altman, 1968). The market value of equity is the close on the last trading day of the fiscal year times weighted basic shares.
Z″ = 6.56 × working capital ÷ total assets + 3.26 × retained earnings ÷ total assets + 6.72 × EBIT ÷ total assets + 1.05 × book equity ÷ total liabilities (Altman, Hartzell and Peck, 1995), the variant for non-manufacturing and asset-light companies.
| Zone | Z | Z″ |
|---|---|---|
| Safe zone | above 2.99 | above 2.60 |
| Grey zone | 1.81–2.99 | 1.10–2.60 |
| Distress zone | below 1.81 | below 1.10 |
Not worked out for banks, insurers and REITs, whose balance sheets the model does not describe, nor when a figure is missing or there is no share price in the week to the fiscal year end.
Altman Z-score against peers
| Company | Altman Z-score |
|---|---|
| HD The Home Depot, Inc. | 5.9× |
| LOW Lowe's Companies, Inc. compare | 3.4× |
| HVT Haverty Furniture Companies, Inc. compare | 3.1× |
| FND Floor & Decor Holdings, Inc. compare | 2.9× |
| LIVE Live Ventures Incorporated compare | 1.7× |
| TTSH Tile Shop Hldgs, Inc. compare | 1.6× |
| HVT.A Haverty Furniture Companies, Inc. compare | — |
What Altman Z-score is
The Altman Z-Score weighs working capital, retained earnings, operating profit, market value and sales against assets and debts to gauge the risk of distress.
1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets
More on HD
- Revenue
- Net income
- EPS (diluted)
- EBITDA
- Free cash flow
- Operating cash flow
- Gross margin
- Operating margin
- Net margin
- Free cash flow margin
- P/E ratio
- P/S ratio
- P/B ratio
- Price to free cash flow
- EV/EBITDA
- EV/Sales
- EV/FCF
- Return on equity
- Return on assets
- Return on invested capital
- Debt to equity
- Current ratio
- Total debt
- Shares outstanding
- Book value per share
- Revenue growth
- Piotroski F-score
- Beneish M-score
- The full statement