The Home Depot (LTS:0R1G) Cyclically Adjusted PS Ratio: (As of Aug. 18, 2026)

Author: Vera Yuan Vera Yuan
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Director of Data and Quant Analytics at GuruFocus
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Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

LTS:0R1G The Home Depot Inc LTS:0R1G
79 GF Score
Price $337.12
GF Value $382.29
Valuation Modestly Undervalued
! 3 Warning Signs
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What is The Home Depot Cyclically Adjusted PS Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


The Home Depot  (LTS:0R1G) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


The Home Depot Cyclically Adjusted PS Ratio Related Terms


The Home Depot Cyclically Adjusted PS Ratio Historical Data

* Premium members only.

The historical data trend for The Home Depot's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The Home Depot Cyclically Adjusted PS Ratio Chart

The Home Depot Annual Data
Trend Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25 Jan26
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.81 2.90 2.86 3.06 2.58

The Home Depot Quarterly Data
Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26 Jul26
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.61 2.65 2.58 2.19 0.00

LTS:0R1G vs LOW, FND, HVT: Cyclically Adjusted PS Ratio Comparison

For the Home Improvement Retail subindustry, The Home Depot's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


The Home Depot Cyclically Adjusted PS Ratio vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, The Home Depot's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where The Home Depot's Cyclically Adjusted PS Ratio falls into.


LTS:0R1G
79GF Score
The Home Depot Inc LTS:0R1G
Cyclically Adjusted PS Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

The Home Depot Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

The Home Depot's Cyclically Adjusted Revenue per Share for the quarter that ended in Jul. 2026 is calculated as:

For example, The Home Depot's adjusted Revenue per Share data for the three months ended in Jul. 2026 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Jul. 2026 (Change)*Current CPI (Jul. 2026)
=48.053/333.9180*333.9180
=48.053

Current CPI (Jul. 2026) = 333.9180.

The Home Depot Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201610 18.840 241.729 26.025
201701 18.353 242.839 25.236
201704 19.840 244.524 27.093
201707 23.640 244.786 32.248
201710 21.317 246.663 28.858
201801 20.483 247.867 27.594
201804 21.543 250.546 28.712
201807 26.513 252.006 35.131
201810 23.052 252.885 30.439
201901 23.611 251.712 31.322
201904 23.853 255.548 31.168
201907 28.061 256.571 36.520
201910 24.884 257.346 32.288
202001 23.697 257.971 30.673
202004 26.240 256.389 34.175
202007 35.332 259.101 45.534
202010 31.109 260.388 39.894
202101 29.927 261.582 38.203
202104 34.884 267.054 43.618
202107 38.718 273.003 47.357
202110 34.967 276.589 42.215
202201 34.246 281.148 40.674
202204 37.629 289.109 43.461
202207 42.724 296.276 48.152
202210 37.998 298.012 42.576
202301 35.267 299.170 39.363
202304 36.779 303.363 40.483
202307 42.788 305.691 46.739
202310 37.748 307.671 40.968
202401 35.031 308.417 37.927
202404 36.712 313.548 39.097
202407 43.523 314.540 46.204
202410 40.501 315.664 42.843
202501 39.863 317.671 41.902
202504 40.097 320.795 41.737
202507 45.550 323.048 47.083
202510 41.560 0.000
202601 38.390 325.252 39.413
202604 41.933 333.020 42.046
202607 48.053 333.918 48.053

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

Is The Home Depot (LTS:0R1G) Overvalued in 2026?

Based on GuruFocus' analysis, The Home Depot stock appears to be undervalued. The current stock price of $337.12 is trading 11.8% below its estimated GF Value™ of $382.29. GuruFocus considers The Home Depot to be Modestly Undervalued.

Key valuation signals for LTS:0R1G:

  • Cyclically Adjusted PS Ratio:
  • GF Value™: $382.29 vs. price of $337.12 (11.8% below fair value)
  • GF Score™: 79/100 with 3 warning signs

No single metric tells the full story. See the LTS:0R1G stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


The Home Depot Business Description

Address 2455 Paces Ferry Road, Atlanta, GA, USA, 30339
Home Depot is the world's largest home improvement specialty retailer, operating 2,361 warehouse-format stores offering more than 30,000 products in store and 1 million products online in the US, Canada, and Mexico. Its stores offer building materials, home improvement products, lawn and garden products, and decor products and provide various services, including home improvement installation services and tool and equipment rentals. The acquisition of Interline Brands in 2015 allowed Home Depot to enter the MRO business, which has been expanded through the tie-up with HD Supply (2020). The 2024 tie-up with SRS will help grow professional demand in roofing, pool, and landscaping projects, while the 2025 purchase of GMS will lift building product sales through 1,250 distribution locations.
79GF Score

Get the complete analysis for LTS:0R1G

Cyclically Adjusted PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$337.12
Price
$382.29
GF Value