Williams-SonomaSTU:WM1 -1.64%89 PEG Ratio is 2.31 as of Jul. 03, 2026, which is 55% above its 10-year median of 1.49. GuruFocus rates STU:WM1 with a GF Score™ of 89/100 and a GF Value™ of €150.06 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 413 Retail - Cyclical companies, Williams-Sonoma ranks worse than 67.31% on this metric.
* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for Williams-Sonoma's PEG Ratio or its related term are showing as below:
STU:WM1'
s PEG Ratio Range Over the Past 10 Years
Min: 0.2 Med: 1.49 Max: 6.08
Current: 2.28
During the past 13 years, Williams-Sonoma's highest PEG Ratio was 6.08. The lowest was 0.20. And the median was 1.49.
STU:WM1's PEG Ratio is ranked worse than 67.31% of 413
companies
in the Retail - Cyclical industry
Industry Median: 1.3
vs STU:WM1: 2.28
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
Williams-Sonoma (STU:WM1) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
Williams-Sonoma PEG Ratio Related Terms
Williams-Sonoma PEG Ratio Historical Data
* Premium members only.
The historical data trend for Williams-Sonoma's PEG 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.
For the Specialty Retail subindustry, Williams-Sonoma's PEG Ratio, along with its competitors' market caps and PEG 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.
Williams-Sonoma PEG Ratio vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Williams-Sonoma's PEG Ratio distribution charts can be found below:
* The bar in red indicates where Williams-Sonoma's PEG Ratio falls into.
* 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.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
Williams-Sonoma (STU:WM1) has a PEG Ratio of 2.31 as of Jul. 03, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Williams-Sonoma and its competitors. This is 55% above median its historical median of 1.49. Over the past decade, Williams-Sonoma's PEG Ratio has ranged from 0.20 to 6.08. According to the industry distribution chart, Williams-Sonoma ranks #278 out of 413 companies in the Retail - Cyclical industry, placing it in the top 67.3%.
Is Williams-Sonoma's PEG Ratio too high?
Williams-Sonoma's current PEG Ratio of 2.31 is 55% above median its 10-year median of 1.49. Over the past 10 years, this metric has ranged from a low of 0.20 to a high of 6.08. The Retail - Cyclical industry median PEG Ratio is 1.30. Williams-Sonoma's value of 2.31 is 77.7% above this industry median. Based on the distribution chart, Williams-Sonoma ranks #278 out of 413 companies in the Retail - Cyclical industry, which is below the industry midpoint. Overall, Williams-Sonoma has a GF Score™ of 89/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Williams-Sonoma's PEG Ratio compare to CASY and DKS?
According to the Retail - Cyclical industry distribution chart, Williams-Sonoma ranks #278 out of 413 companies for PEG Ratio. This places Williams-Sonoma in the lower half of its industry. The industry median PEG Ratio is 1.30. Williams-Sonoma's value of 2.31 is 77.7% above this benchmark. Historically, Williams-Sonoma's own PEG Ratio has ranged from 0.20 to 6.08 over the past decade. While the company's 10-year median is 1.49 vs. the industry median of 1.30, Williams-Sonoma has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PEG Ratio for a Retail - Cyclical company?
The median PEG Ratio among Retail - Cyclical companies is 1.30, based on 413 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Williams-Sonoma's current PEG Ratio of 2.31 is 77.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Williams-Sonoma and its competitors. For the Retail - Cyclical industry, the median PEG Ratio is 1.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Williams-Sonoma's current PEG Ratio is 2.31, which is 55% above median its own 10-year median of 1.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Williams-Sonoma stock overvalued right now?
Based on GuruFocus' analysis, Williams-Sonoma (STU:WM1) is currently considered Significantly Overvalued. The stock's GF Value™ is €150.06, compared to a current price of €197.70 — trading 31.7% above its estimated fair value. The current PEG Ratio is 2.31, which is 55% above median its 10-year median of 1.49 and 77.7% above the Retail - Cyclical industry median of 1.30. Williams-Sonoma's overall GF Score™ is 89/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For Williams-Sonoma (STU:WM1), the current PEG Ratio is 2.31 as of Jul. 03, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Williams-Sonoma (STU:WM1) Overvalued in 2026?
Based on GuruFocus' analysis, Williams-Sonoma stock appears to be overvalued.
The current stock price of €197.70 is trading 31.7% above its estimated GF Value™ of €150.06.
GuruFocus considers Williams-Sonoma to be Significantly Overvalued.
Key valuation signals for STU:WM1:
PEG Ratio: 2.31 (55% above median its 10-year median of 1.49)
GF Value™: €150.06 vs. price of €197.70 (31.7% above fair value)
Industry Position: 77.7% above the Retail - Cyclical median (#278 of 413)
No single metric tells the full story. See the STU:WM1 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
With a retail and direct-to-consumer presence, Williams-Sonoma is a player in the nearly $300 billion domestic home category and $450 billion international home market, focused on expanding its exposure in the B2B ($80 billion total addressable market), marketplace, and franchise areas. Namesake Williams-Sonoma (153 stores) offers high-end cooking essentials, while Pottery Barn (180) provides casual home accessories. West Elm (116) is an emerging concept for young professionals, and Rejuvenation (13) offers lighting and house parts. Brand extensions include Pottery Barn Kids and Pottery Barn Teen (43) as well as Mark & Graham and GreenRow. Williams-Sonoma also has a business-to-business team that supports projects that range from residential to large-scale commercial.
89GF Score
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