WSM
Williams-Sonoma, Inc.
$250.02
▲ 1.3%Updated Today 11:30 AM ET
WSM at a glance — five pillars scored 0–100 from real filed financials.
Overall: Favorable · 66/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
▲ Up 41.4% over the last 12 months
Market Cap
$26.75B
P/E
23.42x
Forward P/E (est.)
22.21x
ROE
53.3%
Revenue Growth
1.3%
EPS Growth
5.5%
Profit Margin
13.8%
FCF Yield
7.9%
Debt / Equity
0x
ROIC
60.0%
Interest Coverage
—
Current Ratio
1.33x
Dividend Yield
1.6%
Implied Growth (rev. DCF)
4.9%
Rating Score
66/100
Williams-Sonoma, Inc. (WSM) is a large-cap company in the Homefurnishing Retail industry, part of the Consumer Discretionary sector of the S&P 500, with a market value around $26.75B.
In its latest reported year it generated about $7.81B in revenue and $1.09B in net profit.
Our model rates WSM Favorable (66/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
Evidence of durable competitive advantage in the filed financials (10 years of history).
The filed history looks like a business competitors struggle to attack: high and steady margins, revenue that grows through cycles, and strong returns on capital.
45.1% average over the last 3 years
±3.8 pts around 40.7% across 10 years
grew in 7 of the last 9 year-over-year periods
positive in 10 of 10 years
60.0% latest fiscal year
A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what WSM's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. WSM trades near $250.02, above its 50-day average ($201.56) and 200-day average ($195.46). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 59 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.
Volatility — ATR. Average True Range is the typical daily move. WSM's is $7.87 (~3.1% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month WSM found buyers near $201.64 (support) and sellers near $244.65 (resistance); its 52-week range is $161.76–$244.65. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.8× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
4Y CAGR
-1.4%
Revenue moved from $5.08B in 2017 to $7.81B in 2026, a 4.9% compound annual growth rate. The most recent year was roughly flat (1.3%) year over year. Slower, mature growth is common for established businesses.
Gross Margin
46.2%
Operating Margin
18.1%
Net Margin
13.9%
ROE
53.3%
Williams-Sonoma, Inc. keeps about 13.8% of each sales dollar as net profit, with a 46.2% gross margin and 18.1% operating margin. Return on equity is 53.3% and return on invested capital about 60.0%. Margins are moderate — typical of a competitive but profitable business.
Total Debt
$7.27M
Net Debt
-$644.33M
Net cash position
Net Debt / EBITDA
-0.46x
Debt / Equity
0x
Leverage: debt-to-equity is 0.0x, with a current ratio of 1.3x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $7.27M of total debt against $651.60M of cash.
Operating CF
$1.31B
Free Cash Flow
$1.06B
FCF Margin
13.5%
In the latest year Williams-Sonoma, Inc. produced about $1.31B of operating cash flow and $1.06B of free cash flow after capital spending. That is a free-cash-flow yield of about 7.9% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
Can the payout survive a bad year? Scored from filed cash flow, earnings coverage, and the raise/cut record.
The payout is comfortably covered by cash the business actually generates, with a raise habit behind it.
Dividend yield
1.6%
Per share (latest FY)
$2.64
Total paid (latest FY)
$326.80M
History on record
10 years
dividend uses 31% of free cash flow
30% of net income paid out
total dividends increased 9 years in a row
no cuts in the last 10 years on record
Coverage uses the latest fiscal year as filed with the SEC; the streak counts total dollars paid (per-share figures can carry split artifacts). Educational information, not income advice.
P/E
23.42x
P/S
3.43x
P/B
11.7x
EV / EBITDA
—
WSM trades at 23.4x trailing earnings (about 22.2x on estimated forward earnings), 3.4x sales, and 11.7x book value. Reverse-engineering today's price implies the market expects roughly 4.9% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.
A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.
DCF fair value / share
$132.02
Current price
$250.02
Starting FCF (latest 10-K)
$1.06B
Growth, years 1–5
1.3%
Fade to terminal, years 6–10
2.5%
Discount rate
9.0%
Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.
Where WSM sits versus its Consumer Discretionary sector peers in the S&P 500.
Bands show the middle half (25th–75th percentile) of the 85 Consumer Discretionary companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
How WSM stacks up against its Consumer Discretionary peers — valuation, profitability, and growth versus the sector median.
In the Consumer Discretionary sector (158 S&P 500 companies), WSM ranks #10 of 158 by our overall rating. It trades at roughly in line versus the sector on earnings (23.4x P/E vs. 25.8x median) with a higher return on equity (53.3% vs. 26.2%) and slower revenue growth (1.3% vs. 6.8%).
P/E vs sector
23.4x
median 25.8x
ROE vs sector
53.3%
median 26.2%
Growth vs sector
1.3%
median 6.8%
Sector rank
#10
of 158 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Consumer Discretionary companies by sub-industry and size. Sector median is across all 158 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$0.00 – $0.00
vs. $250.02 today · expected CAGR -8% – 2%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $8.04B | $8.28B | $8.53B | $8.79B | $9.05B |
| Net income | $1.13B | $1.16B | $1.19B | $1.23B | $1.27B |
| EPS | $10.52 | $10.84 | $11.16 | $11.50 | $11.84 |
| Share price (low) | $147.31 | $151.73 | $156.28 | $160.97 | $165.80 |
| Share price (high) | $242.00 | $249.26 | $256.74 | $264.44 | $272.38 |
| CAGR (low–high) | -41% / -3% | -22% / -0% | -14% / 1% | -10% / 1% | -8% / 2% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for WSM:
- Strong return on equity (53.3%) shows capital is put to work well.
- Healthy free-cash-flow yield (~7.9%) funds buybacks and dividends.
- A conservative balance sheet (debt/equity 0.0x) lowers risk.
- Our model's overall read is Favorable (66/100).
The case against WSM:
- Revenue growth is slow (1.3%), limiting the upside engine.
- Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Growth risk — sluggish revenue (1.3%) leaves little margin for execution missteps.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen favourably: Williams-Sonoma, Inc. is a large-cap consumer discretionary business growing at a mature pace, with solid profitability, and a sound balance sheet. It trades at 23.4x earnings, which our model scores Favorable (66/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Analyst Ratings
What 28 Wall Street analysts covering WSM recommend (August 2026). Consensus is a useful sanity check — not a substitute for your own homework.
Analysts have turned more positive over the last three months (+6 pts of buy ratings).
Latest SEC Filings
WSM's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen.
In the Idea Lab
WSM — frequently asked questions
Is WSM a good stock to buy?
We don't give buy or sell advice. Our model rates Williams-Sonoma, Inc. Favorable (66/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is WSM's rating on The Stocks School?
Williams-Sonoma, Inc. currently scores 66/100 (Favorable) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does WSM's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from Williams-Sonoma, Inc.'s SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for WSM calculated?
It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.
Is this WSM analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell WSM. Always do your own research and consider a licensed professional.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.