Historical Valuation
Williams-Sonoma Inc (WSM) is now in the Overvalued zone, suggesting that its current forward PE ratio of 21.20 is considered Overvalued compared with the five-year average of 14.04. The fair price of Williams-Sonoma Inc (WSM) is between 110.78 to 186.58 according to relative valuation methord. Compared to the current price of 197.81 USD , Williams-Sonoma Inc is Overvalued By 6.02%.
Relative Value
Fair Zone
110.78-186.58
Current Price：197.81
6.02%
Overvalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Williams-Sonoma Inc (WSM) has a current Price-to-Book (P/B) ratio of 10.94. Compared to its 3-year average P/B ratio of 8.27 , the current P/B ratio is approximately 32.23% higher. Relative to its 5-year average P/B ratio of 7.91, the current P/B ratio is about 38.33% higher. Williams-Sonoma Inc (WSM) has a Forward Free Cash Flow (FCF) yield of approximately 4.93%. Compared to its 3-year average FCF yield of 7.67%, the current FCF yield is approximately -35.69% lower. Relative to its 5-year average FCF yield of 8.81% , the current FCF yield is about -44.06% lower.
P/B
Median3y
8.27
Median5y
7.91
FCF Yield
Median3y
7.67
Median5y
8.81
Competitors Valuation Multiple
AI Analysis for WSM
The average P/S ratio for WSM competitors is 1.45, providing a benchmark for relative valuation. Williams-Sonoma Inc Corp (WSM.N) exhibits a P/S ratio of 2.78, which is 91.49% above the industry average. Given its robust revenue growth of 4.56%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for WSM
1Y
3Y
5Y
Market capitalization of WSM increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of WSM in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is WSM currently overvalued or undervalued?
Williams-Sonoma Inc (WSM) is now in the Overvalued zone, suggesting that its current forward PE ratio of 21.20 is considered Overvalued compared with the five-year average of 14.04. The fair price of Williams-Sonoma Inc (WSM) is between 110.78 to 186.58 according to relative valuation methord. Compared to the current price of 197.81 USD , Williams-Sonoma Inc is Overvalued By 6.02% .
What is Williams-Sonoma Inc (WSM) fair value?
WSM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Williams-Sonoma Inc (WSM) is between 110.78 to 186.58 according to relative valuation methord.
How does WSM's valuation metrics compare to the industry average?
The average P/S ratio for WSM's competitors is 1.45, providing a benchmark for relative valuation. Williams-Sonoma Inc Corp (WSM) exhibits a P/S ratio of 2.78, which is 91.49% above the industry average. Given its robust revenue growth of 4.56%, this premium appears unsustainable.
What is the current P/B ratio for Williams-Sonoma Inc (WSM) as of Jan 10 2026?
As of Jan 10 2026, Williams-Sonoma Inc (WSM) has a P/B ratio of 10.94. This indicates that the market values WSM at 10.94 times its book value.
What is the current FCF Yield for Williams-Sonoma Inc (WSM) as of Jan 10 2026?
As of Jan 10 2026, Williams-Sonoma Inc (WSM) has a FCF Yield of 4.93%. This means that for every dollar of Williams-Sonoma Inc’s market capitalization, the company generates 4.93 cents in free cash flow.
What is the current Forward P/E ratio for Williams-Sonoma Inc (WSM) as of Jan 10 2026?
As of Jan 10 2026, Williams-Sonoma Inc (WSM) has a Forward P/E ratio of 21.20. This means the market is willing to pay $21.20 for every dollar of Williams-Sonoma Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Williams-Sonoma Inc (WSM) as of Jan 10 2026?
As of Jan 10 2026, Williams-Sonoma Inc (WSM) has a Forward P/S ratio of 2.78. This means the market is valuing WSM at $2.78 for every dollar of expected revenue over the next 12 months.