WSM Relative Valuation
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. If the market price exceeds this fair value range, WSM is overvalued; if below, it's undervalued.
Historical Valuation
Williams-Sonoma Inc (WSM) is now in the Fair zone, suggesting that its current forward PE ratio of 19.95 is considered Fairly compared with the five-year average of 13.92. The fair price of Williams-Sonoma Inc (WSM) is between 109.65 to 180.42 according to relative valuation methord.
Relative Value
Fair Zone
109.65-180.42
Current Price：176.66
Fair
19.95
PE
1Y
3Y
5Y
Trailing
Forward
13.32
EV/EBITDA
Williams-Sonoma Inc. (WSM) has a current EV/EBITDA of 13.32. The 5-year average EV/EBITDA is 9.52. The thresholds are as follows: Strongly Undervalued below 3.51, Undervalued between 3.51 and 6.51, Fairly Valued between 12.52 and 6.51, Overvalued between 12.52 and 15.52, and Strongly Overvalued above 15.52. The current Forward EV/EBITDA of 13.32 falls within the Overvalued range.
15.43
EV/EBIT
Williams-Sonoma Inc. (WSM) has a current EV/EBIT of 15.43. The 5-year average EV/EBIT is 11.04. The thresholds are as follows: Strongly Undervalued below 3.91, Undervalued between 3.91 and 7.47, Fairly Valued between 14.61 and 7.47, Overvalued between 14.61 and 18.17, and Strongly Overvalued above 18.17. The current Forward EV/EBIT of 15.43 falls within the Overvalued range.
2.64
PS
Williams-Sonoma Inc. (WSM) has a current PS of 2.64. The 5-year average PS is 1.77. The thresholds are as follows: Strongly Undervalued below 0.31, Undervalued between 0.31 and 1.04, Fairly Valued between 2.51 and 1.04, Overvalued between 2.51 and 3.24, and Strongly Overvalued above 3.24. The current Forward PS of 2.64 falls within the Overvalued range.
14.32
P/OCF
Williams-Sonoma Inc. (WSM) has a current P/OCF of 14.32. The 5-year average P/OCF is 10.47. The thresholds are as follows: Strongly Undervalued below 2.88, Undervalued between 2.88 and 6.67, Fairly Valued between 14.27 and 6.67, Overvalued between 14.27 and 18.07, and Strongly Overvalued above 18.07. The current Forward P/OCF of 14.32 falls within the Overvalued range.
20.41
P/FCF
Williams-Sonoma Inc. (WSM) has a current P/FCF of 20.41. The 5-year average P/FCF is 13.72. The thresholds are as follows: Strongly Undervalued below 3.27, Undervalued between 3.27 and 8.49, Fairly Valued between 18.94 and 8.49, Overvalued between 18.94 and 24.16, and Strongly Overvalued above 24.16. The current Forward P/FCF of 20.41 falls within the Overvalued range.
Williams-Sonoma Inc (WSM) has a current Price-to-Book (P/B) ratio of 10.29. Compared to its 3-year average P/B ratio of 8.11 , the current P/B ratio is approximately 26.77% higher. Relative to its 5-year average P/B ratio of 7.82, the current P/B ratio is about 31.51% higher. Williams-Sonoma Inc (WSM) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 7.85%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 8.96% , the current FCF yield is about -100.00% lower.
10.29
P/B
Median3y
8.11
Median5y
7.82
5.19
FCF Yield
Median3y
7.85
Median5y
8.96
Competitors Valuation Multiple
The average P/S ratio for WSM's competitors is , providing a benchmark for relative valuation. Williams-Sonoma Inc Corp (WSM) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of 4.56%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of WSM decreased by 4.60% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 1.80B to 1.88B.
The secondary factor is the P/E Change, contributed -1.93%to the performance.
Overall, the performance of WSM in the past 1 year is driven by Revenue Growth. Which is more sustainable.
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FAQ
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