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Williams-Sonoma WSM Return on invested capital

Return on invested capital at other companies

Target logo
TargetTGT
11.9%-6.4pp
Amazon logo
AmazonAMZN
14%-3.8pp
Lowe's Companies logo
Lowe's CompaniesLOW
30.9%-8.6pp
TJX Companies logo
TJX CompaniesTJX
31.9%+2.1pp
Home Depot logo
Home DepotHD
21.6%-5.2pp
Ralph Lauren logo
Ralph LaurenRL
24.8%+4.5pp

Other financials

Income statement

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Revenue$1.8B+4.4%
Gross profit$793.4M+3.6%
Operating income$291.7M+0.3%
Net income$231.4M0.0%
EPS (diluted)$1.93+4.3%

Balance sheet

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Cash & equivalents$651.6M-37.8%
Total debt$1.5B+9.1%
Total equity$1.9B-13.5%
Total assets$5.1B-1.9%

Cash flow

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Operating cash flow$156.3M+31.4%
CapEx$57.7M-1.0%
Free cash flow$98.6M+62.5%

Valuation

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Market cap$26.72B+16.3%
Enterprise value$27.56B+18.6%
P/E24.6×+3.6×
P/S3.4×+0.4×

Profitability

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Gross margin46.1%+0.4pp
Operating margin18%-0.1pp
Net margin13.8%-0.3pp

Returns & leverage

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Return on equity54%+3.8pp
Debt / equity0.8×+0.2×
Current ratio1.3×-0.2×

Where this comes from

Calculated from Williams-Sonoma’s reported figures.

Based on trailing twelve months.

The official record: Williams-Sonoma’s 10-Q, filed May 22, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Williams-Sonoma's return on invested capital?
Williams-Sonoma (WSM) reported return on invested capital of 40.9% in Q1 2026.
How has Williams-Sonoma's return on invested capital changed year-over-year?
Williams-Sonoma's return on invested capital decreased by 7.8% year-over-year, from 44.4% to 40.9%.
What is the long-term trend for Williams-Sonoma's return on invested capital?
Over 4 years (2021 to 2025), Williams-Sonoma's return on invested capital has grown at a -2.4% compound annual growth rate (CAGR), from 195.6% to 177.7%.
What does return on invested capital mean?
The after-tax return the business earns on all the capital — debt and equity — invested in it.
How do you interpret return on invested capital?
The cleanest measure of business quality: ROIC sustained above the cost of capital creates value, below it destroys value. Compare against WACC, not against zero.
How does return on invested capital compare across companies?
Highly comparable across companies as a quality screen. Sector-sensitive definitions of invested capital mean banks/insurers are best excluded.