Is Williams Sonoma Stock a Good Investment?
Williams Sonoma Investment Advice | WSM |
- Examine Williams Sonoma's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Williams Sonoma's leadership team and their track record. Good management can help Williams Sonoma navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Homefurnishing Retail space and any emerging trends that could impact Williams Sonoma's business and its evolving consumer preferences.
- Compare Williams Sonoma's performance and market position to its competitors. Analyze how Williams Sonoma is positioned in terms of product offerings, innovation, and market share.
- Check if Williams Sonoma pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Williams Sonoma's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Williams Sonoma stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Williams Sonoma is a good investment.
Sell | Buy |
Strong Buy
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Williams Sonoma Stock
Researching Williams Sonoma's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 97.0% of the company outstanding shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 2.43. Williams Sonoma recorded earning per share (EPS) of 8.46. The entity last dividend was issued on the 17th of January 2025. The firm had 2:1 split on the 9th of July 2024.
To determine if Williams Sonoma is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Williams Sonoma's research are outlined below:
| Over 97.0% of the company outstanding shares are owned by institutional investors | |
| On 21st of February 2025 Williams Sonoma paid $ 0.57 per share dividend to its current shareholders | |
| Latest headline from zacks.com: Want Better Returns Dont Ignore These 2 Retail and Wholesale Stocks Set to Beat Earnings |
Williams Sonoma uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Williams Sonoma. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Williams Sonoma's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 21st of March 2024 Upcoming Quarterly Report | View | |
| 28th of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 21st of March 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Williams Sonoma's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Williams Sonoma's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2008-08-28 | 2008-07-31 | 0.07 | 0.08 | 0.01 | 14 | ||
2001-11-13 | 2001-10-31 | 0.03 | 0.04 | 0.01 | 33 | ||
2000-08-15 | 2000-07-31 | 0.04 | 0.05 | 0.01 | 25 | ||
2000-05-16 | 2000-04-30 | 0.03 | 0.04 | 0.01 | 33 | ||
1999-11-16 | 1999-10-31 | 0.07 | 0.08 | 0.01 | 14 | ||
1998-08-18 | 1998-07-31 | 0.03 | 0.04 | 0.01 | 33 | ||
1997-11-18 | 1997-10-31 | 0.02 | 0.03 | 0.01 | 50 | ||
2008-12-04 | 2008-10-31 | -0.12 | -0.1 | 0.02 | 16 |
Williams Sonoma Target Price Consensus
Williams target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Williams Sonoma's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 25 | Buy |
Most Williams analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Williams stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Williams Sonoma, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationWilliams Sonoma Target Price Projection
Williams Sonoma's current and average target prices are 196.36 and 172.25, respectively. The current price of Williams Sonoma is the price at which Williams Sonoma is currently trading. On the other hand, Williams Sonoma's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Williams Sonoma Market Quote on 26th of February 2025
Target Price
Analyst Consensus On Williams Sonoma Target Price
Williams Sonoma Analyst Ratings
Williams Sonoma's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Williams Sonoma stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Williams Sonoma's financials, market performance, and future outlook by experienced professionals. Williams Sonoma's historical ratings below, therefore, can serve as a valuable tool for investors.Know Williams Sonoma's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Williams Sonoma is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Williams Sonoma backward and forwards among themselves. Williams Sonoma's institutional investor refers to the entity that pools money to purchase Williams Sonoma's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Morgan Stanley - Brokerage Accounts | 2024-12-31 | 1.8 M | Dimensional Fund Advisors, Inc. | 2024-12-31 | 1.6 M | Norges Bank | 2024-12-31 | 1.6 M | D. E. Shaw & Co Lp | 2024-12-31 | 1.6 M | Jpmorgan Chase & Co | 2024-09-30 | 1.2 M | Bank Of New York Mellon Corp | 2024-12-31 | 1.1 M | Ubs Asset Mgmt Americas Inc | 2024-12-31 | 1.1 M | Principal Financial Group Inc | 2024-12-31 | 1 M | Renaissance Technologies Corp | 2024-12-31 | 989.7 K | Blackrock Inc | 2024-12-31 | 15.7 M | Vanguard Group Inc | 2024-12-31 | 12.8 M |
Williams Sonoma's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 24.17 B.Market Cap |
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Williams Sonoma's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.15 | 0.08 | |
| Return On Capital Employed | 0.32 | 0.19 | |
| Return On Assets | 0.15 | 0.08 | |
| Return On Equity | 0.41 | 0.43 |
Determining Williams Sonoma's profitability involves analyzing its financial statements and using various financial metrics to determine if Williams Sonoma is a good buy. For example, gross profit margin measures Williams Sonoma's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Williams Sonoma's profitability and make more informed investment decisions.
Evaluate Williams Sonoma's management efficiency
Williams Sonoma has Return on Asset of 0.1746 % which means that on every $100 spent on assets, it made $0.1746 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.5886 %, implying that it generated $0.5886 on every 100 dollars invested. Williams Sonoma's management efficiency ratios could be used to measure how well Williams Sonoma manages its routine affairs as well as how well it operates its assets and liabilities. As of the 26th of February 2025, Return On Equity is likely to grow to 0.43, while Return On Tangible Assets are likely to drop 0.08. At this time, Williams Sonoma's Debt To Assets are very stable compared to the past year. As of the 26th of February 2025, Fixed Asset Turnover is likely to grow to 5.50, while Net Tangible Assets are likely to drop about 1.4 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 10.69 | 11.22 | |
| Tangible Book Value Per Share | 10.13 | 10.64 | |
| Enterprise Value Over EBITDA | 8.90 | 10.76 | |
| Price Book Value Ratio | 5.87 | 3.19 | |
| Enterprise Value Multiple | 8.90 | 10.76 | |
| Price Fair Value | 5.87 | 3.19 | |
| Enterprise Value | 1.6 B | 1 B |
Leadership at Williams Sonoma emphasizes sustainable growth and financial prudence. Our analysis evaluates how these priorities impact the stock's performance in the market.
Basic technical analysis of Williams Stock
As of the 26th of February, Williams Sonoma maintains the Mean Deviation of 2.09, downside deviation of 2.46, and Market Risk Adjusted Performance of 0.4868. Relative to fundamental indicators, the technical analysis model lets you check existing technical drivers of Williams Sonoma, as well as the relationship between them. Please check out Williams Sonoma standard deviation, value at risk, as well as the relationship between the Value At Risk and kurtosis to decide if Williams Sonoma is priced fairly, providing market reflects its latest price of 196.36 per share. Given that Williams Sonoma has jensen alpha of 0.6404, we strongly advise you to confirm Williams Sonoma's prevalent market performance to make sure the company can sustain itself at a future point.Williams Sonoma's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Williams Sonoma insiders, such as employees or executives, is commonly permitted as long as it does not rely on Williams Sonoma's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Williams Sonoma insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Jeremy Brooks over three weeks ago Acquisition by Jeremy Brooks of 1638 shares of Williams Sonoma subject to Rule 16b-3 | ||
Monica Bhargava over a month ago Disposition of 35 shares by Monica Bhargava of Williams Sonoma at 213.6 subject to Rule 16b-3 | ||
Monica Bhargava over three months ago Disposition of 1420 shares by Monica Bhargava of Williams Sonoma subject to Rule 16b-3 | ||
Laura Alber over six months ago Disposition of tradable shares by Laura Alber of Williams Sonoma subject to Rule 16b-3 | ||
David King over six months ago Disposition of 537 shares by David King of Williams Sonoma subject to Rule 16b-3 | ||
David King over six months ago Disposition of 537 shares by David King of Williams Sonoma subject to Rule 16b-3 | ||
Laura Alber over six months ago Acquisition by Laura Alber of 12596 shares of Williams Sonoma subject to Rule 16b-3 |
Williams Sonoma's Outstanding Corporate Bonds
Williams Sonoma issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Williams Sonoma uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Williams bonds can be classified according to their maturity, which is the date when Williams Sonoma has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| MPLX LP 4125 Corp BondUS55336VAK61 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| BNP Paribas FRN Corp BondUSF1R15XK367 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View | |
| Morgan Stanley 3971 Corp BondUS61744YAL20 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View | |
| Valero Energy Partners Corp BondUS91914JAA07 | View |
Understand Williams Sonoma's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Williams Sonoma's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1287 | |||
| Market Risk Adjusted Performance | 0.4868 | |||
| Mean Deviation | 2.09 | |||
| Semi Deviation | 2.0 | |||
| Downside Deviation | 2.46 | |||
| Coefficient Of Variation | 609.66 | |||
| Standard Deviation | 4.01 | |||
| Variance | 16.05 | |||
| Information Ratio | 0.1603 | |||
| Jensen Alpha | 0.6404 | |||
| Total Risk Alpha | 0.6201 | |||
| Sortino Ratio | 0.2613 | |||
| Treynor Ratio | 0.4768 | |||
| Maximum Drawdown | 34.3 | |||
| Value At Risk | (3.26) | |||
| Potential Upside | 3.45 | |||
| Downside Variance | 6.04 | |||
| Semi Variance | 3.98 | |||
| Expected Short fall | (2.43) | |||
| Skewness | 4.57 | |||
| Kurtosis | 31.53 |
| Risk Adjusted Performance | 0.1287 | |||
| Market Risk Adjusted Performance | 0.4868 | |||
| Mean Deviation | 2.09 | |||
| Semi Deviation | 2.0 | |||
| Downside Deviation | 2.46 | |||
| Coefficient Of Variation | 609.66 | |||
| Standard Deviation | 4.01 | |||
| Variance | 16.05 | |||
| Information Ratio | 0.1603 | |||
| Jensen Alpha | 0.6404 | |||
| Total Risk Alpha | 0.6201 | |||
| Sortino Ratio | 0.2613 | |||
| Treynor Ratio | 0.4768 | |||
| Maximum Drawdown | 34.3 | |||
| Value At Risk | (3.26) | |||
| Potential Upside | 3.45 | |||
| Downside Variance | 6.04 | |||
| Semi Variance | 3.98 | |||
| Expected Short fall | (2.43) | |||
| Skewness | 4.57 | |||
| Kurtosis | 31.53 |
Consider Williams Sonoma's intraday indicators
Williams Sonoma intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Williams Sonoma stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 42045.92 | |||
| Daily Balance Of Power | 0.3141 | |||
| Rate Of Daily Change | 1.01 | |||
| Day Median Price | 196.03 | |||
| Day Typical Price | 196.14 | |||
| Price Action Indicator | 1.18 | |||
| Period Momentum Indicator | 1.69 | |||
| Relative Strength Index | 56.77 |
Williams Sonoma Corporate Filings
F4 | 25th of February 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 13th of February 2025 Other Reports | ViewVerify | |
| 12th of February 2025 Other Reports | ViewVerify | |
10Q | 22nd of November 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
Williams Stock media impact
Far too much social signal, news, headlines, and media speculation about Williams Sonoma that are available to investors today. That information is available publicly through Williams media outlets and privately through word of mouth or via Williams internal channels. However, regardless of the origin, that massive amount of Williams data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Williams Sonoma news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Williams Sonoma relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Williams Sonoma's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Williams Sonoma alpha.
Williams Sonoma Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Williams Sonoma can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Williams Sonoma Historical Investor Sentiment
Investor biases related to Williams Sonoma's public news can be used to forecast risks associated with an investment in Williams. The trend in average sentiment can be used to explain how an investor holding Williams can time the market purely based on public headlines and social activities around Williams Sonoma. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Williams Sonoma's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Williams Sonoma and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Williams Sonoma news discussions. The higher the estimate score, the more favorable the investor's outlook on Williams Sonoma.
Williams Sonoma Maximum Pain Price Across May 16th 2025 Option Contracts
Williams Sonoma's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Williams Sonoma close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Williams Sonoma's options.
Williams Sonoma Corporate Directors
| William Ready | Independent Director | Profile | |
| Frits Paasschen | Independent Director | Profile | |
| Anne Mulcahy | Independent Director | Profile | |
| Sabrina Simmons | Independent Director | Profile |
Already Invested in Williams Sonoma?
The danger of trading Williams Sonoma is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Williams Sonoma is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Williams Sonoma. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Williams Sonoma is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether Williams Sonoma is a strong investment it is important to analyze Williams Sonoma's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Williams Sonoma's future performance. For an informed investment choice regarding Williams Stock, refer to the following important reports: Check out Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in Williams Sonoma. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in state. To learn how to invest in Williams Stock, please use our How to Invest in Williams Sonoma guide.You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Is Homefurnishing Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Williams Sonoma. If investors know Williams will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Williams Sonoma listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.071 | Dividend Share 2.155 | Earnings Share 8.46 | Revenue Per Share | Quarterly Revenue Growth (0.03) |
The market value of Williams Sonoma is measured differently than its book value, which is the value of Williams that is recorded on the company's balance sheet. Investors also form their own opinion of Williams Sonoma's value that differs from its market value or its book value, called intrinsic value, which is Williams Sonoma's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Williams Sonoma's market value can be influenced by many factors that don't directly affect Williams Sonoma's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Williams Sonoma's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Williams Sonoma is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Williams Sonoma's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.