Home Depot Inc. (HD)

Ratios (Summary)

Home Depot Inc., liquidity ratios

	Feb 3, 2013	Jan 29, 2012	Jan 30, 2011	Jan 31, 2010	Feb 1, 2009	Feb 3, 2008
Current ratio	1.34	1.55	1.33	1.34	1.20	1.15
Quick ratio	0.34	0.34	0.16	0.23	0.13	0.14
Cash ratio	0.22	0.21	0.05	0.14	0.05	0.04

Source: Based on data from Home Depot Inc. Annual Reports

Ratio	Description	The company
Current ratio	A liquidity ratio calculated as current assets divided by current liabilities.	Home Depot Inc.'s current ratio improved from 2011 to 2012 but then slightly deteriorated from 2012 to 2013 not reaching 2011 level.
Quick ratio	A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities.	Home Depot Inc.'s quick ratio improved from 2011 to 2012 but then slightly deteriorated from 2012 to 2013.
Cash ratio	A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities.	Home Depot Inc.'s cash ratio improved from 2011 to 2012 and from 2012 to 2013.

	Feb 3, 2013	Jan 29, 2012	Jan 30, 2011	Jan 31, 2010	Feb 1, 2009	Feb 3, 2008
Selected Financial Data (USD $ in millions)
Current assets	15,372	14,520	13,479	13,900	13,362	14,674
Current liabilities	11,462	9,376	10,122	10,363	11,153	12,706
Current Ratio, Comparison to Industry
Home Depot Inc.¹	1.34	1.55	1.33	1.34	1.20	1.15
Industry, Consumer Services	–	1.11	1.19	1.19	1.17	1.06

Source: Based on data from Home Depot Inc. Annual Reports

2013 Calculations

¹ Current ratio = Current assets ÷ Current liabilities
= 15,372 ÷ 11,462 = 1.34

Ratio	Description	The company
Current ratio	A liquidity ratio calculated as current assets divided by current liabilities.	Home Depot Inc.'s current ratio improved from 2011 to 2012 but then slightly deteriorated from 2012 to 2013 not reaching 2011 level.

	Feb 3, 2013	Jan 29, 2012	Jan 30, 2011	Jan 31, 2010	Feb 1, 2009	Feb 3, 2008
Selected Financial Data (USD $ in millions)
Cash and cash equivalents	2,494	1,987	545	1,421	519	445
Short-term investments	–	–	–	6	6	12
Receivables, net	1,395	1,245	1,085	964	972	1,259
Total quick assets	3,889	3,232	1,630	2,391	1,497	1,716
Current liabilities	11,462	9,376	10,122	10,363	11,153	12,706
Quick Ratio, Comparison to Industry
Home Depot Inc.¹	0.34	0.34	0.16	0.23	0.13	0.14
Industry, Consumer Services	–	0.42	0.46	0.47	0.44	0.41

Source: Based on data from Home Depot Inc. Annual Reports

2013 Calculations

¹ Quick ratio = Total quick assets ÷ Current liabilities
= 3,889 ÷ 11,462 = 0.34

Ratio	Description	The company
Quick ratio	A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities.	Home Depot Inc.'s quick ratio improved from 2011 to 2012 but then slightly deteriorated from 2012 to 2013.

	Feb 3, 2013	Jan 29, 2012	Jan 30, 2011	Jan 31, 2010	Feb 1, 2009	Feb 3, 2008
Selected Financial Data (USD $ in millions)
Cash and cash equivalents	2,494	1,987	545	1,421	519	445
Short-term investments	–	–	–	6	6	12
Total cash assets	2,494	1,987	545	1,427	525	457
Current liabilities	11,462	9,376	10,122	10,363	11,153	12,706
Cash Ratio, Comparison to Industry
Home Depot Inc.¹	0.22	0.21	0.05	0.14	0.05	0.04
Industry, Consumer Services	–	0.16	0.18	0.20	0.18	0.16

Source: Based on data from Home Depot Inc. Annual Reports

2013 Calculations

¹ Cash ratio = Total cash assets ÷ Current liabilities
= 2,494 ÷ 11,462 = 0.22

Ratio	Description	The company
Cash ratio	A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities.	Home Depot Inc.'s cash ratio improved from 2011 to 2012 and from 2012 to 2013.