What Is WSM Fair Value?
Williams-Sonoma, Inc. (WSM) fair value estimate using multiple valuation models, updated daily.
As of October 14, 2026, Williams-Sonoma, Inc. (WSM) has a composite fair value estimate of $97.92 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $239.98, suggesting the stock is overvalued by 59.2%.
Data as of October 14, 2026 (today)
Composite Fair Value
Overvalued4 of 4 models$97.92
vs. current price of $239.98(-59.2%)
How Is WSM Fair Value Calculated?
Four independent models estimate what WSM is worth. Each uses different inputs and assumptions. The composite blends them by weight.
WSM Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
35% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$125.08
-47.9%Overvalued
Inputs used
DDM (Dividend Discount Model)
15% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
$39.50
-83.5%Overvalued
Inputs used
WSM Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
25% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$63.47
-73.6%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
25% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$98.51
-59.0%Overvalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $239.98 is 47.9% above this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $1.17B | $1.04B |
| Year 2 | $1.27B | $1.01B |
| Year 3 | $1.39B | $984.0M |
| Year 4 | $1.51B | $957.1M |
| Year 5 | $1.65B | $930.9M |
| Year 6 | $1.80B | $905.4M |
| Year 7 | $1.96B | $880.7M |
| Year 8 | $2.14B | $856.6M |
| Year 9 | $2.34B | $833.1M |
| Year 10 | $2.55B | $810.4M |
| Terminal Value | $27.10B | $8.62B |
What Are WSM's Key Financial Metrics?
Earnings & Growth
Current Price
$239.98
EPS (TTM)
$9.75
Forward P/E
22.8
Profit Margin
14.7%
Cash & Balance Sheet
Free Cash Flow
1.1B
EBITDA
1.7B
Book Value
$18.18
Total Debt
1.5B
What Do Analysts Say About WSM?
Low
$151.00
Average
$246.35
High
$280.00
Upside
+2.7%
WSM Fair Value FAQ
What is the fair value of WSM?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), WSM's estimated fair value is $97.92. The stock is currently trading at $239.98, which makes it overvalued by our analysis.
How is WSM's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is WSM overvalued or undervalued?
Based on our analysis, WSM is overvalued. The current price of $239.98 is 59.2% above our estimated fair value of $97.92.
What do Wall Street analysts say about WSM?
20 analysts cover Williams-Sonoma, Inc. with a consensus rating of "Buy." The average price target is $246.35, ranging from $151.00 to $280.00. This implies 2.7% upside from the current price.