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Williams-Sonoma Prints an 18th 52-Week High at $250.83 as Valuation Gap Widens

WSM touched $250.83 on Tuesday, logging its 18th 52-week high of the past 12 months. Shares are up 39% in 2026 and have gained 394% from the five-year low of $50.79 hit in May 2022. The Barchart Technical Opinion reads…

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NewsMV Markets Desk
3 min read
6 August 2026Markets desk
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Key takeaways

  • Williams-Sonoma (WSM) touched an all-time high of $250.83 in early August 2026, its 18th 52-week high of the past 12 months.
  • WSM shares are up 39% in 2026 and have gained 394% from their five-year low of $50.79 hit in May 2022.
  • The stock's free cash flow yield has fallen to 3.6% (trailing 12-month FCF of $1.09 billion against a $30.15 billion enterprise value), down from 12.4% at the May 2022 low.
  • CEO Laura Alber has produced a cumulative 1,514% gain in WSM stock (19% annualized) since May 2010, and the company has raised its dividend for 21 consecutive years.
  • Compressed consumer sentiment—at its lowest in a decade per the University of Michigan surveys—poses a risk to premium home goods spending, making the next earnings print a key test.

WSM touched $250.83 on Tuesday, logging its 18th 52-week high of the past 12 months. Shares are up 39% in 2026 and have gained 394% from the five-year low of $50.79 hit in May 2022. The Barchart Technical Opinion reads 100% Strong Buy, but a free cash flow yield now sitting at 3.6% tells a more conditional story.

Momentum on the tape

The current leg has structure. The 50-day moving average crossed above the 200-day moving average in mid-June at $188.26, with the actual rebound beginning near $166 roughly a month earlier. By late June, shares had topped out around $244, a 47% move in six weeks. Five weeks later, in early August, WSM set its all-time high of $250.83 on above-average volume.

The prior cycle was shorter and shallower. The 50-day crossed the 200-day on Aug. 12, 2025, at $171.74, and that move ran approximately 38% over eight weeks before topping around $210.50.

Where the FCF math lands

Free cash flow is where the valuation question concentrates. Williams-Sonoma generated trailing 12-month FCF of $1.09 billion, according to S&P Global Market Intelligence, against an enterprise value of $30.15 billion. That math produces a 3.6% FCF yield. The same metric read 12.4% when the stock hit its May 2022 five-year low.

Gross margin in the 12 months ended May 3 was 46.0%, within a few basis points of any comparable period over the prior two to three years. CFO Jeff Howie said in March that tariff mitigation tactics deployed in 2025 should carry into 2026. Net debt as of Q2 2026 stood at $842.0 million, 3% of market cap.

CEO Laura Alber, who took the top job in May 2010, has produced a cumulative 1,514% gain in WSM stock, or 19% annualized, excluding dividends. The company has raised its dividend for 21 consecutive years. In the past six fiscal years, Williams-Sonoma generated at least $1 billion in FCF five times, returning an average of $724 million annually through buybacks and $232 million through dividends.

What to watch

Consumer sentiment is the live variable. The University of Michigan Surveys of Consumers shows confidence at its lowest point in a decade. McDonald's reported U.S. same-store sales growth of just 0.8% in the second quarter, below the company's own expectations. PepsiCo cut prices on Lay's and Doritos in North America by 15% to recover lost volume.

Williams-Sonoma's customer base skews upper-middle and high-income, which separates its demand profile from those examples. But if sentiment stays compressed into 2027, premium furniture and home goods spending faces a real test. The next earnings print is where tariff mitigation outcomes and gross margin trajectory will confirm whether the current setup has legs.

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Filed via finance.yahoo.com

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Frequently asked

How high did Williams-Sonoma stock reach and when?

WSM set an all-time high of $250.83 in early August 2026 on above-average volume, marking its 18th 52-week high of the past 12 months.

Why is the valuation considered stretched despite the strong momentum?

The free cash flow yield has dropped to 3.6%, based on $1.09 billion in trailing 12-month FCF against a $30.15 billion enterprise value, compared with 12.4% when the stock hit its May 2022 low.

What is the company's gross margin and debt position?

Gross margin for the 12 months ended May 3 was 46.0%, and net debt as of Q2 2026 stood at $842.0 million, about 3% of market cap.

What is the main risk facing Williams-Sonoma going forward?

Consumer sentiment is at its lowest point in a decade per the University of Michigan surveys, and if it stays compressed into 2027, premium furniture and home goods spending faces a real test.

How has Williams-Sonoma returned cash to shareholders?

Over the past six fiscal years it generated at least $1 billion in FCF five times, returning an average of $724 million annually through buybacks and $232 million through dividends, and has raised its dividend for 21 consecutive years.