Arhaus Inc (ARHS)vsThe Home Depot Inc (HD)
ARHS
Arhaus Inc
$9.60
-0.83%
CONSUMER CYCLICAL · Cap: $1.05B
HD
The Home Depot Inc
$355.62
+1.75%
CONSUMER CYCLICAL · Cap: $337.29B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 11953% more annual revenue ($166.59B vs $1.38B). HD leads profitability with a 8.4% profit margin vs 4.7%. ARHS trades at a lower P/E of 15.8x. HD earns a higher WallStSmart Score of 54/100 (C-).
ARHS
Hold43
out of 100
Grade: D
HD
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-11.3%
Fair Value
$8.78
Current Price
$9.60
$0.82 premium
Margin of Safety
-65.3%
Fair Value
$213.57
Current Price
$355.62
$142.05 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Mega-cap, among the largest globally
Every $100 of equity generates 101 in profit
Safe zone — low bankruptcy risk
Generating 5.2B in free cash flow
Areas to Watch
0.9% revenue growth
Grey zone — moderate risk
Smaller company, higher risk/reward
4.7% margin — thin
Expensive relative to growth rate
4.8% revenue growth
Weak financial health signals
Trading at 25.5x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ARHS
The strongest argument for ARHS centers on P/E Ratio.
Bull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bear Case : ARHS
The primary concerns for ARHS are Revenue Growth, Altman Z-Score, Market Cap. Debt-to-equity of 1.61 is elevated, increasing financial risk. Thin 4.7% margins leave little buffer for downturns.
Bear Case : HD
The primary concerns for HD are PEG Ratio, Revenue Growth, Piotroski F-Score. Debt-to-equity of 4.18 is elevated, increasing financial risk.
Key Dynamics to Monitor
ARHS carries more volatility with a beta of 2.29 — expect wider price swings.
HD is growing revenue faster at 4.8% — sustainability is the question.
HD generates stronger free cash flow (5.2B), providing more financial flexibility.
Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HD scores higher overall (54/100 vs 43/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Arhaus Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Arhaus Inc. (ARHS) is a distinguished leader in the premium home furnishings market, recognized for its dedication to sustainable, high-quality products that blend exquisite craftsmanship with classic design. Founded in 1986, the company specializes in luxury, customizable furniture and décor, targeting a sophisticated consumer base that values both style and environmental responsibility. Leveraging recycled and reclaimed materials, Arhaus not only addresses the growing demand for eco-conscious products but also focuses on innovation and expanding its retail footprint. With a clear strategy to enhance digital engagement and adapt to evolving market trends, Arhaus is well-positioned for robust growth in the premium home furnishings sector.
Visit Website →The Home Depot Inc
CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA
The Home Depot, Inc., commonly known as Home Depot, is the largest home improvement retailer in the United States, supplying tools, construction products, and services. The company is headquartered in incorporated Cobb County, Georgia, with an Atlanta mailing address.
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