WallStSmart

Chagee Holdings Limited American Depositary Shares (CHA)vsThe Home Depot Inc (HD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 1187% more annual revenue ($169.18B vs $13.14B). CHA leads profitability with a 10.2% profit margin vs 8.4%. CHA trades at a lower P/E of 12.2x. CHA earns a higher WallStSmart Score of 60/100 (C+).

CHA

Buy

60

out of 100

Grade: C+

Growth: 8.0Profit: 7.5Value: 6.0Quality: 9.0
Piotroski: 4/9Altman Z: 3.86

HD

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 7.5Value: 4.0Quality: 5.0
Piotroski: 2/9Altman Z: 3.59
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CHA.

HDSignificantly Overvalued (-41.8%)

Margin of Safety

-41.8%

Fair Value

$217.78

Current Price

$308.74

$90.96 premium

UndervaluedFair: $217.78Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CHA5 strengths · Avg: 9.0/10
EPS GrowthGrowth
591.0%10/10

Earnings expanding 591.0% YoY

Altman Z-ScoreHealth
3.8610/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.179/10

Conservative balance sheet, low leverage

P/E RatioValuation
12.2x8/10

Attractively priced relative to earnings

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

HD4 strengths · Avg: 9.5/10
Market CapQuality
$304.98B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
85.6%10/10

Every $100 of equity generates 86 in profit

Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Free Cash FlowQuality
$4.51B8/10

Generating 4.5B in free cash flow

Areas to Watch

CHA1 concerns · Avg: 4.0/10
Revenue GrowthGrowth
2.5%4/10

2.5% revenue growth

HD4 concerns · Avg: 3.8/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

Price/BookValuation
18.5x4/10

Trading at 18.5x book value

EPS GrowthGrowth
4.6%4/10

4.6% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : CHA

The strongest argument for CHA centers on EPS Growth, Altman Z-Score, Debt/Equity.

Bull Case : HD

The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.

Bear Case : CHA

The primary concerns for CHA are Revenue Growth.

Bear Case : HD

The primary concerns for HD are PEG Ratio, Price/Book, EPS Growth. Debt-to-equity of 3.77 is elevated, increasing financial risk.

Key Dynamics to Monitor

HD is growing revenue faster at 5.7% — sustainability is the question.

HD generates stronger free cash flow (4.5B), providing more financial flexibility.

Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CHA scores higher overall (60/100 vs 58/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Chagee Holdings Limited American Depositary Shares

CONSUMER CYCLICAL · RESTAURANTS · USA

Chagee Holdings Ltd. is a Shanghai-based company founded in 2017 by Jun Jie Zhang. It specializes in selling freshly made tea drinks—such as tea lattes, teapuccinos, iced teas, and other creative beverages—along with related products like raw materials, packaging, and teahouse equipment.

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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