WallStSmart

Dennys Corp (DENN)vsThe Home Depot Inc (HD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 36336% more annual revenue ($166.59B vs $457.21M). HD leads profitability with a 8.4% profit margin vs 2.2%. DENN appears more attractively valued with a PEG of 1.06. HD earns a higher WallStSmart Score of 54/100 (C-).

DENN

Hold

41

out of 100

Grade: D

Growth: 3.3Profit: 5.0Value: 4.7Quality: 5.5
Piotroski: 4/9Altman Z: 1.08

HD

Buy

54

out of 100

Grade: C-

Growth: 3.3Profit: 7.5Value: 4.0Quality: 5.0
Piotroski: 2/9Altman Z: 3.59
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DENNOvervalued (-13.0%)

Margin of Safety

-13.0%

Fair Value

$5.53

Current Price

$6.25

$0.72 premium

UndervaluedFair: $5.53Overvalued
HDSignificantly Overvalued (-46.5%)

Margin of Safety

-46.5%

Fair Value

$212.07

Current Price

$310.78

$98.71 premium

UndervaluedFair: $212.07Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DENN1 strengths · Avg: 10.0/10
Debt/EquityHealth
-12.7410/10

Conservative balance sheet, low leverage

HD4 strengths · Avg: 9.5/10
Market CapQuality
$310.62B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
101.0%10/10

Every $100 of equity generates 101 in profit

Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Free Cash FlowQuality
$5.19B8/10

Generating 5.2B in free cash flow

Areas to Watch

DENN4 concerns · Avg: 3.5/10
P/E RatioValuation
31.3x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
1.3%4/10

1.3% revenue growth

Market CapQuality
$321.87M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

HD4 concerns · Avg: 3.3/10
PEG RatioValuation
1.764/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.8%4/10

4.8% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Price/BookValuation
22.3x2/10

Trading at 22.3x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : DENN

The strongest argument for DENN centers on Debt/Equity. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : HD

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

Bear Case : DENN

The primary concerns for DENN are P/E Ratio, Revenue Growth, Market Cap. Thin 2.2% 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

DENN carries more volatility with a beta of 1.37 — 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 RESTAURANTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

HD scores higher overall (54/100 vs 41/100). 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.

Dennys Corp

CONSUMER CYCLICAL · RESTAURANTS · USA

Denny's Corporation, through its subsidiary, Denny's, Inc., owns and operates full-service restaurant chains under the Denny's brand. The company is headquartered in Spartanburg, South Carolina.

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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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