WallStSmart

General Motors Company (GM)vsThe Home Depot Inc (HD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

General Motors Company generates 11% more annual revenue ($184.62B vs $166.59B). HD leads profitability with a 8.4% profit margin vs 1.4%. GM appears more attractively valued with a PEG of 0.35. HD earns a higher WallStSmart Score of 54/100 (C-).

GM

Buy

52

out of 100

Grade: C-

Growth: 3.3Profit: 4.5Value: 6.0Quality: 3.5
Piotroski: 3/9Altman Z: 1.20

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

GMSignificantly Overvalued (-31.2%)

Margin of Safety

-31.2%

Fair Value

$62.59

Current Price

$82.64

$20.05 premium

UndervaluedFair: $62.59Overvalued
HDSignificantly Overvalued (-52.3%)

Margin of Safety

-52.3%

Fair Value

$213.23

Current Price

$332.98

$119.75 premium

UndervaluedFair: $213.23Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GM4 strengths · Avg: 9.3/10
PEG RatioValuation
0.3510/10

Growing faster than its price suggests

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Market CapQuality
$74.28B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.44B8/10

Generating 1.4B in free cash flow

HD4 strengths · Avg: 9.5/10
Market CapQuality
$337.89B10/10

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

GM4 concerns · Avg: 3.3/10
P/E RatioValuation
29.0x4/10

Moderate valuation

Return on EquityProfitability
4.0%3/10

ROE of 4.0% — below average capital efficiency

Profit MarginProfitability
1.4%3/10

1.4% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

HD4 concerns · Avg: 3.3/10
PEG RatioValuation
1.884/10

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
23.9x2/10

Trading at 23.9x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : GM

The strongest argument for GM centers on PEG Ratio, Price/Book, Market Cap. PEG of 0.35 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 : GM

The primary concerns for GM are P/E Ratio, Return on Equity, Profit Margin. Debt-to-equity of 2.04 is elevated, increasing financial risk. Thin 1.4% 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

GM carries more volatility with a beta of 1.31 — 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 AUTO MANUFACTURERS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

HD scores higher overall (54/100 vs 52/100). 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.

General Motors Company

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

General Motors Company (GM) is an American multinational corporation headquartered in Detroit, Michigan that designs, manufactures, markets, and distributes vehicles and vehicle parts, and sells financial services, with global headquarters in Detroit's Renaissance Center.

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.

Want to dig deeper into these stocks?