GameStop Corp. (GME)vsThe Home Depot Inc (HD)
GME
GameStop Corp.
$24.23
+0.96%
CONSUMER CYCLICAL · Cap: $11.77B
HD
The Home Depot Inc
$329.20
+0.07%
CONSUMER CYCLICAL · Cap: $328.44B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 4664% more annual revenue ($169.18B vs $3.55B). GME leads profitability with a 25.2% profit margin vs 8.4%. GME appears more attractively valued with a PEG of 0.31. GME earns a higher WallStSmart Score of 74/100 (B).
GME
Strong Buy74
out of 100
Grade: B
HD
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-85.1%
Fair Value
$13.08
Current Price
$24.23
$11.15 premium
Margin of Safety
-50.7%
Fair Value
$218.46
Current Price
$329.20
$110.74 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 64.5% YoY
Keeps 25 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 20.0%
Mega-cap, among the largest globally
Every $100 of equity generates 86 in profit
Safe zone — low bankruptcy risk
Generating 4.5B in free cash flow
Areas to Watch
Revenue declined 18.7%
Expensive relative to growth rate
Trading at 19.8x book value
4.6% earnings growth
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : GME
The strongest argument for GME centers on PEG Ratio, EPS Growth, Profit Margin. Profitability is solid with margins at 25.2% and operating margin at 20.0%. PEG of 0.31 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 : GME
The primary concerns for GME 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
GME profiles as a declining stock while HD is a value play — different risk/reward profiles.
GME carries more volatility with a beta of 1.62 — expect wider price swings.
HD is growing revenue faster at 5.7% — sustainability is the question.
HD generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
GME scores higher overall (74/100 vs 58/100), backed by strong 25.2% margins. Both earn "Strong 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.
GameStop Corp.
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
GameStop Corp. The company is headquartered in Grapevine, Texas.
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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