The Home Depot Inc (HD)vsHonda Motor Co Ltd ADR (HMC)
HD
The Home Depot Inc
$311.40
-1.91%
CONSUMER CYCLICAL · Cap: $302.78B
HMC
Honda Motor Co Ltd ADR
$23.98
-2.16%
CONSUMER CYCLICAL · Cap: $31.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Honda Motor Co Ltd ADR generates 12856% more annual revenue ($21.34T vs $164.68B). HD leads profitability with a 8.6% profit margin vs 2.3%. HD appears more attractively valued with a PEG of 2.90. HD earns a higher WallStSmart Score of 50/100 (D+).
HD
Hold50
out of 100
Grade: D+
HMC
Hold39
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-24.2%
Fair Value
$243.58
Current Price
$311.40
$67.82 premium
Intrinsic value data unavailable for HMC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 146 in profit
Safe zone — low bankruptcy risk
Generating 2.3B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Generating 160.9B in free cash flow
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 24.2x book value
Revenue declined 3.8%
Grey zone — moderate risk
ROE of 4.3% — below average capital efficiency
2.3% margin — thin
Operating margin of 2.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : HMC
The strongest argument for HMC centers on P/E Ratio, Price/Book, Free Cash Flow.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : HMC
The primary concerns for HMC are Altman Z-Score, Return on Equity, Profit Margin. Thin 2.3% margins leave little buffer for downturns.
Key Dynamics to Monitor
HD carries more volatility with a beta of 1.00 — expect wider price swings.
HMC is growing revenue faster at -3.4% — sustainability is the question.
HMC generates stronger free cash flow (160.9B), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HD scores higher overall (50/100 vs 39/100). Both earn "Hold" 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.
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.
Honda Motor Co Ltd ADR
CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA
Honda Motor Co., Ltd. develops, manufactures, and distributes motorcycles, automobiles, electrical products, and other products in Japan, North America, Europe, Asia, and internationally. The company is headquartered in Tokyo, Japan.
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