The Home Depot Inc (HD)vsLegacy Housing Corp (LEGH)
HD
The Home Depot Inc
$308.74
+1.00%
CONSUMER CYCLICAL · Cap: $304.98B
LEGH
Legacy Housing Corp
$27.67
+0.65%
CONSUMER CYCLICAL · Cap: $663.27M
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 94175% more annual revenue ($169.18B vs $179.45M). LEGH leads profitability with a 28.6% profit margin vs 8.4%. LEGH appears more attractively valued with a PEG of 0.61. LEGH earns a higher WallStSmart Score of 79/100 (B+).
HD
Buy58
out of 100
Grade: C
LEGH
Strong Buy79
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-41.8%
Fair Value
$217.78
Current Price
$308.74
$90.96 premium
Margin of Safety
-55.6%
Fair Value
$13.91
Current Price
$27.67
$13.76 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Reasonable price relative to book value
Strong operational efficiency at 39.9%
Revenue surging 32.3% year-over-year
Earnings expanding 64.6% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Trading at 18.5x book value
4.6% earnings growth
Weak financial health signals
Smaller company, higher risk/reward
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : LEGH
The strongest argument for LEGH centers on Price/Book, Operating Margin, Revenue Growth. Profitability is solid with margins at 28.6% and operating margin at 39.9%. Revenue growth of 32.3% demonstrates continued momentum.
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.
Bear Case : LEGH
The primary concerns for LEGH are Market Cap, Piotroski F-Score.
Key Dynamics to Monitor
HD profiles as a value stock while LEGH is a growth play — different risk/reward profiles.
HD carries more volatility with a beta of 0.95 — expect wider price swings.
LEGH is growing revenue faster at 32.3% — sustainability is the question.
HD generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
LEGH scores higher overall (79/100 vs 58/100), backed by strong 28.6% margins and 32.3% revenue growth. 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.
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.
Legacy Housing Corp
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
Legacy Housing Corporation builds, sells, and finances manufactured homes and tiny homes primarily in the southern United States. The company is headquartered in Bedford, Texas.
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