The Home Depot Inc (HD)vsLululemon Athletica Inc. (LULU)
HD
The Home Depot Inc
$300.07
-0.84%
CONSUMER CYCLICAL · Cap: $304.98B
LULU
Lululemon Athletica Inc.
$99.39
+3.55%
CONSUMER CYCLICAL · Cap: $11.42B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 1425% more annual revenue ($169.18B vs $11.09B). LULU leads profitability with a 12.8% profit margin vs 8.4%. LULU appears more attractively valued with a PEG of 0.77. LULU earns a higher WallStSmart Score of 62/100 (C+).
HD
Buy58
out of 100
Grade: C
LULU
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-38.8%
Fair Value
$217.98
Current Price
$300.07
$82.09 premium
Margin of Safety
+70.5%
Fair Value
$595.37
Current Price
$99.39
$495.98 discount
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
Attractively priced relative to earnings
Every $100 of equity generates 30 in profit
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Trading at 18.0x book value
4.6% earnings growth
Weak financial health signals
Weak financial health signals
Revenue declined 4.3%
Earnings declined 5.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : LULU
The strongest argument for LULU centers on P/E Ratio, Return on Equity, Altman Z-Score. PEG of 0.77 suggests the stock is reasonably priced for its 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.
Bear Case : LULU
The primary concerns for LULU are Piotroski F-Score, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
HD profiles as a value stock while LULU is a declining play — different risk/reward profiles.
HD carries more volatility with a beta of 0.95 — 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
LULU scores higher overall (62/100 vs 58/100). 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.
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.
Lululemon Athletica Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
lululemon athletica inc. The company is headquartered in Vancouver, Canada.
Visit Website →Compare with Other HOME IMPROVEMENT RETAIL Stocks
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