WallStSmart

The Home Depot Inc (HD)vsMelco Resorts & Entertainment Ltd (MLCO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 3140% more annual revenue ($169.18B vs $5.22B). HD leads profitability with a 8.4% profit margin vs 4.5%. MLCO appears more attractively valued with a PEG of 0.39. HD earns a higher WallStSmart Score of 58/100 (C).

HD

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 7.5Value: 4.0Quality: 5.0
Piotroski: 2/9Altman Z: 3.59

MLCO

Hold

48

out of 100

Grade: D+

Growth: 7.3Profit: 4.5Value: 8.3Quality: 6.0
Piotroski: 6/9Altman Z: 0.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDSignificantly Overvalued (-38.8%)

Margin of Safety

-38.8%

Fair Value

$217.98

Current Price

$300.07

$82.09 premium

UndervaluedFair: $217.98Overvalued

Intrinsic value data unavailable for MLCO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HD4 strengths · Avg: 9.5/10
Market CapQuality
$304.98B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
85.6%10/10

Every $100 of equity generates 86 in profit

Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Free Cash FlowQuality
$4.51B8/10

Generating 4.5B in free cash flow

MLCO4 strengths · Avg: 9.5/10
PEG RatioValuation
0.3910/10

Growing faster than its price suggests

P/E RatioValuation
8.7x10/10

Attractively priced relative to earnings

Debt/EquityHealth
-4.4710/10

Conservative balance sheet, low leverage

EPS GrowthGrowth
35.7%8/10

Earnings expanding 35.7% YoY

Areas to Watch

HD4 concerns · Avg: 3.8/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

Price/BookValuation
18.0x4/10

Trading at 18.0x book value

EPS GrowthGrowth
4.6%4/10

4.6% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

MLCO4 concerns · Avg: 2.5/10
Market CapQuality
$1.95B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.5%3/10

4.5% margin — thin

Return on EquityProfitability
-2157.0%2/10

ROE of -2157.0% — below average capital efficiency

Revenue GrowthGrowth
-5.7%2/10

Revenue declined 5.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : HD

The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.

Bull Case : MLCO

The strongest argument for MLCO centers on PEG Ratio, P/E Ratio, Debt/Equity. PEG of 0.39 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 : MLCO

The primary concerns for MLCO are Market Cap, Profit Margin, Return on Equity. Thin 4.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

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.

Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

HD scores higher overall (58/100 vs 48/100). Both earn "Buy" 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.

Melco Resorts & Entertainment Ltd

CONSUMER CYCLICAL · RESORTS & CASINOS · USA

Melco Resorts & Entertainment Limited develops, owns and operates casino gaming facilities and resorts in Asia and Europe.

Want to dig deeper into these stocks?