The Home Depot Inc (HD)vsOtter Tail Corporation (OTTR)
HD
The Home Depot Inc
$332.51
+0.48%
CONSUMER CYCLICAL · Cap: $319.31B
OTTR
Otter Tail Corporation
$86.55
-0.62%
INDUSTRIALS · Cap: $3.65B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 12529% more annual revenue ($164.68B vs $1.30B). OTTR leads profitability with a 21.2% profit margin vs 8.6%. OTTR appears more attractively valued with a PEG of 1.72. OTTR earns a higher WallStSmart Score of 63/100 (C+).
HD
Hold50
out of 100
Grade: D+
OTTR
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-241.7%
Fair Value
$96.83
Current Price
$332.51
$235.68 premium
Margin of Safety
-92.9%
Fair Value
$44.54
Current Price
$86.55
$42.01 premium
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
Keeps 21 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 22.2%
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.9x book value
Revenue declined 3.8%
Expensive relative to growth rate
1.6% revenue growth
Distress zone — elevated risk
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 : OTTR
The strongest argument for OTTR centers on Profit Margin, P/E Ratio, Price/Book. Profitability is solid with margins at 21.2% and operating margin at 22.2%.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : OTTR
The primary concerns for OTTR are PEG Ratio, Revenue Growth, Altman Z-Score.
Key Dynamics to Monitor
HD carries more volatility with a beta of 1.04 — expect wider price swings.
OTTR is growing revenue faster at 1.6% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
OTTR scores higher overall (63/100 vs 50/100), backed by strong 21.2% margins. 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.
Otter Tail Corporation
INDUSTRIALS · CONGLOMERATES · USA
Otter Tail Corporation is engaged in electrical service, manufacturing and plastic piping businesses in the United States. The company is headquartered in Fergus Falls, Minnesota.
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