The Home Depot Inc (HD)vsProcter & Gamble Company (PG)
HD
The Home Depot Inc
$332.51
+0.48%
CONSUMER CYCLICAL · Cap: $319.31B
PG
Procter & Gamble Company
$143.92
+0.53%
CONSUMER DEFENSIVE · Cap: $337.14B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 93% more annual revenue ($164.68B vs $85.26B). PG leads profitability with a 19.3% profit margin vs 8.6%. HD appears more attractively valued with a PEG of 2.94. PG earns a higher WallStSmart Score of 55/100 (C).
HD
Hold50
out of 100
Grade: D+
PG
Buy55
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
-211.9%
Fair Value
$45.90
Current Price
$143.92
$98.02 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
Mega-cap, among the largest globally
Every $100 of equity generates 32 in profit
Safe zone — low bankruptcy risk
Strong operational efficiency at 26.3%
Generating 3.8B in free cash flow
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.9x book value
Revenue declined 3.8%
1.5% revenue growth
Expensive relative to growth rate
Earnings declined 5.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : PG
The strongest argument for PG centers on Market Cap, Return on Equity, Altman Z-Score. Profitability is solid with margins at 19.3% and operating margin at 26.3%.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : PG
The primary concerns for PG are Revenue Growth, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
HD carries more volatility with a beta of 1.04 — expect wider price swings.
PG is growing revenue faster at 1.5% — sustainability is the question.
PG generates stronger free cash flow (3.8B), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PG scores higher overall (55/100 vs 50/100), backed by strong 19.3% 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.
Procter & Gamble Company
CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA
The Procter & Gamble Company (P&G) is an American multinational consumer goods corporation headquartered in Cincinnati, Ohio, founded in 1837 by William Procter and James Gamble. It specializes in a wide range of personal health, consumer health, personal care, and hygiene products; these products are organized into several segments including Beauty; Grooming; Health Care; Fabric & Home Care; and Baby, Feminine, & Family Care. Before the sale of Pringles to Kellogg's, its product portfolio also included food, snacks, and beverages.
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