The Home Depot Inc (HD)vsParker-Hannifin Corporation (PH)
HD
The Home Depot Inc
$332.51
+0.48%
CONSUMER CYCLICAL · Cap: $319.31B
PH
Parker-Hannifin Corporation
$921.56
-0.33%
INDUSTRIALS · Cap: $116.70B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 705% more annual revenue ($164.68B vs $20.46B). PH leads profitability with a 17.3% profit margin vs 8.6%. HD appears more attractively valued with a PEG of 2.94. PH earns a higher WallStSmart Score of 54/100 (C-).
HD
Hold50
out of 100
Grade: D+
PH
Buy54
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
-435.1%
Fair Value
$186.12
Current Price
$921.56
$735.44 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
Large-cap with strong market position
Every $100 of equity generates 26 in profit
Strong operational efficiency at 21.7%
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.9x book value
Revenue declined 3.8%
Premium valuation, high expectations priced in
Trading at 8.1x book value
Expensive relative to growth rate
Earnings declined 9.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : PH
The strongest argument for PH centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.3% and operating margin at 21.7%.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : PH
The primary concerns for PH are P/E Ratio, Price/Book, PEG Ratio.
Key Dynamics to Monitor
HD profiles as a value stock while PH is a mature play — different risk/reward profiles.
PH carries more volatility with a beta of 1.22 — expect wider price swings.
PH is growing revenue faster at 9.1% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Bottom Line
PH scores higher overall (54/100 vs 50/100), backed by strong 17.3% 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.
Parker-Hannifin Corporation
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Parker-Hannifin Corporation, originally Parker Appliance Company, usually referred to as just Parker, is an American corporation specializing in motion and control technologies. Its corporate headquarters are in Mayfield Heights, Ohio, in Greater Cleveland.
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