The Home Depot Inc (HD)vsRalph Lauren Corp Class A (RL)
HD
The Home Depot Inc
$323.05
+2.42%
CONSUMER CYCLICAL · Cap: $322.59B
RL
Ralph Lauren Corp Class A
$372.15
+3.37%
CONSUMER CYCLICAL · Cap: $21.96B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 2002% more annual revenue ($164.68B vs $7.83B). RL leads profitability with a 11.7% profit margin vs 8.6%. RL appears more attractively valued with a PEG of 1.64. RL earns a higher WallStSmart Score of 68/100 (B-).
HD
Hold50
out of 100
Grade: D+
RL
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-29.7%
Fair Value
$243.24
Current Price
$323.05
$79.81 premium
Margin of Safety
-69.8%
Fair Value
$211.69
Current Price
$372.15
$160.46 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
Every $100 of equity generates 34 in profit
Safe zone — low bankruptcy risk
Strong operational efficiency at 20.1%
Earnings expanding 24.9% YoY
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.1x book value
Revenue declined 3.8%
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : RL
The strongest argument for RL centers on Return on Equity, Altman Z-Score, Operating Margin. Revenue growth of 12.2% demonstrates continued momentum.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : RL
The primary concerns for RL are PEG Ratio.
Key Dynamics to Monitor
RL carries more volatility with a beta of 1.48 — expect wider price swings.
RL is growing revenue faster at 12.2% — 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
RL scores higher overall (68/100 vs 50/100) and 12.2% revenue growth. Both earn "Strong 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.
Ralph Lauren Corp Class A
CONSUMER CYCLICAL · APPAREL MANUFACTURING · USA
Ralph Lauren Corporation is an American fashion company producing products ranging from the mid-range to the luxury segments. They are known for the clothing, marketing and distribution of products in four categories: apparel, home, accessories, and fragrances.
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