WallStSmart

The Home Depot Inc (HD)vsRoss Stores Inc (ROST)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 624% more annual revenue ($164.68B vs $22.75B). ROST leads profitability with a 9.4% profit margin vs 8.6%. HD appears more attractively valued with a PEG of 2.95. ROST earns a higher WallStSmart Score of 56/100 (C).

HD

Hold

50

out of 100

Grade: D+

Growth: 2.7Profit: 7.5Value: 3.3Quality: 5.8
Piotroski: 2/9Altman Z: 3.82

ROST

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 7.5Value: 3.3Quality: 7.0
Piotroski: 5/9Altman Z: 3.10
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDSignificantly Overvalued (-35.5%)

Margin of Safety

-35.5%

Fair Value

$242.56

Current Price

$322.81

$80.25 premium

UndervaluedFair: $242.56Overvalued
ROSTOvervalued (-5.1%)

Margin of Safety

-5.1%

Fair Value

$183.26

Current Price

$225.08

$41.82 premium

UndervaluedFair: $183.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HD4 strengths · Avg: 9.5/10
Market CapQuality
$321.53B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
145.5%10/10

Every $100 of equity generates 146 in profit

Altman Z-ScoreHealth
3.8210/10

Safe zone — low bankruptcy risk

Free Cash FlowQuality
$2.29B8/10

Generating 2.3B in free cash flow

ROST3 strengths · Avg: 9.7/10
Return on EquityProfitability
36.7%10/10

Every $100 of equity generates 37 in profit

Altman Z-ScoreHealth
3.1010/10

Safe zone — low bankruptcy risk

Market CapQuality
$73.68B9/10

Large-cap with strong market position

Areas to Watch

HD4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.952/10

Expensive relative to growth rate

Price/BookValuation
25.1x2/10

Trading at 25.1x book value

Revenue GrowthGrowth
-3.8%2/10

Revenue declined 3.8%

ROST3 concerns · Avg: 3.3/10
P/E RatioValuation
34.5x4/10

Premium valuation, high expectations priced in

Price/BookValuation
11.7x4/10

Trading at 11.7x book value

PEG RatioValuation
3.282/10

Expensive relative to growth rate

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 : ROST

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

The primary concerns for ROST are P/E Ratio, Price/Book, PEG Ratio.

Key Dynamics to Monitor

HD carries more volatility with a beta of 1.08 — expect wider price swings.

ROST 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

ROST scores higher overall (56/100 vs 50/100) and 12.2% revenue growth. 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.

Ross Stores Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Ross Stores, Inc., operating under the brand name Ross Dress for Less, is an American chain of discount department stores headquartered in Dublin, California.

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