The Home Depot Inc (HD)vsTeradyne Inc (TER)
HD
The Home Depot Inc
$317.45
-1.61%
CONSUMER CYCLICAL · Cap: $321.36B
TER
Teradyne Inc
$359.77
+1.60%
TECHNOLOGY · Cap: $55.43B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 4249% more annual revenue ($164.68B vs $3.79B). TER leads profitability with a 22.6% profit margin vs 8.6%. TER appears more attractively valued with a PEG of 1.51. TER earns a higher WallStSmart Score of 75/100 (B+).
HD
Hold50
out of 100
Grade: D+
TER
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.6%
Fair Value
$243.24
Current Price
$317.45
$74.21 premium
Intrinsic value data unavailable for TER.
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
Strong operational efficiency at 37.6%
Revenue surging 87.0% year-over-year
Earnings expanding 314.8% YoY
Large-cap with strong market position
Every $100 of equity generates 29 in profit
Keeps 23 of every $100 in revenue as profit
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 24.7x book value
Revenue declined 3.8%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 20.1x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : TER
The strongest argument for TER centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 22.6% and operating margin at 37.6%. Revenue growth of 87.0% demonstrates continued momentum.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : TER
The primary concerns for TER are PEG Ratio, P/E Ratio, Price/Book. A P/E of 65.7x leaves little room for execution misses.
Key Dynamics to Monitor
HD profiles as a value stock while TER is a growth play — different risk/reward profiles.
TER carries more volatility with a beta of 1.79 — expect wider price swings.
TER is growing revenue faster at 87.0% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Bottom Line
TER scores higher overall (75/100 vs 50/100), backed by strong 22.6% margins and 87.0% 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.
Teradyne Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Teradyne, Inc. is an American automatic test equipment (ATE) designer and manufacturer based in North Reading, Massachusetts.
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