The Home Depot Inc (HD)vsThe TJX Companies Inc (TJX)
HD
The Home Depot Inc
$348.86
+1.12%
CONSUMER CYCLICAL · Cap: $347.85B
TJX
The TJX Companies Inc
$155.43
+0.15%
CONSUMER CYCLICAL · Cap: $171.70B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 171% more annual revenue ($166.59B vs $61.58B). TJX leads profitability with a 9.4% profit margin vs 8.4%. HD appears more attractively valued with a PEG of 1.97. TJX earns a higher WallStSmart Score of 56/100 (C).
HD
Buy51
out of 100
Grade: C-
TJX
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-64.2%
Fair Value
$212.44
Current Price
$348.86
$136.42 premium
Margin of Safety
-11.9%
Fair Value
$138.93
Current Price
$155.43
$16.50 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 101 in profit
Safe zone — low bankruptcy risk
Generating 5.2B in free cash flow
Every $100 of equity generates 56 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Earnings expanding 29.3% YoY
Areas to Watch
Expensive relative to growth rate
4.8% revenue growth
Weak financial health signals
Trading at 25.1x book value
Premium valuation, high expectations priced in
Trading at 16.5x book value
Elevated debt levels
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 : TJX
The strongest argument for TJX centers on Return on Equity, Altman Z-Score, Market Cap.
Bear Case : HD
The primary concerns for HD are PEG Ratio, Revenue Growth, Piotroski F-Score. Debt-to-equity of 4.18 is elevated, increasing financial risk.
Bear Case : TJX
The primary concerns for TJX are P/E Ratio, Price/Book, Debt/Equity.
Key Dynamics to Monitor
HD carries more volatility with a beta of 0.97 — expect wider price swings.
TJX is growing revenue faster at 9.2% — sustainability is the question.
HD generates stronger free cash flow (5.2B), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TJX scores higher overall (56/100 vs 51/100). Both earn "Buy" and "Buy" 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.
The TJX Companies Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The TJX Companies, Inc. (abbreviated TJX) is an American multinational off-price department store corporation, headquartered in Framingham, Massachusetts.
Compare with Other HOME IMPROVEMENT RETAIL Stocks
Want to dig deeper into these stocks?