The Home Depot Inc (HD)vsTexas Instruments Incorporated (TXN)
HD
The Home Depot Inc
$332.51
+0.48%
CONSUMER CYCLICAL · Cap: $319.31B
TXN
Texas Instruments Incorporated
$196.77
+1.10%
TECHNOLOGY · Cap: $179.15B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 831% more annual revenue ($164.68B vs $17.68B). TXN leads profitability with a 28.3% profit margin vs 8.6%. TXN appears more attractively valued with a PEG of 1.47. TXN earns a higher WallStSmart Score of 63/100 (C+).
HD
Hold50
out of 100
Grade: D+
TXN
Buy63
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
-430.9%
Fair Value
$37.06
Current Price
$196.77
$159.71 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 30 in profit
Strong operational efficiency at 34.0%
Safe zone — low bankruptcy risk
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Generating 1.3B in free cash flow
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 11.0x book value
Earnings declined 3.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : TXN
The strongest argument for TXN centers on Return on Equity, Operating Margin, Altman Z-Score. Profitability is solid with margins at 28.3% and operating margin at 34.0%. Revenue growth of 10.4% demonstrates continued momentum.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : TXN
The primary concerns for TXN are P/E Ratio, Price/Book, EPS Growth.
Key Dynamics to Monitor
HD profiles as a value stock while TXN is a mature play — different risk/reward profiles.
HD carries more volatility with a beta of 1.04 — expect wider price swings.
TXN is growing revenue faster at 10.4% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Bottom Line
TXN scores higher overall (63/100 vs 50/100), backed by strong 28.3% margins and 10.4% 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.
Texas Instruments Incorporated
TECHNOLOGY · SEMICONDUCTORS · USA
Texas Instruments Incorporated (TI) is an American technology company headquartered in Dallas, Texas, that designs and manufactures semiconductors and various integrated circuits, which it sells to electronics designers and manufacturers globally. It is one of the top 10 semiconductor companies worldwide based on sales volume.
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