The Home Depot Inc (HD)vsWingstop Inc (WING)
HD
The Home Depot Inc
$308.74
+1.00%
CONSUMER CYCLICAL · Cap: $304.98B
WING
Wingstop Inc
$117.10
+5.95%
CONSUMER CYCLICAL · Cap: $2.98B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 23373% more annual revenue ($169.18B vs $720.72M). WING leads profitability with a 16.2% profit margin vs 8.4%. WING appears more attractively valued with a PEG of 1.36. HD earns a higher WallStSmart Score of 58/100 (C).
HD
Buy58
out of 100
Grade: C
WING
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-41.8%
Fair Value
$217.78
Current Price
$308.74
$90.96 premium
Margin of Safety
-4.4%
Fair Value
$233.34
Current Price
$117.10
$116.24 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 86 in profit
Safe zone — low bankruptcy risk
Generating 4.5B in free cash flow
Conservative balance sheet, low leverage
Strong operational efficiency at 29.8%
Areas to Watch
Expensive relative to growth rate
Trading at 18.5x book value
4.6% earnings growth
Weak financial health signals
Moderate valuation
ROE of 0.0% — below average capital efficiency
Negative free cash flow — burning cash
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : WING
The strongest argument for WING centers on Debt/Equity, Operating Margin. Profitability is solid with margins at 16.2% and operating margin at 29.8%. PEG of 1.36 suggests the stock is reasonably priced for its growth.
Bear Case : HD
The primary concerns for HD are PEG Ratio, Price/Book, EPS Growth. Debt-to-equity of 3.77 is elevated, increasing financial risk.
Bear Case : WING
The primary concerns for WING are P/E Ratio, Return on Equity, Free Cash Flow.
Key Dynamics to Monitor
HD profiles as a value stock while WING is a mature play — different risk/reward profiles.
WING carries more volatility with a beta of 1.78 — expect wider price swings.
WING is growing revenue faster at 6.4% — sustainability is the question.
HD generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
HD scores higher overall (58/100 vs 55/100). 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.
Wingstop Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Wingstop Inc., franchises and operates restaurants under the Wingstop brand. The company is headquartered in Dallas, Texas.
Visit Website →Compare with Other HOME IMPROVEMENT RETAIL Stocks
Want to dig deeper into these stocks?