WallStSmart

The Home Depot Inc (HD)vsWilliams-Sonoma Inc (WSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 2013% more annual revenue ($169.18B vs $8.01B). WSM leads profitability with a 14.7% profit margin vs 8.4%. HD appears more attractively valued with a PEG of 1.73. WSM earns a higher WallStSmart Score of 64/100 (C+).

HD

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 7.5Value: 4.0Quality: 5.0
Piotroski: 2/9Altman Z: 3.59

WSM

Buy

64

out of 100

Grade: C+

Growth: 6.0Profit: 8.5Value: 4.3Quality: 6.0
Piotroski: 2/9Altman Z: 3.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDSignificantly Overvalued (-38.8%)

Margin of Safety

-38.8%

Fair Value

$217.98

Current Price

$299.98

$82.00 premium

UndervaluedFair: $217.98Overvalued

Intrinsic value data unavailable for WSM.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HD4 strengths · Avg: 9.5/10
Market CapQuality
$304.98B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
85.6%10/10

Every $100 of equity generates 86 in profit

Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Free Cash FlowQuality
$4.51B8/10

Generating 4.5B in free cash flow

WSM3 strengths · Avg: 9.3/10
Return on EquityProfitability
55.1%10/10

Every $100 of equity generates 55 in profit

Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

EPS GrowthGrowth
42.0%8/10

Earnings expanding 42.0% YoY

Areas to Watch

HD4 concerns · Avg: 3.8/10
PEG RatioValuation
1.734/10

Expensive relative to growth rate

Price/BookValuation
18.0x4/10

Trading at 18.0x book value

EPS GrowthGrowth
4.6%4/10

4.6% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

WSM3 concerns · Avg: 3.0/10
Price/BookValuation
14.1x4/10

Trading at 14.1x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.582/10

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 : WSM

The strongest argument for WSM centers on Return on Equity, Altman Z-Score, EPS 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 : WSM

The primary concerns for WSM are Price/Book, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

WSM carries more volatility with a beta of 1.46 — expect wider price swings.

WSM is growing revenue faster at 6.7% — sustainability is the question.

HD generates stronger free cash flow (4.5B), providing more financial flexibility.

Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

WSM scores higher overall (64/100 vs 58/100). 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.

Williams-Sonoma Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Williams-Sonoma, Inc. is an omnichannel specialty retailer of various home products. The company is headquartered in San Francisco, California.

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