WallStSmart

Humana Inc (HUM)vsToronto Dominion Bank (TD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Humana Inc generates 132% more annual revenue ($137.20B vs $59.18B). TD leads profitability with a 25.2% profit margin vs 0.8%. TD appears more attractively valued with a PEG of 1.01. TD earns a higher WallStSmart Score of 61/100 (C+).

HUM

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 4.5Value: 5.3Quality: 6.5
Piotroski: 4/9Altman Z: 3.91

TD

Buy

61

out of 100

Grade: C+

Growth: 4.7Profit: 7.5Value: 5.7Quality: 3.0
Piotroski: 5/9Altman Z: -0.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HUMUndervalued (+23.7%)

Margin of Safety

+23.7%

Fair Value

$403.67

Current Price

$350.08

$53.59 discount

UndervaluedFair: $403.67Overvalued

Intrinsic value data unavailable for TD.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HUM4 strengths · Avg: 8.5/10
Altman Z-ScoreHealth
3.9110/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
23.5%8/10

Revenue surging 23.5% year-over-year

Free Cash FlowQuality
$1.13B8/10

Generating 1.1B in free cash flow

TD5 strengths · Avg: 9.2/10
Operating MarginProfitability
35.4%10/10

Strong operational efficiency at 35.4%

Free Cash FlowQuality
$10.20B10/10

Generating 10.2B in free cash flow

Market CapQuality
$193.85B9/10

Large-cap with strong market position

Profit MarginProfitability
25.2%9/10

Keeps 25 of every $100 in revenue as profit

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Areas to Watch

HUM4 concerns · Avg: 3.3/10
PEG RatioValuation
2.154/10

Expensive relative to growth rate

Return on EquityProfitability
6.1%3/10

ROE of 6.1% — below average capital efficiency

Profit MarginProfitability
0.8%3/10

0.8% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

TD4 concerns · Avg: 1.8/10
Revenue GrowthGrowth
-31.5%2/10

Revenue declined 31.5%

EPS GrowthGrowth
-61.2%2/10

Earnings declined 61.2%

Altman Z-ScoreHealth
-0.642/10

Distress zone — elevated risk

Debt/EquityHealth
2.221/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : HUM

The strongest argument for HUM centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 23.5% demonstrates continued momentum.

Bull Case : TD

The strongest argument for TD centers on Operating Margin, Free Cash Flow, Market Cap. Profitability is solid with margins at 25.2% and operating margin at 35.4%. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bear Case : HUM

The primary concerns for HUM are PEG Ratio, Return on Equity, Profit Margin. A P/E of 40.5x leaves little room for execution misses. Thin 0.8% margins leave little buffer for downturns.

Bear Case : TD

The primary concerns for TD are Revenue Growth, EPS Growth, Altman Z-Score. Debt-to-equity of 2.22 is elevated, increasing financial risk.

Key Dynamics to Monitor

HUM profiles as a growth stock while TD is a declining play — different risk/reward profiles.

TD carries more volatility with a beta of 0.88 — expect wider price swings.

HUM is growing revenue faster at 23.5% — sustainability is the question.

TD generates stronger free cash flow (10.2B), providing more financial flexibility.

Bottom Line

TD scores higher overall (61/100 vs 52/100), backed by strong 25.2% margins. HUM offers better value entry with a 23.7% margin of safety. 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.

Humana Inc

HEALTHCARE · HEALTHCARE PLANS · USA

Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.

Visit Website →

Toronto Dominion Bank

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Toronto-Dominion Bank offers a variety of personal and commercial banking products and services in Canada and the United States. The company is headquartered in Toronto, Canada.

Visit Website →

Want to dig deeper into these stocks?