Amazon.com Inc (AMZN)vsThe Home Depot Inc (HD)
AMZN
Amazon.com Inc
$260.21
-0.35%
CONSUMER CYCLICAL · Cap: $2.60T
HD
The Home Depot Inc
$343.44
-1.85%
CONSUMER CYCLICAL · Cap: $328.44B
Smart Verdict
WallStSmart Research — data-driven comparison
Amazon.com Inc generates 371% more annual revenue ($797.46B vs $169.18B). AMZN leads profitability with a 16.9% profit margin vs 8.4%. AMZN appears more attractively valued with a PEG of 1.39. AMZN earns a higher WallStSmart Score of 62/100 (C+).
AMZN
Buy62
out of 100
Grade: C+
HD
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-44.3%
Fair Value
$166.60
Current Price
$260.21
$93.61 premium
Margin of Safety
-57.0%
Fair Value
$218.75
Current Price
$343.44
$124.69 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 25 in profit
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
Areas to Watch
Weak financial health signals
Earnings declined 3.1%
Negative free cash flow — burning cash
Expensive relative to growth rate
4.6% earnings growth
Weak financial health signals
Trading at 20.6x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : AMZN
The strongest argument for AMZN centers on Market Cap, Return on Equity. Profitability is solid with margins at 16.9% and operating margin at 13.9%. Revenue growth of 12.1% demonstrates continued momentum.
Bull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bear Case : AMZN
The primary concerns for AMZN are Piotroski F-Score, EPS Growth, Free Cash Flow.
Bear Case : HD
The primary concerns for HD are PEG Ratio, EPS Growth, Piotroski F-Score. Debt-to-equity of 3.77 is elevated, increasing financial risk.
Key Dynamics to Monitor
AMZN profiles as a mature stock while HD is a value play — different risk/reward profiles.
AMZN carries more volatility with a beta of 1.46 — expect wider price swings.
AMZN is growing revenue faster at 12.1% — sustainability is the question.
HD generates stronger free cash flow (4.5B), providing more financial flexibility.
Bottom Line
AMZN scores higher overall (62/100 vs 58/100), backed by strong 16.9% margins and 12.1% revenue growth. 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.
Amazon.com Inc
CONSUMER CYCLICAL · INTERNET RETAIL · USA
Amazon.com, Inc. is an American multinational technology company which focuses on e-commerce, cloud computing, digital streaming, and artificial intelligence. It is one of the Big Five companies in the U.S. information technology industry, along with Google, Apple, Microsoft, and Facebook. The company has been referred to as one of the most influential economic and cultural forces in the world, as well as the world's most valuable brand.
Visit Website →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.
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