WallStSmart

Arko Corp (ARKO)vsThe Home Depot Inc (HD)

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Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 2357% more annual revenue ($169.18B vs $6.89B). HD leads profitability with a 8.4% profit margin vs 0.2%. HD trades at a lower P/E of 20.8x. HD earns a higher WallStSmart Score of 56/100 (C).

ARKO

Hold

44

out of 100

Grade: D

Growth: 4.0Profit: 4.0Value: 4.3Quality: 5.5
Piotroski: 5/9Altman Z: 2.48

HD

Buy

56

out of 100

Grade: C

Growth: 4.7Profit: 7.5Value: 3.3Quality: 5.0
Piotroski: 2/9Altman Z: 3.59
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ARKOUndervalued (+11.9%)

Margin of Safety

+11.9%

Fair Value

$7.15

Current Price

$4.23

$2.92 discount

UndervaluedFair: $7.15Overvalued
HDSignificantly Overvalued (-34.0%)

Margin of Safety

-34.0%

Fair Value

$217.98

Current Price

$292.14

$74.16 premium

UndervaluedFair: $217.98Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARKO2 strengths · Avg: 9.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
22.2%8/10

Revenue surging 22.2% year-over-year

HD4 strengths · Avg: 9.5/10
Market CapQuality
$296.03B10/10

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

Areas to Watch

ARKO4 concerns · Avg: 3.0/10
Market CapQuality
$474.55M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.0%3/10

ROE of 3.0% — below average capital efficiency

Profit MarginProfitability
0.2%3/10

0.2% margin — thin

Operating MarginProfitability
1.6%3/10

Operating margin of 1.6%

HD4 concerns · Avg: 3.3/10
Price/BookValuation
17.5x4/10

Trading at 17.5x book value

EPS GrowthGrowth
4.6%4/10

4.6% earnings growth

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 : ARKO

The strongest argument for ARKO centers on Price/Book, Revenue Growth. Revenue growth of 22.2% demonstrates continued momentum.

Bull Case : HD

The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.

Bear Case : ARKO

The primary concerns for ARKO are Market Cap, Return on Equity, Profit Margin. A P/E of 52.9x leaves little room for execution misses. Debt-to-equity of 4.65 is elevated, increasing financial risk.

Bear Case : HD

The primary concerns for HD are Price/Book, EPS Growth, Piotroski F-Score. Debt-to-equity of 3.77 is elevated, increasing financial risk.

Key Dynamics to Monitor

ARKO profiles as a growth stock while HD is a value play — different risk/reward profiles.

HD carries more volatility with a beta of 0.95 — expect wider price swings.

ARKO is growing revenue faster at 22.2% — sustainability is the question.

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

Bottom Line

HD scores higher overall (56/100 vs 44/100). 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.

Arko Corp

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Arko Corp. The company is headquartered in Richmond, Virginia.

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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