Emerson Electric Company (EMR)vsThe Home Depot Inc (HD)
EMR
Emerson Electric Company
$130.86
+0.55%
INDUSTRIALS · Cap: $73.18B
HD
The Home Depot Inc
$332.51
+0.48%
CONSUMER CYCLICAL · Cap: $319.31B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 805% more annual revenue ($164.68B vs $18.19B). EMR leads profitability with a 12.7% profit margin vs 8.6%. EMR appears more attractively valued with a PEG of 1.64. EMR earns a higher WallStSmart Score of 51/100 (C-).
EMR
Buy51
out of 100
Grade: C-
HD
Hold50
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-159.6%
Fair Value
$59.58
Current Price
$130.86
$71.28 premium
Margin of Safety
-241.7%
Fair Value
$96.83
Current Price
$332.51
$235.68 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Strong operational efficiency at 24.6%
Mega-cap, among the largest globally
Every $100 of equity generates 146 in profit
Safe zone — low bankruptcy risk
Generating 2.3B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
4.1% revenue growth
4.9% earnings growth
Weak financial health signals
Expensive relative to growth rate
Trading at 25.9x book value
Revenue declined 3.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : EMR
The strongest argument for EMR centers on Market Cap, Operating Margin.
Bull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bear Case : EMR
The primary concerns for EMR are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Key Dynamics to Monitor
EMR carries more volatility with a beta of 1.24 — expect wider price swings.
EMR is growing revenue faster at 4.1% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
EMR scores higher overall (51/100 vs 50/100). 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.
Emerson Electric Company
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri. The Fortune 500 company manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets.
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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