The Home Depot Inc (HD)vsRobinhood Markets Inc (HOOD)
HD
The Home Depot Inc
$332.51
-1.23%
CONSUMER CYCLICAL · Cap: $331.18B
HOOD
Robinhood Markets Inc
$72.54
+5.01%
FINANCIAL SERVICES · Cap: $62.19B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 3582% more annual revenue ($164.68B vs $4.47B). HOOD leads profitability with a 42.1% profit margin vs 8.6%. HD trades at a lower P/E of 23.4x. HOOD earns a higher WallStSmart Score of 56/100 (C).
HD
Hold45
out of 100
Grade: D+
HOOD
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-239.4%
Fair Value
$96.76
Current Price
$332.51
$235.75 premium
Margin of Safety
-439.5%
Fair Value
$13.94
Current Price
$72.54
$58.60 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Keeps 42 of every $100 in revenue as profit
Strong operational efficiency at 46.5%
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Revenue surging 26.5% year-over-year
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.9x book value
Revenue declined 3.8%
Premium valuation, high expectations priced in
Elevated debt levels
Weak financial health signals
Earnings declined 34.5%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : HOOD
The strongest argument for HOOD centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 42.1% and operating margin at 46.5%. Revenue growth of 26.5% demonstrates continued momentum.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : HOOD
The primary concerns for HOOD are P/E Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.68 is elevated, increasing financial risk.
Key Dynamics to Monitor
HD profiles as a value stock while HOOD is a growth play — different risk/reward profiles.
HOOD carries more volatility with a beta of 2.48 — expect wider price swings.
HOOD is growing revenue faster at 26.5% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Bottom Line
HOOD scores higher overall (56/100 vs 45/100), backed by strong 42.1% margins and 26.5% revenue growth. 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.
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.
Robinhood Markets Inc
FINANCIAL SERVICES · CAPITAL MARKETS · USA
Robinhood Markets Inc (HOOD) is a leading fintech innovator that has revolutionized retail investing by offering a commission-free trading platform since 2013. With its intuitive mobile application, the company enables a diverse range of market participants to access stocks, ETFs, options, and cryptocurrencies, fostering financial literacy and inclusivity. Robinhood's commitment to transparency and product innovation, including features like fractional shares and cash management services, solidifies its role as a significant player in the digital brokerage industry, appealing to a new generation of investors looking for accessible and efficient ways to navigate financial markets.
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