The Home Depot Inc (HD)vsH&R Block Inc (HRB)
HD
The Home Depot Inc
$310.78
+0.73%
CONSUMER CYCLICAL · Cap: $310.62B
HRB
H&R Block Inc
$37.46
+1.76%
CONSUMER CYCLICAL · Cap: $4.63B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 4159% more annual revenue ($166.59B vs $3.91B). HRB leads profitability with a 18.9% profit margin vs 8.4%. HRB appears more attractively valued with a PEG of 0.51. HRB earns a higher WallStSmart Score of 75/100 (B+).
HD
Buy54
out of 100
Grade: C-
HRB
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-46.5%
Fair Value
$212.07
Current Price
$310.78
$98.71 premium
Margin of Safety
-38.6%
Fair Value
$26.35
Current Price
$37.46
$11.11 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 101 in profit
Safe zone — low bankruptcy risk
Generating 5.2B in free cash flow
Attractively priced relative to earnings
Every $100 of equity generates 68 in profit
Strong operational efficiency at 43.2%
Conservative balance sheet, low leverage
Growing faster than its price suggests
Earnings expanding 24.2% YoY
Areas to Watch
Expensive relative to growth rate
4.8% revenue growth
Weak financial health signals
Trading at 22.3x book value
Grey zone — moderate risk
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : HRB
The strongest argument for HRB centers on P/E Ratio, Return on Equity, Operating Margin. Profitability is solid with margins at 18.9% and operating margin at 43.2%. PEG of 0.51 suggests the stock is reasonably priced for its growth.
Bear Case : HD
The primary concerns for HD are PEG Ratio, Revenue Growth, Piotroski F-Score. Debt-to-equity of 4.18 is elevated, increasing financial risk.
Bear Case : HRB
The primary concerns for HRB are Altman Z-Score.
Key Dynamics to Monitor
HD profiles as a value stock while HRB is a mature play — different risk/reward profiles.
HD carries more volatility with a beta of 1.00 — expect wider price swings.
HRB is growing revenue faster at 5.3% — sustainability is the question.
HD generates stronger free cash flow (5.2B), providing more financial flexibility.
Bottom Line
HRB scores higher overall (75/100 vs 54/100), backed by strong 18.9% margins. Both earn "Strong 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.
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.
H&R Block Inc
CONSUMER CYCLICAL · PERSONAL SERVICES · USA
H&R Block, Inc., provides services and products for assisted preparation of income tax returns and self-preparation of income tax returns (DIY) to the general public, primarily in the United States, Canada and Australia. The company is headquartered in Kansas City, Missouri.
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