The Home Depot Inc (HD)vsInterContinental Hotels Group PLC ADR (IHG)
HD
The Home Depot Inc
$310.78
+0.73%
CONSUMER CYCLICAL · Cap: $310.62B
IHG
InterContinental Hotels Group PLC ADR
$162.15
+1.02%
CONSUMER CYCLICAL · Cap: $24.79B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 3110% more annual revenue ($166.59B vs $5.19B). IHG leads profitability with a 14.6% profit margin vs 8.4%. IHG appears more attractively valued with a PEG of 1.57. HD earns a higher WallStSmart Score of 54/100 (C-).
HD
Buy54
out of 100
Grade: C-
IHG
Hold43
out of 100
Grade: D
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
-83.6%
Fair Value
$79.39
Current Price
$162.15
$82.76 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
Conservative balance sheet, low leverage
Strong operational efficiency at 22.2%
Areas to Watch
Expensive relative to growth rate
4.8% revenue growth
Weak financial health signals
Trading at 22.3x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
2.7% revenue growth
Distress zone — elevated 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 : IHG
The strongest argument for IHG centers on Debt/Equity, Operating Margin.
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 : IHG
The primary concerns for IHG are PEG Ratio, P/E Ratio, Revenue Growth.
Key Dynamics to Monitor
IHG carries more volatility with a beta of 1.04 — expect wider price swings.
HD is growing revenue faster at 4.8% — sustainability is the question.
HD generates stronger free cash flow (5.2B), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HD scores higher overall (54/100 vs 43/100). 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.
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.
InterContinental Hotels Group PLC ADR
CONSUMER CYCLICAL · LODGING · USA
InterContinental Hotels Group PLC owns, manages, franchises, and leases hotels in the Americas, Europe, Asia, the Middle East, Africa, and Greater China. The company is headquartered in Denham, the United Kingdom.
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