WallStSmart

The Home Depot Inc (HD)vsLeggett & Platt Incorporated (LEG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 4116% more annual revenue ($166.59B vs $3.95B). HD leads profitability with a 8.4% profit margin vs 5.7%. HD appears more attractively valued with a PEG of 1.86. LEG earns a higher WallStSmart Score of 54/100 (C-).

HD

Buy

51

out of 100

Grade: C-

Growth: 3.3Profit: 7.5Value: 4.0Quality: 5.0
Piotroski: 2/9Altman Z: 3.59

LEG

Buy

54

out of 100

Grade: C-

Growth: 2.0Profit: 6.5Value: 7.3Quality: 6.5
Piotroski: 5/9Altman Z: 2.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDSignificantly Overvalued (-57.4%)

Margin of Safety

-57.4%

Fair Value

$212.44

Current Price

$342.86

$130.42 premium

UndervaluedFair: $212.44Overvalued
LEGUndervalued (+47.2%)

Margin of Safety

+47.2%

Fair Value

$23.47

Current Price

$10.91

$12.56 discount

UndervaluedFair: $23.47Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HD4 strengths · Avg: 9.5/10
Market CapQuality
$336.21B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
101.0%10/10

Every $100 of equity generates 101 in profit

Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Free Cash FlowQuality
$5.19B8/10

Generating 5.2B in free cash flow

LEG3 strengths · Avg: 9.7/10
P/E RatioValuation
6.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Return on EquityProfitability
25.2%9/10

Every $100 of equity generates 25 in profit

Areas to Watch

HD4 concerns · Avg: 3.3/10
PEG RatioValuation
1.864/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.8%4/10

4.8% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Price/BookValuation
24.6x2/10

Trading at 24.6x book value

LEG4 concerns · Avg: 2.8/10
Market CapQuality
$1.45B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
5.7%3/10

5.7% margin — thin

Debt/EquityHealth
1.593/10

Elevated debt levels

PEG RatioValuation
2.962/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : HD

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

Bull Case : LEG

The strongest argument for LEG centers on P/E Ratio, Price/Book, Return on Equity.

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 : LEG

The primary concerns for LEG are Market Cap, Profit Margin, Debt/Equity. Debt-to-equity of 1.59 is elevated, increasing financial risk.

Key Dynamics to Monitor

HD carries more volatility with a beta of 0.97 — 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

LEG scores higher overall (54/100 vs 51/100). Both earn "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.

Leggett & Platt Incorporated

CONSUMER CYCLICAL · FURNISHINGS, FIXTURES & APPLIANCES · USA

Leggett & Platt (L&P), based in Carthage, Missouri, is a diversified manufacturer that designs and produces various engineered components and products.

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