The Home Depot Inc (HD)vsMagna International Inc (MGA)
HD
The Home Depot Inc
$321.65
+0.58%
CONSUMER CYCLICAL · Cap: $320.37B
MGA
Magna International Inc
$54.38
-1.86%
CONSUMER CYCLICAL · Cap: $15.31B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 292% more annual revenue ($164.68B vs $42.01B). HD leads profitability with a 8.6% profit margin vs 2.0%. MGA appears more attractively valued with a PEG of 0.51. MGA earns a higher WallStSmart Score of 56/100 (C).
HD
Hold50
out of 100
Grade: D+
MGA
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-232.6%
Fair Value
$96.70
Current Price
$321.65
$224.95 premium
Margin of Safety
-190.1%
Fair Value
$19.92
Current Price
$54.38
$34.46 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
Reasonable price relative to book value
Growing faster than its price suggests
Generating 1.3B in free cash flow
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.0x book value
Revenue declined 3.8%
2.1% revenue growth
ROE of 7.1% — below average capital efficiency
2.0% margin — thin
Earnings declined 35.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : MGA
The strongest argument for MGA centers on Price/Book, PEG Ratio, Free Cash Flow. PEG of 0.51 suggests the stock is reasonably priced for its growth.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : MGA
The primary concerns for MGA are Revenue Growth, Return on Equity, Profit Margin. Thin 2.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
MGA carries more volatility with a beta of 1.83 — expect wider price swings.
MGA is growing revenue faster at 2.1% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MGA scores higher overall (56/100 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.
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.
Magna International Inc
CONSUMER CYCLICAL · AUTO PARTS · USA
Magna International Inc. designs, designs and manufactures components, assemblies, systems, subsystems and modules for vehicle and light truck original equipment manufacturers worldwide. The company is headquartered in Aurora, Canada.
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