The Home Depot Inc (HD)vs3M Company (MMM)
HD
The Home Depot Inc
$332.51
+0.48%
CONSUMER CYCLICAL · Cap: $319.31B
MMM
3M Company
$148.05
+0.94%
INDUSTRIALS · Cap: $77.25B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 560% more annual revenue ($164.68B vs $24.95B). MMM leads profitability with a 13.0% profit margin vs 8.6%. MMM appears more attractively valued with a PEG of 1.43. MMM earns a higher WallStSmart Score of 54/100 (C-).
HD
Hold50
out of 100
Grade: D+
MMM
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-241.7%
Fair Value
$96.83
Current Price
$332.51
$235.68 premium
Margin of Safety
-323.6%
Fair Value
$40.80
Current Price
$148.05
$107.25 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
Every $100 of equity generates 76 in profit
Large-cap with strong market position
Generating 1.3B in free cash flow
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.9x book value
Revenue declined 3.8%
Trading at 16.7x book value
2.0% revenue growth
Earnings declined 19.9%
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : MMM
The strongest argument for MMM centers on Return on Equity, Market Cap, Free Cash Flow. PEG of 1.43 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 : MMM
The primary concerns for MMM are Price/Book, Revenue Growth, EPS Growth. Debt-to-equity of 2.75 is elevated, increasing financial risk.
Key Dynamics to Monitor
MMM carries more volatility with a beta of 1.13 — expect wider price swings.
MMM is growing revenue faster at 2.0% — 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
MMM scores higher overall (54/100 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.
3M Company
INDUSTRIALS · CONGLOMERATES · USA
The 3M Company is an American multinational conglomerate corporation operating in the fields of industry, worker safety, US health care, and consumer goods. The company produces over 60,000 products under several brands, including adhesives, abrasives, laminates, passive fire protection, personal protective equipment, window films, paint protection films, dental and orthodontic products, electrical and electronic connecting and insulating materials, medical products, car-care products, electronic circuits, healthcare software and optical films. It is based in Maplewood, a suburb of Saint Paul, Minnesota.
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