The Home Depot Inc (HD)vsNovartis AG ADR (NVS)
HD
The Home Depot Inc
$317.45
-1.61%
CONSUMER CYCLICAL · Cap: $321.36B
NVS
Novartis AG ADR
$146.03
+0.44%
HEALTHCARE · Cap: $277.42B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 191% more annual revenue ($164.68B vs $56.58B). NVS leads profitability with a 23.9% profit margin vs 8.6%. NVS appears more attractively valued with a PEG of 2.59. NVS earns a higher WallStSmart Score of 51/100 (C-).
HD
Hold50
out of 100
Grade: D+
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.6%
Fair Value
$243.24
Current Price
$317.45
$74.21 premium
Margin of Safety
-51.8%
Fair Value
$110.12
Current Price
$146.03
$35.91 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
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Strong operational efficiency at 30.5%
Keeps 24 of every $100 in revenue as profit
Generating 2.9B in free cash flow
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 24.7x book value
Revenue declined 3.8%
Grey zone — moderate risk
Expensive relative to growth rate
Revenue declined 0.7%
Earnings declined 9.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : NVS
The strongest argument for NVS centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 23.9% and operating margin at 30.5%.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : NVS
The primary concerns for NVS are Altman Z-Score, PEG Ratio, Revenue Growth.
Key Dynamics to Monitor
HD profiles as a value stock while NVS is a declining play — different risk/reward profiles.
HD carries more volatility with a beta of 1.00 — expect wider price swings.
NVS is growing revenue faster at -0.7% — sustainability is the question.
NVS generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
NVS scores higher overall (51/100 vs 50/100), backed by strong 23.9% margins. 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.
Novartis AG ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Novartis AG researches, develops, manufactures and markets medical devices worldwide. The company is headquartered in Basel, Switzerland.
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