WallStSmart

The Home Depot Inc (HD)vsRCI Hospitality Holdings Inc (RICK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 59054% more annual revenue ($166.59B vs $281.63M). HD leads profitability with a 8.4% profit margin vs -2.3%. RICK appears more attractively valued with a PEG of 0.79. RICK earns a higher WallStSmart Score of 60/100 (C).

HD

Buy

54

out of 100

Grade: C-

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

RICK

Buy

60

out of 100

Grade: C

Growth: 6.0Profit: 4.5Value: 7.7Quality: 4.5
Piotroski: 4/9Altman Z: 1.58
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDSignificantly Overvalued (-46.5%)

Margin of Safety

-46.5%

Fair Value

$212.07

Current Price

$310.78

$98.71 premium

UndervaluedFair: $212.07Overvalued
RICKUndervalued (+53.5%)

Margin of Safety

+53.5%

Fair Value

$50.35

Current Price

$24.66

$25.69 discount

UndervaluedFair: $50.35Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HD4 strengths · Avg: 9.5/10
Market CapQuality
$310.62B10/10

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

RICK3 strengths · Avg: 9.3/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

EPS GrowthGrowth
350.0%10/10

Earnings expanding 350.0% YoY

PEG RatioValuation
0.798/10

Growing faster than its price suggests

Areas to Watch

HD4 concerns · Avg: 3.3/10
PEG RatioValuation
1.764/10

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
22.3x2/10

Trading at 22.3x book value

RICK4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
4.3%4/10

4.3% revenue growth

Altman Z-ScoreHealth
1.584/10

Distress zone — elevated risk

Market CapQuality
$194.86M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.213/10

Elevated debt levels

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 : RICK

The strongest argument for RICK centers on Price/Book, EPS Growth, PEG Ratio. PEG of 0.79 suggests the stock is reasonably priced for its growth.

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 : RICK

The primary concerns for RICK are Revenue Growth, Altman Z-Score, Market Cap.

Key Dynamics to Monitor

HD profiles as a value stock while RICK is a turnaround play — different risk/reward profiles.

HD carries more volatility with a beta of 1.00 — 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.

Bottom Line

RICK scores higher overall (60/100 vs 54/100). 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.

RCI Hospitality Holdings Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

RCI Hospitality Holdings, Inc., is engaged in hospitality and related businesses in the United States. The company is headquartered in Houston, Texas.

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