The Home Depot Inc (HD)vsCharles Schwab Corp (SCHW)
HD
The Home Depot Inc
$317.45
-1.61%
CONSUMER CYCLICAL · Cap: $321.36B
SCHW
Charles Schwab Corp
$88.61
-0.64%
FINANCIAL SERVICES · Cap: $156.82B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 564% more annual revenue ($164.68B vs $24.80B). SCHW leads profitability with a 38.0% profit margin vs 8.6%. SCHW appears more attractively valued with a PEG of 1.18. SCHW earns a higher WallStSmart Score of 75/100 (B+).
HD
Hold50
out of 100
Grade: D+
SCHW
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.6%
Fair Value
$243.24
Current Price
$317.45
$74.21 premium
Intrinsic value data unavailable for SCHW.
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
Keeps 38 of every $100 in revenue as profit
Strong operational efficiency at 49.2%
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
15.8% revenue growth
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 24.7x book value
Revenue declined 3.8%
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : SCHW
The strongest argument for SCHW centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 38.0% and operating margin at 49.2%. Revenue growth of 15.8% demonstrates continued momentum.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : SCHW
No major red flags identified for SCHW, but monitor valuation.
Key Dynamics to Monitor
HD profiles as a value stock while SCHW is a growth play — different risk/reward profiles.
HD carries more volatility with a beta of 1.00 — expect wider price swings.
SCHW is growing revenue faster at 15.8% — sustainability is the question.
SCHW generates stronger free cash flow (7.2B), providing more financial flexibility.
Bottom Line
SCHW scores higher overall (75/100 vs 50/100), backed by strong 38.0% margins and 15.8% revenue growth. Both earn "Strong 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.
Charles Schwab Corp
FINANCIAL SERVICES · CAPITAL MARKETS · USA
The Charles Schwab Corporation is an American multinational financial services company. It offers banking, commercial banking, an electronic trading platform, and wealth management advisory services to both retail and institutional clients.
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