The Home Depot Inc (HD)vsSynopsys Inc (SNPS)
HD
The Home Depot Inc
$332.51
-1.23%
CONSUMER CYCLICAL · Cap: $331.18B
SNPS
Synopsys Inc
$410.13
-1.99%
TECHNOLOGY · Cap: $78.57B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 1957% more annual revenue ($164.68B vs $8.01B). SNPS leads profitability with a 13.8% profit margin vs 8.6%. SNPS appears more attractively valued with a PEG of 2.77. SNPS earns a higher WallStSmart Score of 51/100 (C-).
HD
Hold45
out of 100
Grade: D+
SNPS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-239.4%
Fair Value
$96.76
Current Price
$332.51
$235.75 premium
Margin of Safety
-825.0%
Fair Value
$44.34
Current Price
$410.13
$365.79 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
Revenue surging 65.5% year-over-year
Large-cap with strong market position
Reasonable price relative to book value
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Trading at 25.9x book value
Revenue declined 3.8%
ROE of 5.5% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : SNPS
The strongest argument for SNPS centers on Revenue Growth, Market Cap, Price/Book. Revenue growth of 65.5% demonstrates continued momentum.
Bear Case : HD
The primary concerns for HD are Piotroski F-Score, PEG Ratio, Price/Book.
Bear Case : SNPS
The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 62.9x leaves little room for execution misses.
Key Dynamics to Monitor
HD profiles as a value stock while SNPS is a growth play — different risk/reward profiles.
SNPS carries more volatility with a beta of 1.16 — expect wider price swings.
SNPS is growing revenue faster at 65.5% — sustainability is the question.
HD generates stronger free cash flow (2.3B), providing more financial flexibility.
Bottom Line
SNPS scores higher overall (51/100 vs 45/100) and 65.5% revenue growth. 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.
Synopsys Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.
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