The Home Depot Inc (HD)vsWilliams-Sonoma Inc (WSM)
HD
The Home Depot Inc
$299.98
-0.84%
CONSUMER CYCLICAL · Cap: $304.98B
WSM
Williams-Sonoma Inc
$224.20
+2.41%
CONSUMER CYCLICAL · Cap: $26.83B
Smart Verdict
WallStSmart Research — data-driven comparison
The Home Depot Inc generates 2013% more annual revenue ($169.18B vs $8.01B). WSM leads profitability with a 14.7% profit margin vs 8.4%. HD appears more attractively valued with a PEG of 1.73. WSM earns a higher WallStSmart Score of 64/100 (C+).
HD
Buy58
out of 100
Grade: C
WSM
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-38.8%
Fair Value
$217.98
Current Price
$299.98
$82.00 premium
Intrinsic value data unavailable for WSM.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 86 in profit
Safe zone — low bankruptcy risk
Generating 4.5B in free cash flow
Every $100 of equity generates 55 in profit
Safe zone — low bankruptcy risk
Earnings expanding 42.0% YoY
Areas to Watch
Expensive relative to growth rate
Trading at 18.0x book value
4.6% earnings growth
Weak financial health signals
Trading at 14.1x book value
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : HD
The strongest argument for HD centers on Market Cap, Return on Equity, Altman Z-Score.
Bull Case : WSM
The strongest argument for WSM centers on Return on Equity, Altman Z-Score, EPS Growth.
Bear Case : HD
The primary concerns for HD are PEG Ratio, Price/Book, EPS Growth. Debt-to-equity of 3.77 is elevated, increasing financial risk.
Bear Case : WSM
The primary concerns for WSM are Price/Book, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
WSM carries more volatility with a beta of 1.46 — expect wider price swings.
WSM is growing revenue faster at 6.7% — sustainability is the question.
HD generates stronger free cash flow (4.5B), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
WSM scores higher overall (64/100 vs 58/100). 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.
Williams-Sonoma Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Williams-Sonoma, Inc. is an omnichannel specialty retailer of various home products. The company is headquartered in San Francisco, California.
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