WallStSmart

The Home Depot Inc (HD)vsXponential Fitness Inc (XPOF)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 55670% more annual revenue ($166.59B vs $298.71M). HD leads profitability with a 8.4% profit margin vs -12.6%. HD earns a higher WallStSmart Score of 51/100 (C-).

HD

Buy

51

out of 100

Grade: C-

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

XPOF

Avoid

32

out of 100

Grade: F

Growth: 3.3Profit: 5.0Value: 6.0Quality: 5.0
Piotroski: 4/9Altman Z: -2.19
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Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDSignificantly Overvalued (-57.4%)

Margin of Safety

-57.4%

Fair Value

$212.44

Current Price

$310.78

$98.34 premium

UndervaluedFair: $212.44Overvalued
XPOFUndervalued (+18.9%)

Margin of Safety

+18.9%

Fair Value

$10.32

Current Price

$5.34

$4.98 discount

UndervaluedFair: $10.32Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HD4 strengths · Avg: 9.5/10
Market CapQuality
$336.21B10/10

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

XPOF2 strengths · Avg: 9.0/10
Debt/EquityHealth
-1.6510/10

Conservative balance sheet, low leverage

Operating MarginProfitability
24.7%8/10

Strong operational efficiency at 24.7%

Areas to Watch

HD4 concerns · Avg: 3.3/10
PEG RatioValuation
1.864/10

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

XPOF4 concerns · Avg: 2.3/10
Market CapQuality
$334.90M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-28.8%2/10

ROE of -28.8% — below average capital efficiency

Revenue GrowthGrowth
-21.0%2/10

Revenue declined 21.0%

EPS GrowthGrowth
-81.7%2/10

Earnings declined 81.7%

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 : XPOF

The strongest argument for XPOF centers on Debt/Equity, Operating Margin.

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 : XPOF

The primary concerns for XPOF are Market Cap, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

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

XPOF carries more volatility with a beta of 1.12 — 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

HD scores higher overall (51/100 vs 32/100). XPOF offers better value entry with a 18.9% margin of safety. Both earn "Buy" and "Avoid" 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.

Xponential Fitness Inc

CONSUMER CYCLICAL · LEISURE · USA

Xponential Fitness Inc. (XPOF) is a prominent leader in the boutique fitness franchise industry, boasting a robust portfolio of well-known brands such as Club Pilates, CycleBar, and StretchLab. The company's community-focused model delivers tailored fitness experiences, aligning with the increasing consumer demand in the health and wellness sector. Xponential's strategic franchise framework not only enhances scalability but also positions it favorably to capitalize on evolving market trends. With a dedication to quality and innovation, Xponential Fitness offers compelling investment prospects for institutional investors seeking to engage in the dynamic fitness landscape.

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