WallStSmart

The Home Depot Inc (HD)vsZumiez Inc (ZUMZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Home Depot Inc generates 17659% more annual revenue ($166.59B vs $938.06M). HD leads profitability with a 8.4% profit margin vs 1.5%. ZUMZ appears more attractively valued with a PEG of 0.96. ZUMZ earns a higher WallStSmart Score of 59/100 (C).

HD

Buy

54

out of 100

Grade: C-

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

ZUMZ

Buy

59

out of 100

Grade: C

Growth: 5.3Profit: 3.5Value: 7.3Quality: 6.5
Piotroski: 4/9Altman Z: 2.47
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
ZUMZUndervalued (+29.2%)

Margin of Safety

+29.2%

Fair Value

$34.10

Current Price

$17.39

$16.71 discount

UndervaluedFair: $34.10Overvalued

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

ZUMZ3 strengths · Avg: 8.7/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.968/10

Growing faster than its price suggests

EPS GrowthGrowth
49.1%8/10

Earnings expanding 49.1% YoY

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

ZUMZ4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

Market CapQuality
$310.28M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
4.1%3/10

ROE of 4.1% — below average capital efficiency

Profit MarginProfitability
1.5%3/10

1.5% margin — thin

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 : ZUMZ

The strongest argument for ZUMZ centers on Price/Book, PEG Ratio, EPS Growth. PEG of 0.96 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 : ZUMZ

The primary concerns for ZUMZ are Revenue Growth, Market Cap, Return on Equity. Thin 1.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

HD carries more volatility with a beta of 1.00 — expect wider price swings.

ZUMZ is growing revenue faster at 4.9% — sustainability is the question.

HD generates stronger free cash flow (5.2B), providing more financial flexibility.

Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ZUMZ scores higher overall (59/100 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.

Zumiez Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Zumiez Inc., is a specialty retailer of clothing, footwear, accessories and durable goods for young men and women. The company is headquartered in Lynnwood, Washington.

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