HD vs KO: Which Is the Better Buy?
Side-by-side comparison of The Home Depot, Inc. and The Coca-Cola Company — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-17.
The Home Depot, Inc. · Consumer Cyclical
$343.30
+34.6% upside to fair value
Grade A
High Quality
VS
The Coca-Cola Company · Consumer Defensive
$84.92
-10.2% upside to fair value
Grade C
High Quality
QuantHub Verdict
HD has more upside to fair value
(+34.6%).
HD trades at a lower forward P/E
(24.3x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
HD |
KO |
| Current Price |
$343.30 |
$84.92 |
| Fair Value Estimate |
$462.14 |
$76.30 |
| Upside to Fair Value |
+34.6%
|
-10.2%
|
| Market Cap |
$342.3B |
$365.4B |
| Forward P/E |
24.3x
|
26.6x
|
| EV / EBITDA |
16.5x
|
20.7x
|
| Price / Sales |
2.0x
|
7.4x
|
| Price / FCF |
23.9x
|
29.1x
|
| Revenue Growth YoY |
+4.8%
|
+12.1%
|
| Gross Margin |
33.1%
|
61.7%
|
| Operating Margin |
12.4%
|
29.3%
|
| Return on Equity |
113.3%
|
43.6%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
4.18%
|
3.44%
|
| Analyst Consensus |
Buy
|
Strong Buy
|
Investment Thesis
The Home Depot, Inc. operates as a leading home improvement retailer in the consumer cyclical sector, leveraging a strong brand and cost advantages to maintain a durable competitive moat. Despite a modest revenue growth of 4.8% and a decline in earnings by 4.2% in the most recent quarter, the company exhibits exceptional profitability metrics including a 113.3% return on equity and solid margins …
The Coca-Cola Company is a leading global beverage company specializing in non-alcoholic drinks with a durable competitive moat driven by its strong brand and extensive distribution network. The business quality is high, evidenced by a 43.6% return on equity, robust gross margin of 61.7%, and solid revenue and earnings growth of 12.1% and 17.8% respectively in the most recent quarter. Despite the…
Accumulation Zones
| Metric |
HD |
KO |
| Zone Low |
$346.61 |
$57.22 |
| Zone High |
$392.82 |
$64.85 |
| In Buy Zone? |
Yes
|
No
|