HD vs MA: Which Is the Better Buy?
Side-by-side comparison of The Home Depot, Inc. and Mastercard Incorporated — 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
Mastercard Incorporated · Financial Services
$543.60
+45.0% upside to fair value
High Conviction
Grade A
High Quality
QuantHub Verdict
MA has more upside to fair value
(+45.0%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
HD |
MA |
| Current Price |
$343.30 |
$543.60 |
| Fair Value Estimate |
$462.14 |
$788.22 |
| Upside to Fair Value |
+34.6%
|
+45.0%
|
| Market Cap |
$342.3B |
$480.3B |
| Forward P/E |
24.3x
|
—
|
| EV / EBITDA |
16.5x
|
23.3x
|
| Price / Sales |
2.0x
|
14.2x
|
| Price / FCF |
23.9x
|
27.1x
|
| Revenue Growth YoY |
+4.8%
|
+15.8%
|
| Gross Margin |
33.1%
|
83.0%
|
| Operating Margin |
12.4%
|
59.4%
|
| Return on Equity |
113.3%
|
206.1%
|
| Dividend Yield |
0% |
0.62% |
| FCF Yield |
4.18%
|
3.69%
|
| 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 …
Mastercard operates a global two-sided payments network that connects issuers, acquirers, merchants and cardholders, monetizing payment volumes and an expanding set of security, data, authentication and other value-added services. Business quality is high: the network benefits from powerful acceptance and scale effects, 83.0% gross margin, 59.4% operating margin, 45.9% net margin, 206.1% ROE, and…
Accumulation Zones
| Metric |
HD |
MA |
| Zone Low |
$346.61 |
$591.16 |
| Zone High |
$392.82 |
$669.99 |
| In Buy Zone? |
Yes
|
Yes
|