HD vs NFLX: Which Is the Better Buy?
Side-by-side comparison of The Home Depot, Inc. and Netflix, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
The Home Depot, Inc. · Consumer Cyclical
$334.28
+34.7% upside to fair value
Grade A
High Quality
VS
Netflix, Inc. · Communication Services
$77.38
+45.0% upside to fair value
Grade B
High Quality
QuantHub Verdict
NFLX has more upside to fair value
(+45.0%).
HD trades at a lower forward P/E
(23.7x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
HD |
NFLX |
| Current Price |
$334.28 |
$77.38 |
| Fair Value Estimate |
$450.15 |
$112.20 |
| Upside to Fair Value |
+34.7%
|
+45.0%
|
| Market Cap |
$333.3B |
$325.8B |
| Forward P/E |
23.7x
|
24.5x
|
| EV / EBITDA |
16.1x
|
9.7x
|
| Price / Sales |
2.0x
|
7.0x
|
| Price / FCF |
23.3x
|
27.4x
|
| Revenue Growth YoY |
+4.8%
|
+16.2%
|
| Gross Margin |
33.1%
|
49.0%
|
| Operating Margin |
12.4%
|
29.7%
|
| Return on Equity |
113.3%
|
49.2%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
4.3%
|
3.65%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
The Home Depot, Inc. is the leading U.S. home improvement retailer with a dominant market share of approximately 47 to 50 percent, significantly ahead of Lowe's at 17 to 19 percent. The company benefits from a durable competitive moat driven by scale, a robust supply chain, and a pro-customer infrastructure. Its management team is composed of long-tenured insiders, including CEO Ted Decker who ha…
Netflix, Inc. operates a global streaming entertainment platform with a durable competitive moat driven by its massive scale, significant content investment, and advanced technology and data capabilities. The company benefits from strong revenue growth of 16.2% and earnings growth of 82.8% in the most recent quarter, supported by a subscriber base exceeding 300 million and expanding advertising r…
Accumulation Zones
| Metric |
HD |
NFLX |
| Zone Low |
$337.61 |
$84.15 |
| Zone High |
$382.63 |
$95.37 |
| In Buy Zone? |
Yes
|
Yes
|