HD vs SLB: Which Is the Better Buy?

Side-by-side comparison of The Home Depot, Inc. and SLB N.V. โ€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-13.
The Home Depot, Inc. ยท Consumer Cyclical
$343.30
+34.6% upside to fair value
Grade A High Quality
VS
SLB N.V. ยท Energy
$48.09
-33.4% upside to fair value
Grade C
QuantHub Verdict
HD has more upside to fair value (+34.6%). SLB trades at a lower forward P/E (21.8x). These are model outputs โ€” not personalized investment advice. See all research โ†’
Valuation & Fundamentals
Metric HD SLB
Current Price $343.30 $48.09
Fair Value Estimate $462.14 $32.01
Upside to Fair Value +34.6% -33.4%
Market Cap $342.3B $71.9B
Forward P/E 24.3x 21.8x
EV / EBITDA 16.5x 10.9x
Price / Sales 2.0x 2.0x
Price / FCF 23.9x 15.4x
Revenue Growth YoY +4.8% +2.7%
Gross Margin 33.1% 17.3%
Operating Margin 12.4% 14.4%
Return on Equity 113.3% 13.5%
Dividend Yield 0% 0%
FCF Yield 4.18% 6.51%
Analyst Consensus Buy Strong Buy
Investment Thesis
HD โ€” The Home Depot, Inc.
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 โ€ฆ
SLB โ€” SLB N.V.
SLB N.V. is a global leader in oilfield services, specializing in well construction, production systems, reservoir performance, and digital solutions. The company benefits from a durable competitive moat anchored in technology, integrated service breadth, and global infrastructure, with a management team that has long tenure and deep industry experience. Despite solid free cash flow generation ofโ€ฆ
Accumulation Zones
Metric HD SLB
Zone Low $346.61 $24.01
Zone High $392.82 $27.21
In Buy Zone? Yes No
โ† HD Research    SLB Research โ†’    All Research