HD vs UPS: Which Is the Better Buy?
Side-by-side comparison of The Home Depot, Inc. and United Parcel Service, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-13.
The Home Depot, Inc. · Consumer Cyclical
$343.30
+34.6% upside to fair value
Grade A
High Quality
VS
United Parcel Service, Inc. · Industrials
$105.00
+12.9% upside to fair value
Grade B
QuantHub Verdict
HD has more upside to fair value
(+34.6%).
UPS trades at a lower forward P/E
(17.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
HD |
UPS |
| Current Price |
$343.30 |
$105.00 |
| Fair Value Estimate |
$462.14 |
$118.53 |
| Upside to Fair Value |
+34.6%
|
+12.9%
|
| Market Cap |
$342.3B |
$89.2B |
| Forward P/E |
24.3x
|
17.0x
|
| EV / EBITDA |
16.5x
|
9.6x
|
| Price / Sales |
2.0x
|
1.0x
|
| Price / FCF |
23.9x
|
19.8x
|
| Revenue Growth YoY |
+4.8%
|
-1.6%
|
| Gross Margin |
33.1%
|
17.8%
|
| Operating Margin |
12.4%
|
8.5%
|
| Return on Equity |
113.3%
|
33.0%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
4.18%
|
5.06%
|
| Analyst Consensus |
Buy
|
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 …
United Parcel Service, Inc. operates as a global integrated freight and logistics company with a strong presence in U.S. domestic package delivery, international package services, and supply chain solutions. The company benefits from a durable competitive moat supported by its extensive network capabilities, premium service positioning, and strategic focus on higher-margin segments such as health…
Accumulation Zones
| Metric |
HD |
UPS |
| Zone Low |
$346.61 |
$88.90 |
| Zone High |
$392.82 |
$100.75 |
| In Buy Zone? |
Yes
|
No
|