HD vs WMT: Which Is the Better Buy?
Side-by-side comparison of The Home Depot, Inc. and Walmart Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-25.
The Home Depot, Inc. · Consumer Cyclical
$292.18
+44.2% upside to fair value
Med Conviction
Grade B
High Quality
VS
Walmart Inc. · Consumer Defensive
$106.73
-10.8% upside to fair value
Med Conviction
Grade C
High Quality
QuantHub Verdict
HD has more upside to fair value
(+44.2%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
HD |
WMT |
| Current Price |
$292.18 |
$106.73 |
| Fair Value Estimate |
$421.26 |
$95.24 |
| Upside to Fair Value |
+44.2%
|
-10.8%
|
| Market Cap |
$291.3B |
$849.4B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
14.7x
|
21.3x
|
| Price / Sales |
1.7x
|
1.1x
|
| Price / FCF |
19.2x
|
62.8x
|
| Revenue Growth YoY |
+5.7%
|
+5.9%
|
| Gross Margin |
33.2%
|
25.2%
|
| Operating Margin |
12.4%
|
4.4%
|
| Return on Equity |
102.7%
|
22.7%
|
| Dividend Yield |
3.18% |
0.92% |
| FCF Yield |
5.2%
|
1.59%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
The Home Depot is the largest home-improvement retailer in the United States, operating a network of roughly 2,300 stores supported by about 472,400 full-time employees, and serving both do-it-yourself homeowners and professional contractors through stores, homedepot.com, and specialty sites such as blinds.com. The business quality is high: it generates a 102.7% return on equity, a 33.2% trailing…
Walmart Inc. is the world's largest retailer by revenue, operating more than 10,000 stores and clubs across Walmart U.S., Walmart International, and Sam's Club, with a fast-growing e-commerce and advertising ecosystem layered on top of a grocery-led, everyday-low-price model. The business quality is high: scale and sourcing power underpin a durable cost advantage, ROE is 22.7%, and revenue grew 5…
Accumulation Zones
| Metric |
HD |
WMT |
| Zone Low |
$315.94 |
$71.43 |
| Zone High |
$358.07 |
$80.95 |
| In Buy Zone? |
Yes
|
No
|