HD vs XOM: Which Is the Better Buy?
Side-by-side comparison of The Home Depot, Inc. and Exxon Mobil Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-11.
The Home Depot, Inc. · Consumer Cyclical
$337.34
+12.1% upside to fair value
Med Conviction
Grade B
VS
Exxon Mobil Corporation · Energy
$152.30
-33.0% upside to fair value
Med Conviction
Grade C+
QuantHub Verdict
HD has more upside to fair value
(+12.1%).
XOM trades at a lower forward P/E
(17.5x).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
HD |
XOM |
| Current Price |
$337.34 |
$152.30 |
| Fair Value Estimate |
$378.00 |
$102.00 |
| Upside to Fair Value |
+12.1%
|
-33.0%
|
| Market Cap |
$336.0B |
$634.6B |
| Forward P/E |
23.0x
|
17.5x
|
| EV / EBITDA |
18.1x
|
9.8x
|
| Price / Sales |
2.3x
|
2.0x
|
| Price / FCF |
29.7x
|
26.9x
|
| Revenue Growth YoY |
+3.2%
|
-4.5%
|
| Gross Margin |
33.3%
|
21.7%
|
| Operating Margin |
12.7%
|
10.5%
|
| Return on Equity |
110.5%
|
11.1%
|
| Dividend Yield |
2.44% |
2.65% |
| FCF Yield |
3.37%
|
3.72%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
Home Depot remains the world's largest home improvement retailer with 2,350+ stores, dominant 52% market share, and a rapidly growing Pro contractor segment bolstered by the SRS Distribution acquisition. The stock has declined 21% from its $427 high to $337, but now trades at 2.28x P/S, near the 5-year median of 2.31x, and 26.5x P/E which is above the 5-year median of 23.5x. EPS declined 4.6% in …
Exxon Mobil is a world-class integrated energy supermajor with unmatched Permian Basin scale following the Pioneer Natural Resources acquisition, a high-margin Guyana growth engine, and disciplined capital allocation. However, the stock remains significantly overvalued relative to its own 5-year history on every key metric. At $152, XOM trades at roughly 22x trailing earnings, 1.96x sales, and 27…
Accumulation Zones
| Metric |
HD |
XOM |
| Zone Low |
$285.00 |
$77.00 |
| Zone High |
$320.00 |
$92.00 |
| In Buy Zone? |
No
|
No
|