HD vs XOM: Which Is the Better Buy?
Side-by-side comparison of The Home Depot, Inc. and Exxon Mobil Corporation β fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-13.
The Home Depot, Inc. Β· Consumer Cyclical
$343.30
+34.6% upside to fair value
Grade A
High Quality
VS
Exxon Mobil Corporation Β· Energy
$137.81
-45.0% upside to fair value
Grade C
QuantHub Verdict
HD has more upside to fair value
(+34.6%).
XOM trades at a lower forward P/E
(22.8x).
These are model outputs β not personalized investment advice.
See all research β
Valuation & Fundamentals
| Metric |
HD |
XOM |
| Current Price |
$343.30 |
$137.81 |
| Fair Value Estimate |
$462.14 |
$75.80 |
| Upside to Fair Value |
+34.6%
|
-45.0%
|
| Market Cap |
$342.3B |
$571.2B |
| Forward P/E |
24.3x
|
22.8x
|
| EV / EBITDA |
16.5x
|
10.1x
|
| Price / Sales |
2.0x
|
1.8x
|
| Price / FCF |
23.9x
|
30.4x
|
| Revenue Growth YoY |
+4.8%
|
+2.6%
|
| Gross Margin |
33.1%
|
25.5%
|
| Operating Margin |
12.4%
|
9.0%
|
| Return on Equity |
113.3%
|
9.8%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
4.18%
|
3.29%
|
| 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 β¦
Exxon Mobil Corporation is a leading integrated oil and gas company with a durable competitive moat based on its scale, integration, advantaged long-life resources, proprietary technology, and irreplaceable infrastructure. The company is led by a long-tenured management team with a strong capital allocation track record focused on dividends and buybacks. Despite these strengths, Exxon is currentlβ¦
Accumulation Zones
| Metric |
HD |
XOM |
| Zone Low |
$346.61 |
$56.85 |
| Zone High |
$392.82 |
$64.43 |
| In Buy Zone? |
Yes
|
No
|