The Home Depot (NYSE:HD) Vs. BABA, WMT, COST, MCD, LOW, SBUX, TGT, PDD, CVS, and JD
Should you be buying The Home Depot stock or one of its competitors? The main competitors of The Home Depot include Alibaba Group (BABA), Walmart (WMT), Costco Wholesale (COST), McDonald's (MCD), Lowe's Companies (LOW), Starbucks (SBUX), Target (TGT), Pinduoduo (PDD), CVS Health (CVS), and JD.com (JD). These companies are all part of the "retail/wholesale" sector.
The Home Depot vs.
Walmart (NYSE:WMT) and The Home Depot (NYSE:HD) are both large-cap retail/wholesale companies, but which is the better business? We will compare the two companies based on the strength of their risk, institutional ownership, valuation, media sentiment, dividends, analyst recommendations, profitability, earnings and community ranking.
Walmart pays an annual dividend of $2.20 per share and has a dividend yield of 1.6%. The Home Depot pays an annual dividend of $6.60 per share and has a dividend yield of 1.9%. Walmart pays out 40.1% of its earnings in the form of a dividend. The Home Depot pays out 54.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Walmart has increased its dividend for 45 consecutive years and The Home Depot has increased its dividend for 9 consecutive years.
Walmart presently has a consensus target price of $169.96, indicating a potential upside of 19.96%. The Home Depot has a consensus target price of $340.75, indicating a potential downside of 4.02%. Given Walmart's higher probable upside, equities analysts plainly believe Walmart is more favorable than The Home Depot.
In the previous week, Walmart had 21 more articles in the media than The Home Depot. MarketBeat recorded 32 mentions for Walmart and 11 mentions for The Home Depot. The Home Depot's average media sentiment score of 0.38 beat Walmart's score of 0.18 indicating that The Home Depot is being referred to more favorably in the news media.
Walmart has a beta of 0.47, indicating that its stock price is 53% less volatile than the S&P 500. Comparatively, The Home Depot has a beta of 1.02, indicating that its stock price is 2% more volatile than the S&P 500.
Walmart has higher revenue and earnings than The Home Depot. Walmart is trading at a lower price-to-earnings ratio than The Home Depot, indicating that it is currently the more affordable of the two stocks.
The Home Depot has a net margin of 10.55% compared to Walmart's net margin of 1.78%. The Home Depot's return on equity of 709.19% beat Walmart's return on equity.
30.2% of Walmart shares are owned by institutional investors. Comparatively, 69.0% of The Home Depot shares are owned by institutional investors. 48.4% of Walmart shares are owned by insiders. Comparatively, 0.2% of The Home Depot shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
The Home Depot received 331 more outperform votes than Walmart when rated by MarketBeat users. Likewise, 74.89% of users gave The Home Depot an outperform vote while only 62.24% of users gave Walmart an outperform vote.
Summary
The Home Depot beats Walmart on 12 of the 21 factors compared between the two stocks.
New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding HD and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Skip ChartMedia Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment >-1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Skip ChartThe Home Depot (NYSE:HD) vs. Its Competitors
The Home Depot Competitors List
