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HD vs MGM

HD
The Home Depot, Inc.
BEARISH
Price
$328.89
Market Cap
$327.58B
Sector
Consumer Cyclical
AI Confidence
70%
MGM
MGM Resorts International
NEUTRAL
Price
$39.27
Market Cap
$10.05B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
HD
23.1
MGM
51.67
Forward P/E
HD
20.17
MGM
16.97
P/B Ratio
HD
25.57
MGM
4.17
P/S Ratio
HD
1.99
MGM
0.57
EV/EBITDA
HD
15.68
MGM
17.06

Profitability

Gross Margin
HD
33.32%
MGM
44.42%
Operating Margin
HD
10.08%
MGM
7.06%
Profit Margin
HD
8.6%
MGM
1.17%
ROE
HD
145.54%
MGM
14.89%
ROA
HD
12.98%
MGM
2.0%

Growth

Revenue Growth
HD
-3.8%
MGM
6.0%
Earnings Growth
HD
-14.2%
MGM
115.7%

Financial Health

Debt/Equity
HD
5.14
MGM
9.63
Current Ratio
HD
1.06
MGM
1.23
Quick Ratio
HD
0.21
MGM
1.03

Dividends

Dividend Yield
HD
2.83%
MGM
--
Payout Ratio
HD
64.65%
MGM
0.0%

AI Verdict

HD BEARISH

HD shows bearish fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Concerns include weak profitability or high valuation.

Strengths
Strong ROE of 145.5%
Risks
Premium vs Graham Number ($64.2)
Declining revenue (-3.8%)
High debt burden with D/E of 5.14
MGM NEUTRAL

MGM presents a dichotomy between explosive earnings recovery and precarious financial leverage. While the Piotroski F-Score of 4/9 indicates stable but mediocre financial health, the company is trading at a significant premium to its Graham Number ($12.68) and Intrinsic Value ($22.42). Massive YoY earnings growth (115.7%) and a favorable PEG ratio (0.97) suggest strong momentum, but these are offset by an alarming Debt/Equity ratio of 9.63 and thin net profit margins.

Strengths
Explosive earnings growth (YoY EPS +115.7%)
Attractive PEG ratio (0.97) suggesting growth justifies valuation
Strong earnings beat track record (3/4 recent quarters)
Risks
Extreme leverage with a Debt/Equity ratio of 9.63
Very thin net profit margins (1.17%)
Current price ($39.27) is significantly overvalued relative to Graham and Intrinsic baselines

Compare Another Pair

HD vs MGM: Head-to-Head Comparison

This page compares The Home Depot, Inc. (HD) and MGM Resorts International (MGM) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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