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HD vs PENN

HD
The Home Depot, Inc.
BEARISH
Price
$328.89
Market Cap
$327.58B
Sector
Consumer Cyclical
AI Confidence
70%
PENN
PENN Entertainment, Inc.
BEARISH
Price
$16.14
Market Cap
$2.16B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
HD
23.1
PENN
--
Forward P/E
HD
20.17
PENN
11.09
P/B Ratio
HD
25.57
PENN
1.11
P/S Ratio
HD
1.99
PENN
0.31
EV/EBITDA
HD
15.68
PENN
17.48

Profitability

Gross Margin
HD
33.32%
PENN
33.79%
Operating Margin
HD
10.08%
PENN
4.91%
Profit Margin
HD
8.6%
PENN
-12.11%
ROE
HD
145.54%
PENN
-36.08%
ROA
HD
12.98%
PENN
1.17%

Growth

Revenue Growth
HD
-3.8%
PENN
8.2%
Earnings Growth
HD
-14.2%
PENN
--

Financial Health

Debt/Equity
HD
5.14
PENN
6.17
Current Ratio
HD
1.06
PENN
0.79
Quick Ratio
HD
0.21
PENN
0.63

Dividends

Dividend Yield
HD
2.83%
PENN
--
Payout Ratio
HD
64.65%
PENN
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
PENN BEARISH

PENN exhibits severe financial distress as evidenced by a weak Piotroski F-Score of 2/9 and an alarming Debt/Equity ratio of 6.17. While the stock appears cheap on a Price-to-Sales (0.31) and Price-to-Book (1.11) basis, these metrics are overshadowed by negative profit margins (-12.11%) and a critical lack of short-term liquidity (Current Ratio 0.79). Despite a 'Buy' consensus from analysts, the company's historical earnings track record is characterized by massive misses and extreme volatility, suggesting a high-risk value trap.

Strengths
Very low Price-to-Sales ratio (0.31) suggesting deep valuation discount
Positive year-over-year revenue growth of 8.20%
Price-to-Book ratio near 1.0, indicating the stock is trading close to its accounting value
Risks
Extreme leverage with a Debt/Equity ratio of 6.17
Poor financial health indicated by a Piotroski F-Score of 2/9
Liquidity risk with a Current Ratio of 0.79 and Quick Ratio of 0.63

Compare Another Pair

HD vs PENN: Head-to-Head Comparison

This page compares The Home Depot, Inc. (HD) and PENN Entertainment, Inc. (PENN) 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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