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HD vs THRM

HD
The Home Depot, Inc.
BEARISH
Price
$328.89
Market Cap
$327.58B
Sector
Consumer Cyclical
AI Confidence
70%
THRM
Gentherm Incorporated
NEUTRAL
Price
$29.58
Market Cap
$906.6M
Sector
Consumer Cyclical
AI Confidence
80%

Valuation

P/E Ratio
HD
23.1
THRM
50.14
Forward P/E
HD
20.17
THRM
9.58
P/B Ratio
HD
25.57
THRM
1.25
P/S Ratio
HD
1.99
THRM
0.6
EV/EBITDA
HD
15.68
THRM
6.29

Profitability

Gross Margin
HD
33.32%
THRM
24.17%
Operating Margin
HD
10.08%
THRM
6.86%
Profit Margin
HD
8.6%
THRM
1.22%
ROE
HD
145.54%
THRM
2.73%
ROA
HD
12.98%
THRM
4.92%

Growth

Revenue Growth
HD
-3.8%
THRM
8.5%
Earnings Growth
HD
-14.2%
THRM
-81.2%

Financial Health

Debt/Equity
HD
5.14
THRM
0.34
Current Ratio
HD
1.06
THRM
1.92
Quick Ratio
HD
0.21
THRM
1.21

Dividends

Dividend Yield
HD
2.83%
THRM
--
Payout Ratio
HD
64.65%
THRM
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
THRM NEUTRAL

THRM presents a contradictory profile: a stable balance sheet paired with deteriorating earnings performance. The Piotroski F-Score of 4/9 indicates stable but mediocre financial health, while the current price of $29.58 trades at a significant premium to both the Graham Number ($17.7) and the growth-based Intrinsic Value ($4.13). While the Forward P/E of 9.58 suggests a massive expected earnings recovery, the current YoY earnings crash of -81.20% and a bearish technical trend create significant near-term risk. The investment thesis relies entirely on a turnaround in profitability that has not yet materialized in the data.

Strengths
Strong balance sheet with low Debt/Equity ratio (0.34)
Healthy liquidity with a Current Ratio of 1.92
Low Price-to-Sales ratio (0.60) suggesting undervalued revenue stream
Risks
Severe earnings collapse (-81.20% YoY growth)
Extremely thin net profit margins (1.22%)
Significant overvaluation relative to Graham and Intrinsic value baselines

Compare Another Pair

HD vs THRM: Head-to-Head Comparison

This page compares The Home Depot, Inc. (HD) and Gentherm Incorporated (THRM) 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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