The Home Depot, Inc. (HD) vs Target Corporation (TGT)
A side-by-side comparison of The Home Depot, Inc. and Target Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of September 11, 2026. Differences are shown without an overall score or investment verdict.
Different business models: HD is classified in Consumer Cyclical; TGT is classified in Consumer Defensive. Margin, capital intensity, and valuation differences should be interpreted in that sector context.
HD
The Home Depot, Inc.
$308.74Consumer CyclicalDelayed quote: Sep 11, 2026, 4:00 PM EDT
TGT
Target Corporation
$155.83Consumer DefensiveDelayed quote: Sep 11, 2026, 4:00 PM EDT
Total return — HD vs TGT
growth of $100 · dividends reinvested · last 10yHD +205.1% (+11.8%/yr)TGT +207.6% (+11.9%/yr)TGT compounded faster over this window
HD TGT
HD vs TGT: by the numbers
- •HD is the larger company ($307.85B vs $70.78B market cap).
- •TGT trades at the lower trailing earnings multiple (16.16 vs 21.61 P/E), one valuation lens rather than an overall verdict.
- •HD converts more revenue to profit (8.41% vs 4.08% net margin).
- •HD grew revenue faster over the past five years (3.21% vs -0.29% CAGR).
- •HD pays the higher dividend yield (3.03% vs 2.91%).
Metrics side by side
Valuation
| Metric | HD | TGT |
|---|---|---|
| P/E ratio | 21.61 | 16.16 |
| Forward P/E | 20.57 | 15.46 |
| P/S ratio | 1.82 | 0.66 |
| P/B ratio | 18.53 | 3.97 |
| EV / EBITDA | 14.80 | 9.14 |
| FCF yield | 4.90% | 6.43% |
Profitability
| Metric | HD | TGT |
|---|---|---|
| Gross margin | 33.21% | 29.30% |
| Operating margin | 12.43% | 5.59% |
| Net margin | 8.41% | 4.08% |
| ROE | 85.62% | 24.61% |
| ROIC | 18.80% | 11.35% |
Dividends
| Metric | HD | TGT |
|---|---|---|
| Dividend yield | 3.03% | 2.91% |
| Payout ratio | 64.80% | 47.51% |
Growth (annualized)
| Metric | HD | TGT |
|---|---|---|
| Revenue CAGR (5Y) | 3.21% | -0.29% |
| EPS CAGR (5Y) | -2.18% | -1.34% |
| FCF CAGR (5Y) | -2.52% | -6.17% |
| Total return CAGR (5Y) | 0.90% | -5.58% |
Frequently asked
- Which has the lower trailing P/E, HD or TGT?
- TGT has the lower trailing P/E: HD trades at 21.61 and TGT at 16.16. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, HD or TGT?
- Over the past five years, HD grew revenue faster — HD at a 3.21% CAGR versus TGT at -0.29%.
- Does HD or TGT pay a bigger dividend?
- HD yields 3.03% and TGT yields 2.91% based on trailing dividends and the latest price.
- Is HD or TGT more profitable?
- HD runs the higher net margin — HD at 8.41% versus TGT at 4.08%.
- How have HD and TGT total returns compared?
- Over the past 10 years, HD delivered 11.81% and TGT delivered 11.93% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Home Depot P/E ratioTarget P/E ratioHome Depot dividend yieldTarget dividend yieldHome Depot ROETarget ROEHome Depot operating marginTarget operating marginHome Depot revenue growthTarget revenue growthHome Depot free cash flowTarget free cash flow
Home Depot & Target appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified September 11, 2026.