NIKE, Inc. vs The Home Depot, Inc.
HD wins the Tale of the Tape 6–2.
🏆 Tale of the Tape
Green = winner in each category. Higher is better except P/E (lower = cheaper).
Rolling Correlation
Moderately correlated — some diversification benefit from holding both.
Fundamentals
| Metric | NKE | HD |
|---|---|---|
| Market Cap | $68.5B | $316.2B |
| P/E Ratio | 30.4x | 22.5x |
| Forward P/E | 25.4x | 19.7x |
| P/B | 4.86x | 22.79x |
| Dividend Yield | 3.55% | 2.94% |
| Beta | 1.12 | 1.00 |
Quantitative Metrics
| Metric | NKE | HD |
|---|---|---|
| DCF Fair Value | $20.76 | $93.18 |
| DCF Upside | -51.6% | -72.7% |
| Piotroski F | 4/9 | 4/9 |
| Altman Z | 3.61 | 5.69 |
| Beneish M | -2.39 | -2.42 |
| FCF Yield | 5.14% | 3.32% |
| Net Debt/EBITDA | 0.1x | 1.8x |
| ROIC | 11.2% | 22.8% |
| WACC | 11.9% | 10.6% |
| ROIC – WACC | -0.7pp | 12.3pp |
| Gross Margin | 42.7% | 33.3% |
| Net Margin | 7.0% | 8.6% |
| Rev Growth YoY | -9.8% | 3.2% |
| Sharpe (1Y) | -0.68 | -0.20 |
| Max Drawdown 3Y | — | — |
| FCF Payout Ratio | 70% | 72% |
NKE Price
HD Price
ETF Exposure
NKE found in:
HD found in:
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Quant metrics computed from financial statements and 1,200+ trading days. Correlation is Pearson coefficient on daily log returns. Not investment advice.
NKE vs HD: Head-to-Head Analysis
NIKE, Inc. (NKE) and The Home Depot, Inc. (HD) represent two companies in the Consumer Cyclical sector. In our quantitative Tale of the Tape scoring, HD leads 6–2 across nine fundamental and risk metrics including profitability, valuation, capital efficiency, and financial health.
In terms of capital efficiency, NKE generates a return on invested capital (ROIC) of 11.2% compared to HD's 22.8%. This suggests HD is more effective at deploying capital to generate shareholder returns.
The 252-day rolling correlation between NKE and HD is 0.412, indicating moderate co-movement, with some diversification value from holding both in a portfolio context.
NKE appears in 33 ETFs tracked by SecuritiesDB, while HD appears in 35 ETFs. Investors holding broad-market ETFs may already have indirect exposure to both stocks.
Frequently Asked Questions
Which stock is the better investment, NKE or HD?
Our quantitative analysis compares NKE and HD across nine fundamental dimensions. HD wins the Tale of the Tape 6–2. However, stock selection depends on your individual risk tolerance, time horizon, and portfolio context. These metrics are computed from SEC filings and market data — they are not investment recommendations.
Are NKE and HD correlated?
The 252-day correlation between NKE and HD is 0.412. They show moderate correlation — partially diversifying.
How is the Tale of the Tape scored?
The Tale of the Tape compares both stocks across nine categories: profitability (net margin), valuation (P/E), efficiency (ROIC), health (Piotroski F-Score), safety (Altman Z-Score), growth (revenue YoY), risk (Sharpe ratio), leverage (debt-to-equity), and cash generation (FCF yield). The stock that wins more categories takes the overall score. Lower P/E and lower debt-to-equity count as wins.