HD vs LOW vs TSCO vs FND

For growth investors, Floor & Decor Holdings, Inc.

(FND) is the stronger pick with 5. 1% revenue growth year-over-year, versus 3. 1% for Lowe's Companies, Inc. (LOW). Tractor Supply Company (TSCO) offers the better valuation at 15. 9x trailing P/E (15. 3x forward), making it the more compelling value choice. Analysts rate The Home Depot, Inc. (HD) a "Buy" — based on 62 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Tractor Supply Company (TSCO) is the cheapest at 15.

9x versus Floor & Decor Holdings, Inc. at 25. 2x. On forward P/E, Tractor Supply Company is actually cheaper at 15. 3x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Tractor Supply Company wins at 1. 52x versus Floor & Decor Holdings, Inc. 's 28. 60x — a reasonable growth-adjusted valuation.

Over the past 5 years, Lowe's Companies, Inc.

(LOW) delivered a total return of +23. 2%, compared to -57. 1% for Floor & Decor Holdings, Inc. (FND). Over 10 years, the gap is even starker: LOW returned +240. 6% versus FND's +50. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Tractor Supply Company (TSCO) is the lower-risk stock at 0.

57β versus Floor & Decor Holdings, Inc. 's 1. 80β — meaning FND is approximately 215% more volatile than TSCO relative to the S&P 500. On balance sheet safety, The Home Depot, Inc. (HD) carries a lower debt/equity ratio of 148% versus 2% for Tractor Supply Company — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Floor & Decor Holdings, Inc.

(FND) is pulling ahead at 5. 1% versus 3. 1% for Lowe's Companies, Inc. (LOW). On earnings-per-share growth, the picture is similar: Floor & Decor Holdings, Inc. grew EPS 1. 1% year-over-year, compared to -4. 6% for The Home Depot, Inc.. Over a 3-year CAGR, FND leads at 3. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

The Home Depot, Inc.

(HD) is the more profitable company, earning 8. 6% net margin versus 4. 5% for Floor & Decor Holdings, Inc. — meaning it keeps 8. 6% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: HD leads at 12. 7% versus 5. 9% for FND. At the gross margin level — before operating expenses — FND leads at 41. 1%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Tractor Supply Company (TSCO) is the more undervalued stock at a PEG of 1. 52x versus Floor & Decor Holdings, Inc. 's 28. 60x. Both stocks trade at elevated growth-adjusted valuations, so expected growth needs to materialise. On forward earnings alone, Tractor Supply Company (TSCO) trades at 15. 3x forward P/E versus 24. 4x for Floor & Decor Holdings, Inc. — 9. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for TSCO: 72. 3% to $56. 27.

In this comparison, HD (2.

9% yield), TSCO (2. 8% yield), LOW (2. 1% yield) pay a dividend. FND does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Tractor Supply Company (TSCO) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

57), 2. 8% yield, +102. 7% 10Y return). Floor & Decor Holdings, Inc. (FND) carries a higher beta of 1. 80 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (TSCO: +102. 7%, FND: +50. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: HD is a large-cap quality compounder stock; LOW is a mid-cap quality compounder stock; TSCO is a mid-cap deep-value stock; FND is a small-cap quality compounder stock. HD, LOW, TSCO pay a dividend while FND does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.