Calculate the return on equity for each firm. For the firm with relatively low ROE, perform a DuPont analysis to isolate the source(s) of the problem.

HD

Balance SheetAll numbers in thousands	2017	2016		Income Statement
Period Ending	1/28/2018	1/29/2017		All numbers in thousands	2017
Current Assets				Revenue	1/28/2018
Cash And Cash Equivalents	3,595,000	2,538,000		Total Revenue	100,904,000
Short Term Investments	-	-		Cost of Revenue	66,548,000
Net Receivables	1,952,000	2,029,000		Gross Profit	34,356,000
Inventory	12,748,000	12,549,000		Operating Expenses
Other Current Assets	638,000	608,000		Research Development	-
Total Current Assets	18,933,000	17,724,000		Selling General and Administrative	17,864,000
Long Term Investments	-	-		Non Recurring	-
Property Plant and Equipment	22,075,000	21,914,000		Others	-
Goodwill	2,275,000	2,093,000		Total Operating Expenses	86,223,000
Intangible Assets	563,000	-		Operating Income or Loss	14,681,000
Accumulated Amortization	-	-		Income from Continuing Operations
Other Assets	683,000	1,235,000		Total Other Income/Expenses Net	-983,000
Deferred Long Term Asset Charges	119,000	91,000		Earnings Before Interest and Taxes	14,681,000
Total Assets	44,529,000	42,966,000		Interest Expense	-1,057,000
Current Liabilities				Income Before Tax	13,698,000
Accounts Payable	7,244,000	7,000,000		Income Tax Expense	5,068,000
Short/Current Long Term Debt	27,028,000	23,601,000		Minority Interest	-
Other Current Liabilities	1,859,000	1,694,000		Net Income From Continuing Ops	8,630,000
Total Current Liabilities	16,194,000	14,133,000		Non-recurring Events
Long Term Debt	23,335,000	22,349,000		Discontinued Operations	-
Other Liabilities	2,614,000	2,151,000		Extraordinary Items	-
Deferred Long Term Liability Charges	-	-		Effect Of Accounting Changes	-
Minority Interest	-	-		Other Items	-
Negative Goodwill	-	-		Net Income
Total Liabilities	43,075,000	38,633,000		Net Income	8,630,000
Stockholders' Equity				Preferred Stock And Other Adjustments	-
Misc. Stocks Options Warrants	-	-		Net Income Applicable To Common Shares	8,630,000
Redeemable Preferred Stock	-	-
Preferred Stock	-	-
Common Stock	89,000	88,000	Q1	Operating profit margin	14.55%
Retained Earnings	39,935,000	35,519,000		Asset Turnover	2.31
Treasury Stock	-48,762,000	-41,061,000	Q2	ROA	0.336
Capital Surplus	10,192,000	9,787,000
Other Stockholder Equity	-566,000	-867,000
Total Stockholder Equity	1,454,000	4,333,000
Net Tangible Assets	-1,384,000	2,240,000

LOW

Balance Sheet				Income Statement
All numbers in thousands	2017	2016		All numbers in thousands	2017
Period Ending	2/2/2018	2/3/2017		Revenue	2/2/2018
Current Assets				Total Revenue	68,619,000
Cash And Cash Equivalents	588,000	558,000		Cost of Revenue	45,210,000
Short Term Investments	102,000	100,000		Gross Profit	23,409,000
Net Receivables	-	-		Operating Expenses
Inventory	11,393,000	10,458,000		Research Development	-
Other Current Assets	689,000	884,000		Selling General and Administrative	15,357,000
Total Current Assets	12,772,000	12,000,000		Non Recurring	-
Long Term Investments	27,000	12,000		Others	-
Property Plant and Equipment	19,721,000	19,949,000		Total Operating Expenses	62,014,000
Goodwill	1,307,000	1,082,000		Operating Income or Loss	6,605,000
Intangible Assets	569,000	-		Income from Continuing Operations
Accumulated Amortization	-	-		Total Other Income/Expenses Net	-1,116,000
Other Assets	895,000	1,365,000		Earnings Before Interest and Taxes	6,605,000
Deferred Long Term Asset Charges	168,000	222,000		Interest Expense	-652,000
Total Assets	35,291,000	34,408,000		Income Before Tax	5,489,000
Current Liabilities				Income Tax Expense	2,042,000
Accounts Payable	6,590,000	6,651,000		Minority Interest	-
Short/Current Long Term Debt	16,995,000	15,699,000		Net Income From Continuing Ops	3,447,000
Other Current Liabilities	2,544,000	2,389,000		Non-recurring Events
Total Current Liabilities	12,096,000	11,974,000		Discontinued Operations	-
Long Term Debt	14,718,000	14,394,000		Extraordinary Items	-
Other Liabilities	1,758,000	1,606,000		Effect Of Accounting Changes	-
Deferred Long Term Liability Charges	19,000	18,000		Other Items	-
Minority Interest	-	-		Net Income
Negative Goodwill	-	-		Net Income	3,447,000
Total Liabilities	29,418,000	27,974,000		Preferred Stock And Other Adjustments	-
Stockholders' Equity				Net Income Applicable To Common Shares	3,447,000
Misc. Stocks Options Warrants	-	-
Redeemable Preferred Stock	-	-
Preferred Stock	-	-
Common Stock	415,000	433,000
Retained Earnings	5,425,000	6,241,000
Treasury Stock	11,000	-240,000
Capital Surplus	22,000	-
Other Stockholder Equity	11,000	-240,000
Total Stockholder Equity	5,873,000	6,434,000
Net Tangible Assets	3,997,000	5,352,000