We are required Compare and contrast the financial performance of Home Depot, Inc. (HD) versus Lowe's Companies, Inc. (LOW)

The data available on Thomson Eikon Datastream database as well as on Yahoo Finance.

Requirements:

I)Use select financial ratios (not all) from Five Major Categories of Ratios (as shown in uploaded handout) to analyze, compare and contrast financial performance of Home Depot (HD) versus Lowe's (LOW)

2) Use DuPont Analysis to compare and contrast Home Depot (HD) versus Lowe's (LOW)

3) Use growth and value creation to compare and contrast Home Depot (HD) versus Lowe's (LOW)

Submit as a Word document with a spreadsheet showing your calculations

Lowe's Companies, Inc. (LOW) 1D 5D 1M 6M YTD 1Y5Y Max 179.50 177.78 176.17 175.70 174.50 10 AM 12 PM 02 PM Chairt Events Outlook Mid Term 6W.9M Long Term 9M+ ap 128.739B Open 179.00 Beta (5Y Monthly) 1.35 Bid 176.11 x 800 PE Ratio (TTM) 24.86 Ask 176.20 x 1100 EPS (TTM) 7.07 Feb 24, 2021 - Mar 01, 2021 Day's Range 175.15 - 179.00 Earnings Date 52 Week Range 60.00 - 180.67 Forward Dividend & Yield 2.40 (1.35%) Volume 769,230 Ex-Dividend Date Jan 19, 2021 Avg. Volume 4,946,008 1y Target Est 191.54 Lowe's Companies, Inc. (LOW) Balance Sheet All numbers in thousands Breakdown 1/31/2020 1/31/2019 1/31/2018 > Total Assets 39,471,000 34,508,000 35,291,000 > Total Liabilities Net Minority ... 37,499,000 30,864,000 29,418,000 1,972,000 3,644,000 5,873,000 > Total Equity Gross Minority ... Total Capitalization 18,740,000 18,035,000 21,437,000 Common Stock Equity 1,972,000 3,644,000 5,873,000 4,444,000 Capital Lease Obligations Net Tangible Assets 1,669,000 3,341,000 4,566,000 136,000 -269,000 676,000 Working Capital Invested Capital 21,278,000 19,867,000 22,868,000 Tangible Book Value 1,669,000 3,341,000 4,566,000 Total Debt 23,750,000 16,223,000 16,995,000 18,590,000 15,712,000 16,407,000 Net Debt Share Issued 763,000 801,000 830,000 Ordinary Shares Number 763,000 801,000 830,000 Lowe's Companies, Inc. (LOW) TTM 1/31/2020 1/31/2018 1/31/2019 71,309,000 71,768,000 72.148,000 68,619.000 48,907,000 49,205,000 48,401,000 45.210.000 22,861,000 22.943,000 22,909,000 23,409.000 Breakdown > Total Revenue Cost of Revenue Gross Profit > Operating Expense Operating income > Net Non Operating interest - > Other Income Expense Pretax Income 18,073,000 16.629,000 18,890,000 16,823.000 4.788.000 6.314,000 4,018,000 6,586,000 -665,000 -691.000 -624,000 633,000 -464.000 4,123,000 5.623,000 5,489,000 3,394,000 1,080,000 Tax Provision 1.176.000 1.342,000 2.042,000 > Net Income Common Stockh... 2,939,000 4.268,000 2,307,000 3,436,000 2.939,000 4.268,000 2,307,000 3.436,000 0.0055 0.0028 0.0041 Diluted NI Available to Com Sto. Basic EPS Diluted EPS Basic Average Shares Diluted Average Shares 0.0055 0.0028 0.0041 777,000 811000 839,000 778,000 840,000 6.586,000 Total Operating Income as Repo- 4,788.000 812,000 4,018,000 67,291,000 6,314,000 66,980,000 65,834,000 62.033.000 Total Expenses Net Income from Continuing & 2.947.000 4.281,000 2,314,000 3,447,000 Normalized Income 2.947.000 4.281,000 2,314,000 3.738,392 31.000 27,000 28,000 16,000 Interest income Interest Expense 677.000 718,000 652000 649,000 Net interest Income -665,000 -691,000 -624,000 -633.000 EBIT 8,042,000 6.341,000 4,046,000 6,138,000 EBITDA 9,575.000 Reconciled Cost of Revenue 48,770,000 49.057,000 48,271,000 45,117,000 1,430,000 1.410,000 1,607,000 1.540,000 2,947,000 4.281,000 2,314,000 3.447,000 Reconciled Depreciation Net Income from Continuing Op- Total Unusual Items Excluding G- Total Unusual Items Normalized EBITDA -1,060,000 0 0 -464.000 -1,060,000 0 0 -464.000 6,230,000 7.751,000 5,653,000 8,142,000 Tax Rate for Calcs 0 0 0 0 Tax Effect of Unusual Items -269,199 0 0 -172,608 The Home Depot, Inc. (HD) 1D 5D IM 6M YTD 1Y 5Y Max 279.00 277.83 277.21 57.72 275.50 LO AM 12 PM 62 PM Mid Term Long Term 298.4448 Open 278.03 Beta (5Y Monthly) 1.02 Bid 277.37 x 800 PE Ratio (TTM) 23.98 Ask 277.44 x 1000 EPS (TTM) 11.56 Day's Range 276.25-278.66 Earnings Date Feb 23, 2021 52 Week Range Forward Dividend a Yield 6.00 (2.14%) 140.63 -292.95 906,747 Volume Ec-Dividend Date Dec 02, 2020 Avg. Volume 4,039,362 1y Target Est 306.36 The Home Depot, Inc. (HD) Balance Sheet Altunters in thousands Breakdown > Total Assets 1/31/2020 51,236,000 1/31/2019 44.003,000 45.881,000 -1,878,000 24.929.000 -1,878,000 1/31/2018 44,529,000 43,075,000 1,454,000 54,352,000 3,116,000 25,554,000 25,721,000 1,454.000 > Total Liabilities Net Minority > Total Equity Gross Minority - Total Capitalization Common Stock Equity Capital Lease Obligations Net Tangible Assets Working Capital Invested Capital Tangible Book Value Total Debt -821,000 3,116,000 5,894,000 -5,370,000 1,435.000 28,367,000 -5,370,000 37,377,000 29,350,000 1,786,000 1,077,000 709,000 -4,130,000 1.813,000 27.324,000 -4,130,000 2739.000 28,482,000 29,202,000 Net Debt Share issued 27.424,000 1.782,000 1.105,000 -821,000 27,028,000 23,433,000 1.780,000 1.158.000 Ordinary Shares Number Treasury Shares Number 677,000 622.000 The Home Depot, Inc. (HD) 12a, 10,3 JUUUU UUUU Total Revenue Cost of Revenue 82,873,000 72.653,000 71,043,000 66,548.000 Gross Profit 42,750,000 37.572,000 37,160,000 34 356.000 > Operating Expense 25,160,000 21.729,000 21,383,000 19,675.000 Operating Income 17,598,000 15.843,000 15,777,000 14,581.000 > Net Non Operating interest 1,265,000 1,128.000 -958,000 983.000 > Other Income Expense -263,000 Pretax Income 16,333,000 14.715,000 14,556,000 13,698 000 Tax Provision 2,843,000 3.473,000 3,435,000 5,058,000 > Net Income Common Stockh 12,490,000 11242,000 11,121,000 8,630,000 Diluted NI Available to Com Sto.. 12,490,000 11.242,000 11,121,000 8,630,000 0.0103 0.0098 0.0073 Basic EPS Diluted EPS 0.0103 0.0097 0.0073 1.093,000 1.178,000 Basic Average Shares Diluted Average Shares Total Operating income as Repo 1,137,000 1.143,000 1.097,000 1.184,000 17,598,000 15.843,000 15,530,000 14,681.000 Total Expenses 108,033,000 94382,000 92.425,000 86,223,000 12,490,000 11.242,000 11,121,000 8.630,000 Net Income from Continuing & - Normalized Income Interest income 12,490,000 11242,000 11,309,708 8,630,000 54.000 73,000 93.000 74,000 Interest Expense 1.319.000 1201,000 1,051,000 1.057,000 Net Interest income 1.265,000 -1,128.000 -958,000 983.000 EBIT 17,652,000 15.916,000 15,607,000 24,755,000 EBITDA 20,100,000 Reconciled Cost of Revenue 82,511,000 72.346,000 70,761,000 65,297.000 2,448,000 2.296,000 2.152,000 2.062,000 Reconciled Depreciation Net Income from Continuing Op.. 12,490,000 11,242,000 11.121,000 8.630,000 0 -247,000 Total Unusual Items Excluding G. Total Unusual Items 0 -247,000 18,006,000 20,100,000 18,212,000 16,817.000 Normalized EBITDA Tax Rate for Cales 0 0 0 0 Tax Effect of Unusual Items 0 -58,292 0 Lowe's Companies, Inc. (LOW) 1D 5D 1M 6M YTD 1Y5Y Max 179.50 177.78 176.17 175.70 174.50 10 AM 12 PM 02 PM Chairt Events Outlook Mid Term 6W.9M Long Term 9M+ ap 128.739B Open 179.00 Beta (5Y Monthly) 1.35 Bid 176.11 x 800 PE Ratio (TTM) 24.86 Ask 176.20 x 1100 EPS (TTM) 7.07 Feb 24, 2021 - Mar 01, 2021 Day's Range 175.15 - 179.00 Earnings Date 52 Week Range 60.00 - 180.67 Forward Dividend & Yield 2.40 (1.35%) Volume 769,230 Ex-Dividend Date Jan 19, 2021 Avg. Volume 4,946,008 1y Target Est 191.54 Lowe's Companies, Inc. (LOW) Balance Sheet All numbers in thousands Breakdown 1/31/2020 1/31/2019 1/31/2018 > Total Assets 39,471,000 34,508,000 35,291,000 > Total Liabilities Net Minority ... 37,499,000 30,864,000 29,418,000 1,972,000 3,644,000 5,873,000 > Total Equity Gross Minority ... Total Capitalization 18,740,000 18,035,000 21,437,000 Common Stock Equity 1,972,000 3,644,000 5,873,000 4,444,000 Capital Lease Obligations Net Tangible Assets 1,669,000 3,341,000 4,566,000 136,000 -269,000 676,000 Working Capital Invested Capital 21,278,000 19,867,000 22,868,000 Tangible Book Value 1,669,000 3,341,000 4,566,000 Total Debt 23,750,000 16,223,000 16,995,000 18,590,000 15,712,000 16,407,000 Net Debt Share Issued 763,000 801,000 830,000 Ordinary Shares Number 763,000 801,000 830,000 Lowe's Companies, Inc. (LOW) TTM 1/31/2020 1/31/2018 1/31/2019 71,309,000 71,768,000 72.148,000 68,619.000 48,907,000 49,205,000 48,401,000 45.210.000 22,861,000 22.943,000 22,909,000 23,409.000 Breakdown > Total Revenue Cost of Revenue Gross Profit > Operating Expense Operating income > Net Non Operating interest - > Other Income Expense Pretax Income 18,073,000 16.629,000 18,890,000 16,823.000 4.788.000 6.314,000 4,018,000 6,586,000 -665,000 -691.000 -624,000 633,000 -464.000 4,123,000 5.623,000 5,489,000 3,394,000 1,080,000 Tax Provision 1.176.000 1.342,000 2.042,000 > Net Income Common Stockh... 2,939,000 4.268,000 2,307,000 3,436,000 2.939,000 4.268,000 2,307,000 3.436,000 0.0055 0.0028 0.0041 Diluted NI Available to Com Sto. Basic EPS Diluted EPS Basic Average Shares Diluted Average Shares 0.0055 0.0028 0.0041 777,000 811000 839,000 778,000 840,000 6.586,000 Total Operating Income as Repo- 4,788.000 812,000 4,018,000 67,291,000 6,314,000 66,980,000 65,834,000 62.033.000 Total Expenses Net Income from Continuing & 2.947.000 4.281,000 2,314,000 3,447,000 Normalized Income 2.947.000 4.281,000 2,314,000 3.738,392 31.000 27,000 28,000 16,000 Interest income Interest Expense 677.000 718,000 652000 649,000 Net interest Income -665,000 -691,000 -624,000 -633.000 EBIT 8,042,000 6.341,000 4,046,000 6,138,000 EBITDA 9,575.000 Reconciled Cost of Revenue 48,770,000 49.057,000 48,271,000 45,117,000 1,430,000 1.410,000 1,607,000 1.540,000 2,947,000 4.281,000 2,314,000 3.447,000 Reconciled Depreciation Net Income from Continuing Op- Total Unusual Items Excluding G- Total Unusual Items Normalized EBITDA -1,060,000 0 0 -464.000 -1,060,000 0 0 -464.000 6,230,000 7.751,000 5,653,000 8,142,000 Tax Rate for Calcs 0 0 0 0 Tax Effect of Unusual Items -269,199 0 0 -172,608 The Home Depot, Inc. (HD) 1D 5D IM 6M YTD 1Y 5Y Max 279.00 277.83 277.21 57.72 275.50 LO AM 12 PM 62 PM Mid Term Long Term 298.4448 Open 278.03 Beta (5Y Monthly) 1.02 Bid 277.37 x 800 PE Ratio (TTM) 23.98 Ask 277.44 x 1000 EPS (TTM) 11.56 Day's Range 276.25-278.66 Earnings Date Feb 23, 2021 52 Week Range Forward Dividend a Yield 6.00 (2.14%) 140.63 -292.95 906,747 Volume Ec-Dividend Date Dec 02, 2020 Avg. Volume 4,039,362 1y Target Est 306.36 The Home Depot, Inc. (HD) Balance Sheet Altunters in thousands Breakdown > Total Assets 1/31/2020 51,236,000 1/31/2019 44.003,000 45.881,000 -1,878,000 24.929.000 -1,878,000 1/31/2018 44,529,000 43,075,000 1,454,000 54,352,000 3,116,000 25,554,000 25,721,000 1,454.000 > Total Liabilities Net Minority > Total Equity Gross Minority - Total Capitalization Common Stock Equity Capital Lease Obligations Net Tangible Assets Working Capital Invested Capital Tangible Book Value Total Debt -821,000 3,116,000 5,894,000 -5,370,000 1,435.000 28,367,000 -5,370,000 37,377,000 29,350,000 1,786,000 1,077,000 709,000 -4,130,000 1.813,000 27.324,000 -4,130,000 2739.000 28,482,000 29,202,000 Net Debt Share issued 27.424,000 1.782,000 1.105,000 -821,000 27,028,000 23,433,000 1.780,000 1.158.000 Ordinary Shares Number Treasury Shares Number 677,000 622.000 The Home Depot, Inc. (HD) 12a, 10,3 JUUUU UUUU Total Revenue Cost of Revenue 82,873,000 72.653,000 71,043,000 66,548.000 Gross Profit 42,750,000 37.572,000 37,160,000 34 356.000 > Operating Expense 25,160,000 21.729,000 21,383,000 19,675.000 Operating Income 17,598,000 15.843,000 15,777,000 14,581.000 > Net Non Operating interest 1,265,000 1,128.000 -958,000 983.000 > Other Income Expense -263,000 Pretax Income 16,333,000 14.715,000 14,556,000 13,698 000 Tax Provision 2,843,000 3.473,000 3,435,000 5,058,000 > Net Income Common Stockh 12,490,000 11242,000 11,121,000 8,630,000 Diluted NI Available to Com Sto.. 12,490,000 11.242,000 11,121,000 8,630,000 0.0103 0.0098 0.0073 Basic EPS Diluted EPS 0.0103 0.0097 0.0073 1.093,000 1.178,000 Basic Average Shares Diluted Average Shares Total Operating income as Repo 1,137,000 1.143,000 1.097,000 1.184,000 17,598,000 15.843,000 15,530,000 14,681.000 Total Expenses 108,033,000 94382,000 92.425,000 86,223,000 12,490,000 11.242,000 11,121,000 8.630,000 Net Income from Continuing & - Normalized Income Interest income 12,490,000 11242,000 11,309,708 8,630,000 54.000 73,000 93.000 74,000 Interest Expense 1.319.000 1201,000 1,051,000 1.057,000 Net Interest income 1.265,000 -1,128.000 -958,000 983.000 EBIT 17,652,000 15.916,000 15,607,000 24,755,000 EBITDA 20,100,000 Reconciled Cost of Revenue 82,511,000 72.346,000 70,761,000 65,297.000 2,448,000 2.296,000 2.152,000 2.062,000 Reconciled Depreciation Net Income from Continuing Op.. 12,490,000 11,242,000 11.121,000 8.630,000 0 -247,000 Total Unusual Items Excluding G. Total Unusual Items 0 -247,000 18,006,000 20,100,000 18,212,000 16,817.000 Normalized EBITDA Tax Rate for Cales 0 0 0 0 Tax Effect of Unusual Items 0 -58,292 0