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HD vs. MELI: Home Depot vs. MercadoLibre Stock Comparison

How do Home Depot (HD) and MercadoLibre (MELI) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Home Depot (HD) and MercadoLibre (MELI) both fall under the Consumer Discretionary Distribution & Retail industry group, but HD is classified in Specialty Retail while MELI is classified in Broadline Retail.

Company profile comparison for Home Depot (HD) and MercadoLibre (MELI)
Profile ItemHDMELI
NameThe Home Depot, Inc.MercadoLibre Inc.
Country/RegionUnited StatesUruguay
GICS SectorConsumer DiscretionaryConsumer Discretionary
GICS Industry GroupConsumer Discretionary Distribution & RetailConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty RetailBroadline Retail
GICS Sub-IndustryHome Improvement RetailBroadline Retail
Market Capitalization319.09 billion USD91.77 billion USD
CurrencyUSDUSD
ExchangeNYSENasdaq
Listing DateSeptember 22, 1981August 10, 2007
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

HD
MELI
GSPC
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Home Depot (HD) vs. MercadoLibre (MELI), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Home Depot (HD) and MercadoLibre (MELI). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Home Depot (HD) and MercadoLibre (MELI). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
Total Return (1Y)-14.58%-15.74%
Total Return (3Y, Annualized)6.61%15.33%
Total Return (5Y, Annualized)-0.16%3.78%

Risk Profile

Drawdown History

HD
MELI
GSPC
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Home Depot (HD) vs. MercadoLibre (MELI), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Home Depot (HD) and MercadoLibre (MELI). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
Volatility (1Y, Annualized)26.65%40.18%
Beta (5Y)0.951.40
Max Drawdown (5Y)-34.73%-64.17%
Avg. Volume (3M)4.50M507.41K

Risk-Adjusted Performance

Risk-Return Positioning

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HD and MELI are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
Sharpe Ratio (1Y)-0.71-0.50
Sortino Ratio (1Y)-1.04-0.68

Profitability

ROE (TTM)

Home Depot (HD) at 104.30% clears its industry range for ROE, a sharper capital-efficiency signal than MercadoLibre (MELI) at 27.50%, which is closer to a typical peer reading.

HD

Consumer Discretionary Distribution & Retail industry group

104.30%

HD
104.30%
Max
62.17%
Q3
30.47%
Median
14.86%
Q1
6.52%
Min
-20.00%

MELI

Consumer Discretionary Distribution & Retail industry group

27.50%

Max
62.17%
Q3
30.47%
MELI
27.50%
Median
14.86%
Q1
6.52%
Min
-20.00%
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their ROE against the Consumer Discretionary Distribution & Retail industry group benchmark.

Net Margin (TTM)

Home Depot (HD) at 8.41% retains a top-quartile share of revenue as profit, ahead of MercadoLibre (MELI) at 5.30%, which keeps about the industry-typical share.

HD

Consumer Discretionary Distribution & Retail industry group

8.41%

Max
18.57%
HD
8.41%
Q3
8.30%
Median
3.37%
Q1
1.06%
Min
-9.41%

MELI

Consumer Discretionary Distribution & Retail industry group

5.30%

Max
18.57%
Q3
8.30%
MELI
5.30%
Median
3.37%
Q1
1.06%
Min
-9.41%
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their net margin against the Consumer Discretionary Distribution & Retail industry group benchmark.

Operating Margin (TTM)

Home Depot (HD) at 12.86% operates in the top operating margin quartile, ahead of MercadoLibre (MELI) at 6.72%, which runs around its industry’s norm.

HD

Consumer Discretionary Distribution & Retail industry group

12.86%

Max
21.57%
HD
12.86%
Q3
11.49%
Median
6.15%
Q1
2.69%
Min
-6.28%

MELI

Consumer Discretionary Distribution & Retail industry group

6.72%

Max
21.57%
Q3
11.49%
MELI
6.72%
Median
6.15%
Q1
2.69%
Min
-6.28%
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their operating margin against the Consumer Discretionary Distribution & Retail industry group benchmark.

Profitability Metrics

Profitability metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
ROE (TTM)104.30%27.50%
ROA (TTM)12.14%4.31%
Net Margin (TTM)8.41%5.30%
Operating Margin (TTM)12.86%6.72%
Gross Margin (TTM)32.80%47.75%

Growth

Revenue Growth

MercadoLibre (MELI) at 39.06% clears its industry range for revenue growth, far stronger top-line momentum than Home Depot (HD) at 3.24%, which is closer to a typical peer reading.

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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Home Depot (HD) at -4.56% and MercadoLibre (MELI) at 4.54% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
Revenue Growth (YoY)3.24%39.06%
Revenue Growth (3Y CAGR)1.52%38.91%
EPS Growth (YoY)-4.56%4.54%
EPS Growth (3Y CAGR)-5.18%60.50%

Financial Strength

Current Ratio (MRQ)

Both Home Depot (HD) at 1.08 and MercadoLibre (MELI) at 1.12 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

HD

Consumer Discretionary Distribution & Retail industry group

1.08

Max
2.62
Q3
1.79
Median
1.36
HD
1.08
Q1
1.02
Min
0.49

MELI

Consumer Discretionary Distribution & Retail industry group

1.12

Max
2.62
Q3
1.79
Median
1.36
MELI
1.12
Q1
1.02
Min
0.49
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their current ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Debt / Equity (MRQ)

MercadoLibre (MELI) at 1.69 carries an industry-typical debt-to-equity mix, while Home Depot (HD) at 3.80 uses more debt funding than most peers.

HD

Consumer Discretionary Distribution & Retail industry group

3.80

Max
3.93
HD
3.80
Q3
2.05
Median
1.25
Q1
0.71
Min
0.01

MELI

Consumer Discretionary Distribution & Retail industry group

1.69

Max
3.93
Q3
2.05
MELI
1.69
Median
1.25
Q1
0.71
Min
0.01
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their debt-to-equity ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
Current Ratio (MRQ)1.081.12
Debt / Equity (MRQ)3.801.69
Net Debt / EBITDA2.481.92

Dividends

Dividend Yield (TTM)

MercadoLibre (MELI) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Home Depot (HD) reports a yield of 1.41%, ranking against industry peers normally.

HD

Consumer Discretionary Distribution & Retail industry group

1.41%

Max
5.34%
Q3
2.62%
HD
1.41%
Median
0.00%
Q1
0.00%
Min
0.00%

MELI

Consumer Discretionary Distribution & Retail industry group

0.00%

Max
5.34%
Q3
2.62%
MELI
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their dividend yield against the Consumer Discretionary Distribution & Retail industry group benchmark.

Dividend Payout Ratio (TTM)

MercadoLibre (MELI) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Home Depot (HD) reports a payout of 64.80%, ranking against industry peers normally.

HD

Consumer Discretionary Distribution & Retail industry group

64.80%

Max
72.73%
HD
64.80%
Q3
31.36%
Median
0.00%
Q1
0.00%
Min
0.00%

MELI

Consumer Discretionary Distribution & Retail industry group

0.00%

Max
72.73%
Q3
31.36%
MELI
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their payout ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Dividend Metrics

Dividend metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
Dividend Yield (TTM)1.41%0.00%
Dividend Payout Ratio (TTM)64.80%0.00%

Valuation

P/E Ratio (TTM)

Home Depot (HD) at 21.45 is near its industry’s usual P/E ratio, while MercadoLibre (MELI) at 49.23 sits above its peer range — an unusually expensive price for MELI’s trailing earnings.

HD

Consumer Discretionary Distribution & Retail industry group

21.45

Max
39.05
Q3
25.20
HD
21.45
Median
18.67
Q1
12.65
Min
4.22

MELI

Consumer Discretionary Distribution & Retail industry group

49.23

MELI
49.23
Max
39.05
Q3
25.20
Median
18.67
Q1
12.65
Min
4.22
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their P/E ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

P/S Ratio (TTM)

Both Home Depot (HD) at 1.89 and MercadoLibre (MELI) at 2.61 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

HD

Consumer Discretionary Distribution & Retail industry group

1.89

Max
3.92
HD
1.89
Q3
1.79
Median
0.69
Q1
0.27
Min
0.03

MELI

Consumer Discretionary Distribution & Retail industry group

2.61

Max
3.92
MELI
2.61
Q3
1.79
Median
0.69
Q1
0.27
Min
0.03
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their P/S ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

P/B Ratio (MRQ)

Measured against book value, both Home Depot (HD) at 19.21 and MercadoLibre (MELI) at 11.71 look expensive — each P/B ratio sits above its industry’s benchmark range.

HD

Consumer Discretionary Distribution & Retail industry group

19.21

HD
19.21
Max
10.32
Q3
4.92
Median
1.89
Q1
1.03
Min
-4.01

MELI

Consumer Discretionary Distribution & Retail industry group

11.71

MELI
11.71
Max
10.32
Q3
4.92
Median
1.89
Q1
1.03
Min
-4.01
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Home Depot (HD) vs. MercadoLibre (MELI): A comparison of their P/B ratio against the Consumer Discretionary Distribution & Retail industry group benchmark.

Valuation Metrics

Valuation metrics for Home Depot (HD) and MercadoLibre (MELI)
MetricHDMELI
P/E Ratio (TTM)21.4549.23
P/S Ratio (TTM)1.892.61
P/B Ratio (MRQ)19.2111.71
Free Cash Flow Yield (TTM)3.37%0.39%