The Home Depot, Inc. (NYSE:HD) Stock Has Consensus Target Price of $375.93

Key Points

• Analysts maintain a moderately bullish view: Thirty-three firms give Home Depot a consensus “Moderate Buy” rating, with an average 12-month price target of $375.93 versus shares opening at $319.73.
• Home Depot exceeded quarterly expectations, reporting $4.92 in EPS and $47.86 billion in revenue, while revenue increased 5.7% year over year. Analysts expect approximately $15.01 in EPS for the current year.
• The company pays a quarterly dividend of $2.33, equal to an annualized $9.32 and a 2.9% yield. However, elevated mortgage rates, weak housing activity and recent insider selling remain potential risks to renovation demand and investor sentiment.

The Home Depot, Inc. (NYSE:HD - Get Free Report) has received an average recommendation of "Moderate Buy" from the thirty-three ratings firms that are presently covering the firm, Marketbeat.com reports. One analyst has rated the stock with a sell rating, thirteen have assigned a hold rating, eighteen have given a buy rating and one has issued a strong buy rating on the company. The average 1-year target price among analysts that have issued ratings on the stock in the last year is $375.93.

Several research firms recently commented on HD. UBS Group reiterated a "buy" rating on shares of Home Depot in a research note on Thursday, September 17th. Guggenheim reissued a "buy" rating and issued a $425.00 price target on shares of Home Depot in a research note on Wednesday, August 19th. Truist Financial lifted their price target on Home Depot from $369.00 to $373.00 and gave the company a "buy" rating in a report on Wednesday, August 19th. Mizuho upped their price objective on shares of Home Depot from $385.00 to $390.00 and gave the company an "outperform" rating in a research note on Wednesday, August 19th. Finally, Sanford C. Bernstein cut their price objective on shares of Home Depot from $354.00 to $344.00 and set a "market perform" rating on the stock in a report on Wednesday, September 9th.

Home Depot Stock Performance

Shares of NYSE HD opened at $319.73 on Monday. The company has a 50-day simple moving average of $309.69 and a 200-day simple moving average of $323.87. The company has a debt-to-equity ratio of 2.64, a current ratio of 1.08 and a quick ratio of 0.31. The company has a market cap of $318.99 billion, a PE ratio of 22.37, a price-to-earnings-growth ratio of 2.27 and a beta of 1.00. Home Depot has a 12 month low of $277.15 and a 12 month high of $397.63.

Home Depot (NYSE:HD - Get Free Report) last announced its quarterly earnings data on Tuesday, August 18th. The home improvement retailer reported $4.92 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.73 by $0.19. The business had revenue of $47.86 billion for the quarter, compared to the consensus estimate of $47.24 billion. Home Depot had a net margin of 8.41% and a return on equity of 106.42%. The company's quarterly revenue was up 5.7% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $4.68 earnings per share. Home Depot has set its FY 2026 guidance at 14.690-15.278 EPS. On average, equities analysts anticipate that Home Depot will post 15.01 earnings per share for the current year.

Home Depot Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, September 17th. Shareholders of record on Thursday, September 3rd were paid a dividend of $2.33 per share. The ex-dividend date of this dividend was Thursday, September 3rd. This represents a $9.32 dividend on an annualized basis and a yield of 2.9%. Home Depot's dividend payout ratio (DPR) is currently 65.22%.

Trending Headlines about Home Depot

Here are the key news stories impacting Home Depot this week:

• Positive Sentiment: Home Depot is developing the “Orange Exchange,” a supplier initiative intended to connect the retailer with more small businesses. The effort could improve product quality, assortment and availability while supporting long-term customer demand. Home Depot's latest move is good for customers and the U.S. economy
• Positive Sentiment: Recent coverage highlights potential support from lower interest rates, which could gradually stimulate home sales, remodeling activity and larger renovation projects. Home Depot stock rebounds as rate cuts stir home-improvement demand
• Positive Sentiment: Analyst earnings and revenue estimate revisions, along with the company’s growing distribution capabilities, have renewed attention on Home Depot’s valuation. The latest quarterly results also exceeded consensus expectations, with earnings of $4.92 per share and revenue of $47.86 billion.
• Positive Sentiment: Several major institutional investors increased their Home Depot holdings during the latest reported quarter, while the median analyst price target cited by Quiver Quantitative is $375, implying potential upside from recent trading levels.
• Neutral Sentiment: The Home Depot Foundation pledged $1 billion through 2032 for veteran housing and related causes. The announcement strengthens the company’s social-impact profile but is unlikely to materially affect near-term earnings. The Home Depot Foundation Pledges $1 Billion to Veteran Causes by 2032
• Negative Sentiment: Risk-off trading, higher oil prices and persistently elevated mortgage rates are weighing on housing activity and economically sensitive retailers. Soft home sales and affordability concerns could delay big-ticket renovation demand.
• Negative Sentiment: Reported insider activity showed four sales and no purchases over the past six months, a potentially cautious signal, although the transactions do not necessarily indicate a change in the company’s fundamentals.

Insider Activity at Home Depot

In other Home Depot news, EVP Michael Rowe sold 710 shares of Home Depot stock in a transaction on Wednesday, August 26th. The shares were sold at an average price of $336.76, for a total value of $239,099.60. Following the transaction, the executive vice president owned 6,838 shares in the company, valued at $2,302,764.88. This trade represents a 9.41% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CAO Kimberly Scardino sold 675 shares of the firm's stock in a transaction dated Thursday, September 10th. The stock was sold at an average price of $305.95, for a total value of $206,516.25. Following the completion of the transaction, the chief accounting officer owned 8,189 shares in the company, valued at approximately $2,505,424.55. This trade represents a 7.62% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 9,829 shares of company stock worth $3,339,314 in the last 90 days. Company insiders own 0.08% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Bank of Nova Scotia acquired a new stake in Home Depot in the second quarter valued at $118,723,000. AFT Forsyth & Company Inc. acquired a new position in Home Depot during the 2nd quarter worth $1,896,000. Field & Main Bank acquired a new position in Home Depot during the 2nd quarter worth $6,286,000. State Street Corp grew its holdings in Home Depot by 1.1% during the 2nd quarter. State Street Corp now owns 47,175,026 shares of the home improvement retailer's stock worth $16,637,688,000 after acquiring an additional 499,168 shares in the last quarter. Finally, Envestnet Portfolio Solutions Inc. increased its position in shares of Home Depot by 9.6% in the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 49,096 shares of the home improvement retailer's stock worth $17,315,000 after purchasing an additional 4,292 shares during the last quarter. Institutional investors and hedge funds own 70.86% of the company's stock.

About Home Depot

The Home Depot, Inc is a home improvement retailer serving do-it-yourself customers, professional contractors, and other building and maintenance professionals. The company sells a broad selection of building materials, hardware, tools, appliances, paint, plumbing and electrical supplies, flooring, lighting, lawn and garden products, and home décor.

In addition to merchandise, Home Depot offers services such as product delivery, tool and equipment rental, credit services, and installation for selected products.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.