30,100 The Home Depot, Inc. $HD Shares Sold by Focused Investors LLC

Key Points

• Focused Investors LLC cut its Home Depot stake by 16%: It sold 30,100 shares in the third quarter and held 158,400 shares worth about $45.1 million at quarter-end.
• Home Depot beat quarterly earnings expectations, reporting EPS of $4.92 versus estimates of $4.73 and revenue of $47.86 billion, up 5.7% year over year.
• Analysts’ consensus rating is Moderate Buy, with an average price target of $375.31; the company’s latest quarterly dividend was $2.33 per share.

Focused Investors LLC lowered its position in The Home Depot, Inc. (NYSE:HD - Free Report) by 16.0% during the third quarter, according to its most recent filing with the SEC. The institutional investor owned 158,400 shares of the home improvement retailer's stock after selling 30,100 shares during the period. Home Depot accounts for approximately 1.9% of Focused Investors LLC's portfolio, making the stock its 22nd biggest holding. Focused Investors LLC's holdings in Home Depot were worth $45,063,000 at the end of the most recent quarter.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. BlackRock Inc. acquired a new stake in shares of Home Depot in the second quarter valued at about $28,771,247,000. State Street Corp boosted its position in Home Depot by 1.1% during the second 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 during the last quarter. Bank of America Corp DE acquired a new position in Home Depot during the second quarter worth about $5,780,468,000. Bank of New York Mellon Corp purchased a new stake in Home Depot during the 2nd quarter valued at about $2,777,396,000. Finally, Corient Private Wealth LP purchased a new stake in Home Depot during the 2nd quarter valued at about $390,913,000. Institutional investors and hedge funds own 70.86% of the company's stock.

Home Depot Stock Performance

Home Depot stock opened at $333.49 on Wednesday. The firm has a 50 day simple moving average of $308.48 and a 200-day simple moving average of $334.51. The Home Depot, Inc. has a 1-year low of $277.15 and a 1-year high of $397.63. 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 stock has a market cap of $332.72 billion, a price-to-earnings ratio of 23.34, a price-to-earnings-growth ratio of 2.43 and a beta of 0.93.

Home Depot (NYSE:HD - Get Free Report) last announced its quarterly earnings results on Tuesday, August 18th. The home improvement retailer reported $4.92 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.73 by $0.19. The business had revenue of $47.86 billion during 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 business's revenue was up 5.7% compared to the same quarter last year. During the same quarter last year, the firm earned $4.68 EPS. Home Depot has set its FY 2026 guidance at 14.690-15.278 EPS. On average, analysts expect that The Home Depot, Inc. will post 15.01 EPS for the current year.

Home Depot Announces Dividend

The firm also recently announced 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 annualized dividend and a yield of 2.8%. Home Depot's dividend payout ratio (DPR) is 65.22%.

Analyst Upgrades and Downgrades

HD has been the subject of a number of recent research reports. Jefferies Financial Group reiterated a "buy" rating and issued a $398.00 price objective on shares of Home Depot in a report on Tuesday, August 18th. Argus restated a "buy" rating and issued a $400.00 price target on shares of Home Depot in a research report on Wednesday, August 19th. KeyCorp reaffirmed a "sector weight" rating on shares of Home Depot in a report on Wednesday, August 19th. Wells Fargo & Company lifted their price objective on Home Depot from $360.00 to $400.00 and gave the stock an "overweight" rating in a research report on Tuesday, August 11th. Finally, Guggenheim reissued a "buy" rating and set a $425.00 price objective on shares of Home Depot in a research note on Wednesday, August 19th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $375.31.

Key Headlines Impacting Home Depot

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

• Positive Sentiment: Home Depot recently beat earnings expectations, supporting optimism about its ability to deliver results even in a challenging housing environment. Home Depot Stock Could Be Poised for a Turnaround
• Positive Sentiment: Coverage highlights Home Depot’s 17 consecutive years of dividend increases and its scale, which may help it remain resilient and sustain shareholder returns through a weak housing cycle. Home Depot Has Raised Its Dividend 17 Straight Years
• Neutral Sentiment: Analyst-oriented coverage says Home Depot has a record of earnings surprises and may be positioned to beat estimates again; this is a forecast, not a reported result. The company will hold its third-quarter earnings call on November 17. Will Home Depot Beat Estimates Again? Third Quarter Earnings Call Announcement
• Negative Sentiment: The stock’s weakness amid a broader-market uptick suggests investors remain cautious. Recent commentary cites a historically sluggish housing market and shares being down for the year as factors that could weigh on expectations for renovation-related spending. Home Depot Stock Falls Amid Market Uptick

Insiders Place Their Bets

In other news, EVP Teresa Roseborough sold 2,455 shares of the stock in a transaction on Friday, August 28th. The stock was sold at an average price of $328.77, for a total transaction of $807,130.35. Following the completion of the transaction, the executive vice president directly owned 14,061 shares in the company, valued at approximately $4,622,834.97. This represents a 14.86% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CAO Kimberly R. 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 sale, the chief accounting officer directly owned 8,189 shares of the company's stock, valued at $2,505,424.55. The trade was 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 over the last ninety days. Company insiders own 0.08% 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.

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