Allen Investment Management LLC Lowers Stake in The Home Depot, Inc. (NYSE:HD)

Key Points

• Allen Investment Management LLC cut its stake in The Home Depot by 39.7% in Q1, selling 12,344 shares and now holds 18,723 shares valued at approximately $6.86 million.
• Home Depot reported earnings of $3.56 per share for the last quarter, missing expectations by $0.03, with revenue of $39.86 billion, which exceeds estimates.
• The company recently declared a quarterly dividend of $2.30 per share, contributing to an annualized dividend yield of 2.45%.

Allen Investment Management LLC lessened its stake in The Home Depot, Inc. (NYSE:HD - Free Report) by 39.7% during the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 18,723 shares of the home improvement retailer's stock after selling 12,344 shares during the period. Allen Investment Management LLC's holdings in Home Depot were worth $6,862,000 as of its most recent SEC filing.

A number of other institutional investors also recently added to or reduced their stakes in the business. Financial Gravity Asset Management Inc. bought a new position in shares of Home Depot during the first quarter worth about $406,000. Wealth Management Partners LLC lifted its position in shares of Home Depot by 0.6% during the first quarter. Wealth Management Partners LLC now owns 6,506 shares of the home improvement retailer's stock worth $2,384,000 after purchasing an additional 36 shares during the last quarter. Arbor Capital Management Inc. ADV lifted its position in shares of Home Depot by 4.8% during the first quarter. Arbor Capital Management Inc. ADV now owns 4,784 shares of the home improvement retailer's stock worth $1,757,000 after purchasing an additional 221 shares during the last quarter. Disciplined Investors L.L.C. bought a new position in Home Depot in the fourth quarter worth about $409,000. Finally, ARS Wealth Advisors Group LLC lifted its holdings in Home Depot by 0.8% in the first quarter. ARS Wealth Advisors Group LLC now owns 31,728 shares of the home improvement retailer's stock worth $11,628,000 after acquiring an additional 239 shares during the last quarter. Hedge funds and other institutional investors own 70.86% of the company's stock.

Home Depot Stock Down 0.0%

Shares of NYSE:HD traded down $0.09 during midday trading on Wednesday, reaching $377.25. The company's stock had a trading volume of 708,860 shares, compared to its average volume of 3,532,477. The firm has a market capitalization of $375.34 billion, a P/E ratio of 25.59, a PEG ratio of 3.59 and a beta of 1.00. The company has a quick ratio of 0.28, a current ratio of 1.09 and a debt-to-equity ratio of 5.95. The Home Depot, Inc. has a 12-month low of $326.31 and a 12-month high of $439.37. The firm has a 50 day moving average of $365.56 and a 200-day moving average of $373.69.

Home Depot (NYSE:HD - Get Free Report) last announced its quarterly earnings results on Tuesday, May 20th. The home improvement retailer reported $3.56 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $3.59 by ($0.03). Home Depot had a net margin of 8.98% and a return on equity of 242.51%. The company had revenue of $39.86 billion for the quarter, compared to analysts' expectations of $39.24 billion. During the same period in the previous year, the business earned $3.63 EPS. The business's revenue was up 9.4% compared to the same quarter last year. On average, research analysts anticipate that The Home Depot, Inc. will post 15.13 earnings per share for the current year.

Home Depot Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, June 18th. Shareholders of record on Thursday, June 5th were given a $2.30 dividend. The ex-dividend date was Thursday, June 5th. This represents a $9.20 annualized dividend and a yield of 2.44%. Home Depot's payout ratio is presently 62.42%.

Insider Buying and Selling

In related news, EVP Fahim Siddiqui sold 2,600 shares of the stock in a transaction dated Thursday, May 22nd. The shares were sold at an average price of $367.14, for a total value of $954,564.00. Following the completion of the transaction, the executive vice president owned 7,951 shares of the company's stock, valued at approximately $2,919,130.14. This trade represents a 24.64% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Teresa Wynn Roseborough sold 5,406 shares of the stock in a transaction dated Wednesday, May 28th. The shares were sold at an average price of $369.28, for a total transaction of $1,996,327.68. Following the completion of the transaction, the executive vice president directly owned 17,367 shares of the company's stock, valued at approximately $6,413,285.76. The trade was a 23.74% decrease in their position. The disclosure for this sale can be found here. 0.10% of the stock is currently owned by company insiders.

Analyst Ratings Changes

Several brokerages have commented on HD. Truist Financial raised their price target on shares of Home Depot from $393.00 to $417.00 and gave the company a "buy" rating in a research note on Tuesday, May 20th. Evercore ISI set a $400.00 price objective on shares of Home Depot and gave the stock an "outperform" rating in a research report on Thursday, May 22nd. Wells Fargo & Company set a $420.00 price objective on shares of Home Depot and gave the company an "overweight" rating in a research note on Monday, June 30th. Guggenheim reaffirmed a "buy" rating and issued a $450.00 price objective on shares of Home Depot in a research note on Wednesday, May 21st. Finally, Robert W. Baird cut their target price on shares of Home Depot from $430.00 to $425.00 and set an "outperform" rating for the company in a research report on Wednesday, May 21st. Seven analysts have rated the stock with a hold rating, twenty have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, Home Depot currently has a consensus rating of "Moderate Buy" and an average target price of $426.77.

Home Depot Company Profile

The Home Depot, Inc operates as a home improvement retailer in the United States and internationally. It sells various building materials, home improvement products, lawn and garden products, and décor products, as well as facilities maintenance, repair, and operations products. The company also offers installation services for flooring, water heaters, bath, garage doors, cabinets, cabinet makeovers, countertops, sheds, furnaces and central air systems, and windows.