Bank of America Corp DE Acquires Shares of 16,390,122 The Home Depot, Inc. $HD

Key Points

• Bank of America acquired 16.39 million Home Depot shares in the second quarter, valued at approximately $5.78 billion, giving it a 1.64% stake. Institutional investors collectively own 70.86% of the company.
• Home Depot exceeded quarterly expectations, reporting $4.92 in EPS and $47.86 billion in revenue, up 5.7% year over year. The company also declared a quarterly dividend of $2.33, equivalent to a 3.0% annualized yield.
• Analyst sentiment remains generally positive, with a “Moderate Buy” consensus and an average price target of $375.18, though concerns persist over weaker store traffic, subdued housing activity and recent insider selling.

Bank of America Corp DE acquired a new position in shares of The Home Depot, Inc. (NYSE:HD - Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund acquired 16,390,122 shares of the home improvement retailer's stock, valued at approximately $5,780,468,000. Bank of America Corp DE owned approximately 1.64% of Home Depot at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently modified their holdings of HD. Advocate Investing Services LLC purchased a new stake in Home Depot during the 4th quarter worth $25,000. Zeit Capital LLC acquired a new position in shares of Home Depot in the second quarter worth about $26,000. Parvin Asset Management LLC lifted its stake in shares of Home Depot by 110.0% in the third quarter. Parvin Asset Management LLC now owns 63 shares of the home improvement retailer's stock worth $26,000 after acquiring an additional 33 shares in the last quarter. Cache Advisors LLC purchased a new position in Home Depot in the first quarter valued at about $27,000. Finally, Merkkuri Wealth Advisors LLC purchased a new position in Home Depot in the first quarter valued at about $28,000. Hedge funds and other institutional investors own 70.86% of the company's stock.

Insiders Place Their Bets

In related news, CFO Richard McPhail sold 5,989 shares of the business's stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $348.40, for a total transaction of $2,086,567.60. Following the completion of the transaction, the chief financial officer owned 48,104 shares of the company's stock, valued at approximately $16,759,433.60. The trade was a 11.07% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Teresa Roseborough sold 2,455 shares of the stock in a transaction that occurred on Friday, August 28th. The shares were sold at an average price of $328.77, for a total value of $807,130.35. Following the sale, the executive vice president owned 14,061 shares of the company's stock, valued at approximately $4,622,834.97. The trade was a 14.86% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 9,829 shares of company stock worth $3,339,314 over the last quarter. 0.08% of the stock is currently owned by company insiders.

Home Depot News Summary

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

• Positive Sentiment: Home Depot continues to benefit from momentum among professional customers, digital sales and faster fulfillment. These trends could help offset softer consumer traffic and support longer-term growth. Home Depot Drops 12.4% in a Month: Time to Buy or Stay Cautious?
• Positive Sentiment: The retailer is adding convenience and engagement features to its shopping experience, including a perk modeled after Costco’s approach. The initiative may improve customer retention and store visits, although its financial impact is not yet clear. Home Depot Tries to Copy Major Costco Perk
• Positive Sentiment: Home Depot remains highlighted as a company with a durable record of dividend increases, which may appeal to income-oriented investors during the housing slowdown. 5 Stocks That Keep Raising Their Dividend Regardless of the Market
• Neutral Sentiment: Chief Accounting Officer Kimberly Scardino sold 675 shares for approximately $206,516, reducing her holdings by 7.62% but retaining 8,189 shares. The transaction is relatively small and may have limited investment significance. SEC Insider Trading Filing
• Neutral Sentiment: A quantitative signal has emerged for contrarian options traders, potentially reflecting expectations that HD’s recent weakness is overdone; it does not change the company’s underlying fundamentals. A Rare Quant Signal Just Flashed for Contrarian Options Traders in Home Depot Stock
• Negative Sentiment: Analysts continue to flag weaker store traffic: recent growth has come from larger baskets and fewer transactions, increasing concern that shoppers may keep visiting less frequently as housing activity remains subdued. What Happens to Home Depot Stock If Shoppers Keep Visiting Less?
• Negative Sentiment: Erste Group Bank modestly lowered its FY2028 earnings estimate to $16.02 per share from $16.05, while Bernstein issued a pessimistic forecast for HD. The cautious analyst tone may weigh on sentiment despite Home Depot’s latest earnings beat. Sanford C. Bernstein Issues Pessimistic Forecast for Home Depot Stock

Wall Street Analysts Forecast Growth

Several research firms have issued reports on HD. Gordon Haskett lifted their price objective on Home Depot from $320.00 to $330.00 in a report on Friday, June 12th. Royal Bank Of Canada reduced their target price on Home Depot from $343.00 to $342.00 and set a "sector perform" rating for the company in a research note on Wednesday, August 19th. JPMorgan Chase & Co. decreased their price target on shares of Home Depot from $423.00 to $396.00 and set an "overweight" rating for the company in a research report on Wednesday, May 20th. Weiss Ratings upgraded shares of Home Depot from a "hold (c-)" rating to a "hold (c)" rating in a research note on Tuesday, July 7th. Finally, Evercore cut their price target on shares of Home Depot from $415.00 to $400.00 and set an "outperform" rating on the stock in a report on Wednesday, May 20th. Eighteen analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $375.18.

Home Depot Stock Performance

NYSE:HD opened at $308.86 on Monday. The Home Depot, Inc. has a twelve month low of $289.10 and a twelve month high of $426.75. The company has a 50-day moving average of $335.14 and a 200-day moving average of $333.60. The firm has a market cap of $308.14 billion, a price-to-earnings ratio of 21.61, a price-to-earnings-growth ratio of 3.40 and a beta of 0.95. The company has a current ratio of 1.08, a quick ratio of 0.31 and a debt-to-equity ratio of 2.64.

Home Depot (NYSE:HD - Get Free Report) last released its quarterly earnings results on Tuesday, August 18th. The home improvement retailer reported $4.92 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.73 by $0.19. The company had revenue of $47.86 billion during the quarter, compared to the consensus estimate of $47.24 billion. Home Depot had a return on equity of 106.42% and a net margin of 8.41%.The firm's revenue was up 5.7% on a year-over-year basis. During the same quarter in the prior year, the company posted $4.68 EPS. Home Depot has set its FY 2026 guidance at 14.690-15.278 EPS. Analysts forecast that The Home Depot, Inc. will post 15 earnings per share for the current fiscal year.

Home Depot Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 17th. Stockholders of record on Thursday, September 3rd will be paid a $2.33 dividend. The ex-dividend date is Thursday, September 3rd. This represents a $9.32 dividend on an annualized basis and a dividend yield of 3.0%. Home Depot's payout ratio is presently 65.22%.

About Home Depot

The Home Depot, Inc is a home improvement retailer that sells building materials, appliances, decor, hardware, tools, paint, lawn and garden products, and related merchandise. The company serves do-it-yourself customers, professional contractors, homebuilders, and other commercial customers through its retail stores and digital platforms.

Home Depot also provides services such as equipment and tool rental, delivery, installation, and project support. Its professional-focused offerings include job-lot quantities, specialized products, credit services, and account support designed for contractors and other trade customers.

Founded in 1978 by Bernie Marcus, Arthur Blank, Ken Langone, and Pat Farrah, the company is headquartered in Atlanta, Georgia.

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