Bank of Nova Scotia Sells 146,495 Shares of The Home Depot, Inc. (NYSE:HD)

Key Points

• Bank of Nova Scotia has reduced its stake in The Home Depot by 38.9%, selling 146,495 shares during the first quarter, bringing its total holdings to $84.4 million.
• The Home Depot reported a miss on earnings estimates for the last quarter, with earnings per share of $3.56 against a consensus of $3.59, despite achieving a 9.4% increase in revenue year over year.
• Analyst ratings for Home Depot are generally positive, with several firms raising their price targets, leading to a consensus target price of $426.77 and a current average rating of "Moderate Buy".

Bank of Nova Scotia cut its holdings in The Home Depot, Inc. (NYSE:HD - Free Report) by 38.9% during the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 230,313 shares of the home improvement retailer's stock after selling 146,495 shares during the quarter. Bank of Nova Scotia's holdings in Home Depot were worth $84,399,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of HD. Asset Planning Services Inc. LA ADV increased its position in Home Depot by 99,400.7% during the 1st quarter. Asset Planning Services Inc. LA ADV now owns 18,975,772 shares of the home improvement retailer's stock valued at $6,954,431,000 after purchasing an additional 18,956,701 shares during the period. Capital Research Global Investors boosted its stake in shares of Home Depot by 5.5% in the 4th quarter. Capital Research Global Investors now owns 12,455,582 shares of the home improvement retailer's stock valued at $4,845,098,000 after purchasing an additional 647,552 shares during the last quarter. Northern Trust Corp increased its position in shares of Home Depot by 13.3% during the fourth quarter. Northern Trust Corp now owns 12,149,890 shares of the home improvement retailer's stock worth $4,726,186,000 after buying an additional 1,424,857 shares during the period. GAMMA Investing LLC grew its holdings in Home Depot by 39,194.1% during the 1st quarter. GAMMA Investing LLC now owns 10,236,903 shares of the home improvement retailer's stock worth $37,517,230,000 after acquiring an additional 10,210,851 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in Home Depot by 5.5% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 8,472,212 shares of the home improvement retailer's stock worth $3,295,606,000 after acquiring an additional 441,729 shares during the period. Institutional investors own 70.86% of the company's stock.

Home Depot Trading Up 0.4%

Shares of HD stock traded up $1.72 during mid-day trading on Wednesday, reaching $387.13. The stock had a trading volume of 2,810,743 shares, compared to its average volume of 3,528,763. The firm has a market capitalization of $385.17 billion, a PE ratio of 26.26, a price-to-earnings-growth ratio of 3.62 and a beta of 1.00. The stock's 50-day moving average price is $366.50 and its two-hundred day moving average price is $372.80. The company has a current ratio of 1.09, a quick ratio of 0.28 and a debt-to-equity ratio of 5.95. The Home Depot, Inc. has a 52-week low of $326.31 and a 52-week high of $439.37.

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

Home Depot Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, June 18th. Stockholders of record on Thursday, June 5th were paid a dividend of $2.30 per share. The ex-dividend date of this dividend was Thursday, June 5th. This represents a $9.20 dividend on an annualized basis and a dividend yield of 2.4%. Home Depot's payout ratio is presently 62.42%.

Wall Street Analyst Weigh In

Several equities research analysts recently commented on the company. Mizuho decreased their target price on Home Depot from $450.00 to $435.00 and set an "outperform" rating for the company in a research note on Wednesday, May 21st. Truist Financial boosted their target price on Home Depot from $393.00 to $417.00 and gave the company a "buy" rating in a research report on Tuesday, May 20th. Telsey Advisory Group restated an "outperform" rating and set a $455.00 price objective on shares of Home Depot in a report on Monday, June 30th. Evercore ISI set a $400.00 target price on Home Depot and gave the stock an "outperform" rating in a research report on Thursday, May 22nd. Finally, Wells Fargo & Company set a $420.00 price target on shares of Home Depot and gave the company an "overweight" rating in a research note on Monday, June 30th. Seven research analysts have rated the stock with a hold rating, twenty have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, Home Depot presently has an average rating of "Moderate Buy" and an average target price of $426.77.

Insider Transactions at Home Depot

In other Home Depot news, EVP Teresa Wynn Roseborough sold 5,406 shares of Home Depot stock in a transaction that occurred on Wednesday, May 28th. The stock was sold at an average price of $369.28, for a total transaction of $1,996,327.68. Following the sale, 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 transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP Fahim Siddiqui sold 2,600 shares of the stock in a transaction that occurred on Thursday, May 22nd. The stock was 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 directly owned 7,951 shares of the company's stock, valued at $2,919,130.14. This represents a 24.64% decrease in their position. The disclosure for this sale can be found here. Insiders own 0.10% of the company's stock.

About Home Depot

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.