Carderock Capital Management Inc. Sells 8,453 Shares of The Home Depot, Inc. $HD

Key Points

• Carderock Capital Management cut its Home Depot stake by 42.2% in the third quarter, selling 8,453 shares and retaining 11,579 shares valued at approximately $3.29 million.
• Institutional investors and hedge funds own 70.86% of Home Depot, with several firms adding shares during the quarter despite Carderock’s reduction.
• Home Depot recently exceeded earnings and revenue expectations, reporting $4.92 in quarterly EPS and $47.86 billion in revenue. Analysts maintain a “Moderate Buy” consensus with an average price target of $375.93, while elevated mortgage rates and weak housing activity remain risks.

Carderock Capital Management Inc. decreased its holdings in The Home Depot, Inc. (NYSE:HD - Free Report) by 42.2% during the 3rd quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 11,579 shares of the home improvement retailer's stock after selling 8,453 shares during the quarter. Carderock Capital Management Inc.'s holdings in Home Depot were worth $3,294,000 as of its most recent filing with the SEC.

Other hedge funds have also bought and sold shares of the company. Yousif Capital Management LLC increased its position in Home Depot by 0.4% in the 3rd quarter. Yousif Capital Management LLC now owns 106,645 shares of the home improvement retailer's stock valued at $30,339,000 after acquiring an additional 474 shares during the period. Seven Mile Advisory lifted its position in shares of Home Depot by 5.0% during the 3rd quarter. Seven Mile Advisory now owns 1,031 shares of the home improvement retailer's stock valued at $293,000 after acquiring an additional 49 shares during the last quarter. River Street Advisors LLC lifted its stake in Home Depot by 3.3% during the third quarter. River Street Advisors LLC now owns 5,446 shares of the home improvement retailer's stock valued at $1,549,000 after buying an additional 174 shares in the last quarter. Patrick M Sweeney & Associates Inc. grew its position in Home Depot by 1.7% during the 3rd quarter. Patrick M Sweeney & Associates Inc. now owns 3,756 shares of the home improvement retailer's stock worth $1,069,000 after purchasing an additional 62 shares in the last quarter. Finally, Boomfish Wealth Group LLC lifted its position in shares of Home Depot by 1.8% in the third quarter. Boomfish Wealth Group LLC now owns 2,441 shares of the home improvement retailer's stock worth $694,000 after purchasing an additional 42 shares in the last quarter. 70.86% of the stock is currently owned by institutional investors and hedge funds.

More Home Depot News

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.

Home Depot Price Performance

Shares of HD opened at $319.73 on Friday. The stock has a market capitalization of $318.99 billion, a P/E ratio of 22.37, a P/E/G ratio of 2.33 and a beta of 1.00. The company has a 50 day moving average of $309.69 and a 200-day moving average of $323.89. The company has a quick ratio of 0.31, a current ratio of 1.08 and a debt-to-equity ratio of 2.64. The Home Depot, Inc. has a twelve month low of $277.15 and a twelve month high of $397.63.

Home Depot (NYSE:HD - Get Free Report) last issued its earnings results on Tuesday, August 18th. The home improvement retailer reported $4.92 earnings per share for the quarter, topping analysts' consensus estimates of $4.73 by $0.19. Home Depot had a net margin of 8.41% and a return on equity of 106.42%. The business had revenue of $47.86 billion for the quarter, compared to the consensus estimate of $47.24 billion. During the same period in the previous year, the company earned $4.68 earnings per share. The firm's revenue for the quarter was up 5.7% on a year-over-year basis. Home Depot has set its FY 2026 guidance at 14.690-15.278 EPS. As a group, equities research analysts forecast that The Home Depot, Inc. will post 15.01 EPS for the current fiscal year.

Home Depot Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, September 17th. Investors of record on Thursday, September 3rd were given 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 2.9%. Home Depot's dividend payout ratio is currently 65.22%.

Insider Activity

In other news, EVP Michael F. Rowe sold 710 shares of the stock in a transaction on Wednesday, August 26th. The stock was sold at an average price of $336.76, for a total value of $239,099.60. Following the completion of the transaction, the executive vice president directly owned 6,838 shares in the company, valued at approximately $2,302,764.88. This represents a 9.41% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Kimberly R. Scardino sold 675 shares of Home Depot stock in a transaction that occurred on Thursday, September 10th. The stock was sold at an average price of $305.95, for a total transaction of $206,516.25. Following the sale, the chief accounting officer owned 8,189 shares in the company, valued at approximately $2,505,424.55. This represents a 7.62% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 9,829 shares of company stock worth $3,339,314. 0.08% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on HD shares. Royal Bank Of Canada dropped their price objective on Home Depot from $343.00 to $342.00 and set a "sector perform" rating on the stock in a report on Wednesday, August 19th. Mizuho upped their price objective on Home Depot from $385.00 to $390.00 and gave the company an "outperform" rating in a research note on Wednesday, August 19th. Wells Fargo & Company increased their target price on Home Depot from $360.00 to $400.00 and gave the stock an "overweight" rating in a report on Tuesday, August 11th. Weiss Ratings restated a "hold (c)" rating on shares of Home Depot in a research report on Friday, October 2nd. Finally, Melius Research set a $397.00 price target on Home Depot in a research note on Tuesday, October 6th. One analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $375.93.

Home Depot Company Profile

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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