Lecap Asset Management Ltd. Reduces Holdings in The Home Depot, Inc. $HD

Key Points

• Lecap Asset Management Ltd. significantly reduced its stake in The Home Depot, Inc. by 85.3%, selling 7,982 shares and now holding only 1,380 shares, valued at approximately $506,000.
• Insider activity saw CEO Edward P. Decker sell 32,897 shares worth over $13 million, resulting in a 21.18% decrease in his ownership of the stock.
• Home Depot reported a quarterly earnings miss with $4.68 EPS, slightly below the consensus estimate of $4.69, and projected a FY 2025 EPS guidance of 14.940.

Lecap Asset Management Ltd. reduced its stake in shares of The Home Depot, Inc. (NYSE:HD - Free Report) by 85.3% in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 1,380 shares of the home improvement retailer's stock after selling 7,982 shares during the period. Lecap Asset Management Ltd.'s holdings in Home Depot were worth $506,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in HD. Client 1ST Advisory Group LLC grew its holdings in Home Depot by 1.5% in the first quarter. Client 1ST Advisory Group LLC now owns 1,878 shares of the home improvement retailer's stock valued at $688,000 after purchasing an additional 27 shares during the period. Financial Insights Inc. grew its position in Home Depot by 3.3% in the first quarter. Financial Insights Inc. now owns 880 shares of the home improvement retailer's stock valued at $323,000 after acquiring an additional 28 shares in the last quarter. Wayfinding Financial LLC increased its stake in Home Depot by 1.2% during the 1st quarter. Wayfinding Financial LLC now owns 2,353 shares of the home improvement retailer's stock worth $862,000 after buying an additional 28 shares during the period. Pure Portfolios Holdings LLC lifted its stake in shares of Home Depot by 4.7% in the first quarter. Pure Portfolios Holdings LLC now owns 623 shares of the home improvement retailer's stock worth $228,000 after acquiring an additional 28 shares in the last quarter. Finally, First Interstate Bank boosted its stake in shares of Home Depot by 0.3% during the 1st quarter. First Interstate Bank now owns 9,020 shares of the home improvement retailer's stock valued at $3,306,000 after buying an additional 28 shares during the last quarter. 70.86% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Home Depot

In other news, EVP William D. Bastek sold 3,783 shares of the business's stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $410.23, for a total value of $1,551,900.09. Following the completion of the sale, the executive vice president directly owned 24,235 shares in the company, valued at approximately $9,941,924.05. The trade was a 13.50% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Edward P. Decker sold 32,897 shares of the company's stock in a transaction dated Thursday, August 21st. The shares were sold at an average price of $397.22, for a total transaction of $13,067,346.34. Following the sale, the chief executive officer owned 122,425 shares of the company's stock, valued at $48,629,658.50. This trade represents a 21.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 48,835 shares of company stock valued at $19,623,432. Insiders own 0.10% of the company's stock.

Analyst Ratings Changes

HD has been the subject of several research analyst reports. Morgan Stanley boosted their price objective on Home Depot from $415.00 to $430.00 and gave the company an "overweight" rating in a report on Wednesday, August 20th. JPMorgan Chase & Co. reduced their target price on shares of Home Depot from $460.00 to $452.00 and set an "overweight" rating for the company in a research note on Wednesday, August 20th. Telsey Advisory Group reissued an "outperform" rating and issued a $455.00 price target on shares of Home Depot in a research note on Tuesday, August 19th. Robert W. Baird raised their price objective on shares of Home Depot from $425.00 to $450.00 and gave the company an "outperform" rating in a research note on Wednesday, August 20th. Finally, Wolfe Research began coverage on shares of Home Depot in a research report on Thursday, September 18th. They issued an "outperform" rating and a $497.00 price target on the stock. One research analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat.com, Home Depot presently has a consensus rating of "Moderate Buy" and an average target price of $436.40.

Home Depot Price Performance

Shares of HD opened at $394.56 on Friday. The Home Depot, Inc. has a fifty-two week low of $326.31 and a fifty-two week high of $439.37. The company has a debt-to-equity ratio of 4.31, a current ratio of 1.15 and a quick ratio of 0.34. The company has a market capitalization of $392.74 billion, a price-to-earnings ratio of 26.80, a P/E/G ratio of 3.76 and a beta of 1.00. The business's 50-day moving average is $402.24 and its 200-day moving average is $375.89.

Home Depot (NYSE:HD - Get Free Report) last posted its quarterly earnings results on Tuesday, August 19th. The home improvement retailer reported $4.68 EPS for the quarter, missing the consensus estimate of $4.69 by ($0.01). Home Depot had a net margin of 8.86% and a return on equity of 193.99%. The company had revenue of $45.28 billion for the quarter, compared to analysts' expectations of $45.43 billion. During the same quarter in the prior year, the firm earned $4.60 earnings per share. The company's revenue was up 4.9% on a year-over-year basis. Home Depot has set its FY 2025 guidance at 14.940-14.940 EPS. Equities research analysts expect that The Home Depot, Inc. will post 15.13 EPS for the current fiscal year.

Home Depot Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 18th. Stockholders of record on Thursday, September 4th were paid a dividend of $2.30 per share. The ex-dividend date was Thursday, September 4th. This represents a $9.20 annualized dividend and a dividend yield of 2.3%. Home Depot's dividend payout ratio is 62.50%.

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.

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