Mitsubishi UFJ Asset Management Co. Ltd. Invests $896.22 Million in The Home Depot, Inc. $HD

Key Points

• Mitsubishi UFJ Asset Management acquired 2.54 million Home Depot shares worth approximately $896.2 million, representing about 0.25% of the company. Institutional investors collectively own 70.86% of Home Depot.
• Home Depot exceeded quarterly expectations, reporting $4.92 in EPS and $47.86 billion in revenue, with sales up 5.7% year over year. Analysts maintain a “Moderate Buy” consensus and an average price target of $375.54, though targets and ratings remain mixed.
• The company declared a quarterly dividend of $2.33 per share, equivalent to $9.32 annually and a yield of approximately 2.8%. Ongoing concerns include margin pressure, weaker demand for large renovation projects, and an $2.1 million stock sale by the CFO.

Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of The Home Depot, Inc. (NYSE:HD - Free Report) in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor bought 2,541,157 shares of the home improvement retailer's stock, valued at approximately $896,215,000. Mitsubishi UFJ Asset Management Co. Ltd. owned about 0.25% of Home Depot as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also modified their holdings of HD. Beverly Hills Private Wealth LLC purchased a new position in Home Depot in the 2nd quarter worth about $364,000. OneDigital Investment Advisors LLC acquired a new stake in Home Depot during the 2nd quarter worth about $11,476,000. Plato Investment Management Ltd purchased a new stake in Home Depot during the second quarter valued at about $7,798,000. Bell Investment Advisors Inc purchased a new stake in Home Depot during the second quarter valued at about $136,000. Finally, AMG National Trust Bank acquired a new position in shares of Home Depot in the second quarter worth about $34,300,000. Institutional investors and hedge funds own 70.86% of the company's stock.

Home Depot Trading Up 0.1%

NYSE:HD opened at $336.04 on Monday. The stock has a market cap of $335.07 billion, a PE ratio of 23.52, a price-to-earnings-growth ratio of 3.70 and a beta of 0.95. The Home Depot, Inc. has a fifty-two week low of $289.10 and a fifty-two week high of $426.75. The company has a debt-to-equity ratio of 2.64, a current ratio of 1.08 and a quick ratio of 0.31. The stock's 50-day moving average is $340.86 and its two-hundred day moving average is $340.20.

Home Depot (NYSE:HD - Get Free Report) last posted its quarterly earnings results on Tuesday, August 18th. The home improvement retailer reported $4.92 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.73 by $0.19. The business had revenue of $47.86 billion during the quarter, compared to analyst estimates of $47.24 billion. Home Depot had a net margin of 8.41% and a return on equity of 106.42%. The firm's revenue was up 5.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $4.68 earnings per share. 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 14.99 earnings per share for the current fiscal year.

Home Depot Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 17th. Shareholders of record on Thursday, September 3rd will be given a $2.33 dividend. The ex-dividend date is Thursday, September 3rd. This represents a $9.32 dividend on an annualized basis and a yield of 2.8%. Home Depot's dividend payout ratio is presently 65.22%.

Insider Transactions at Home Depot

In other Home Depot news, CFO Richard V. Mcphail sold 5,989 shares of Home Depot stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $348.40, for a total transaction of $2,086,567.60. Following the completion of the sale, the chief financial officer owned 48,104 shares of the company's stock, valued at $16,759,433.60. This trade represents a 11.07% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. 0.08% of the stock is currently owned by insiders.

Trending Headlines about Home Depot

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

• Positive Sentiment: Home Depot’s latest quarter showed solid execution: earnings and revenue exceeded consensus estimates, while sales increased year over year. Bank of America characterized the results as resilient despite a difficult housing backdrop. Home Depot Q2 results analysis
• Positive Sentiment: The board declared a quarterly dividend of $2.33 per share, payable September 17 to shareholders of record September 3. The annualized payout implies a yield of approximately 2.8%, supporting the stock’s income appeal. Home Depot declares quarterly dividend
• Positive Sentiment: DA Davidson, Argus and Guggenheim reiterated or assigned “Buy” ratings, indicating continued confidence in Home Depot’s long-term positioning. The company is also expanding nationwide express delivery to make smaller projects more convenient for cautious consumers. DA Davidson buy rating Home Depot expands express delivery
• Neutral Sentiment: Royal Bank of Canada lowered its price target to $342, while KeyCorp maintained a Sector Weight rating. The mixed recommendations suggest limited near-term upside despite the earnings beat. RBC lowers Home Depot price target
• Neutral Sentiment: Home Depot expanded executive responsibilities and awarded restricted stock, changes intended to support leadership continuity but with no immediate earnings impact. Home Depot executive changes
• Negative Sentiment: Reports highlight margin pressure and an uphill sales environment as customers delay or reduce spending on major renovations. This could constrain comparable sales and profitability even after the recent quarterly beat. Home Depot margin pressure Home Depot customer spending concerns
• Negative Sentiment: CFO Richard McPhail sold 5,989 shares worth approximately $2.1 million, reducing his position by 11.1%. While insider sales do not necessarily signal deteriorating fundamentals, the transaction may weigh modestly on sentiment. Home Depot CFO stock sale

Analysts Set New Price Targets

Several research firms have recently weighed in on HD. Guggenheim reissued a "buy" rating and issued a $425.00 target price on shares of Home Depot in a research report on Wednesday, August 19th. Weiss Ratings upgraded shares of Home Depot from a "hold (c-)" rating to a "hold (c)" rating in a research report on Tuesday, July 7th. KeyCorp reaffirmed a "sector weight" rating on shares of Home Depot in a research note on Wednesday, August 19th. Robert W. Baird lowered their price objective on shares of Home Depot from $430.00 to $380.00 and set an "outperform" rating on the stock in a research report on Wednesday, May 20th. Finally, HSBC lowered their price objective on shares of Home Depot from $392.00 to $310.00 and set a "hold" rating on the stock in a research report on Wednesday, May 20th. Eighteen research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $375.54.

Home Depot Profile

The Home Depot, Inc NYSE: HD is a leading home improvement retailer that operates large-format stores and an integrated online platform offering a broad range of products and services for do-it-yourself consumers, professional contractors and businesses. The company was founded in 1978 by Bernard Marcus and Arthur Blank and is headquartered in Atlanta, Georgia. Since opening its first stores at the end of the 1970s, Home Depot has grown into a multinational retailer known for its orange-branded stores and wide assortment of home improvement merchandise.

Home Depot's core business includes the sale of building materials, lumber, tools, hardware, appliances, paint, plumbing and electrical supplies, lawn and garden products, and home décor.

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