North Dakota State Investment Board Invests $11.75 Million in The Home Depot, Inc. $HD

Key Points

• North Dakota State Investment Board initiated a new position in Home Depot, buying 34,147 shares valued at about $11.75 million in the fourth quarter. The stake now represents 0.4% of the fund’s portfolio.
• Home Depot recently beat earnings expectations for its latest quarter, reporting EPS of $2.72 versus $2.52 expected, while revenue came in slightly above estimates at $38.2 billion. However, revenue still fell 3.8% from a year earlier.
• The company raised its quarterly dividend to $2.33 per share, and Wall Street remains broadly positive with a consensus rating of Moderate Buy and an average price target of $405.66. Still, some analysts have trimmed targets amid recent stock weakness and housing-market concerns.

North Dakota State Investment Board purchased a new position in shares of The Home Depot, Inc. (NYSE:HD - Free Report) during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund purchased 34,147 shares of the home improvement retailer's stock, valued at approximately $11,750,000. Home Depot accounts for 0.4% of North Dakota State Investment Board's portfolio, making the stock its 29th biggest holding.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Vanguard Group Inc. grew its position in Home Depot by 1.3% during the fourth quarter. Vanguard Group Inc. now owns 99,635,779 shares of the home improvement retailer's stock worth $34,284,672,000 after buying an additional 1,325,748 shares during the period. Capital Research Global Investors grew its position in Home Depot by 0.3% during the third quarter. Capital Research Global Investors now owns 11,400,133 shares of the home improvement retailer's stock worth $4,619,229,000 after buying an additional 30,739 shares during the period. Wellington Management Group LLP grew its position in Home Depot by 60.8% during the third quarter. Wellington Management Group LLP now owns 10,143,089 shares of the home improvement retailer's stock worth $4,109,878,000 after buying an additional 3,836,051 shares during the period. Fisher Asset Management LLC grew its position in Home Depot by 2.0% during the third quarter. Fisher Asset Management LLC now owns 10,130,293 shares of the home improvement retailer's stock worth $4,104,694,000 after buying an additional 197,211 shares during the period. Finally, Legal & General Group Plc grew its position in Home Depot by 1.9% during the third quarter. Legal & General Group Plc now owns 6,181,165 shares of the home improvement retailer's stock worth $2,504,546,000 after buying an additional 116,875 shares during the period. 70.86% of the stock is currently owned by institutional investors and hedge funds.

Home Depot Stock Performance

Shares of HD opened at $297.34 on Monday. The company has a debt-to-equity ratio of 3.62, a quick ratio of 0.26 and a current ratio of 1.06. The company has a market capitalization of $296.16 billion, a price-to-earnings ratio of 20.90, a PEG ratio of 3.43 and a beta of 1.00. The company's 50 day simple moving average is $331.77 and its 200 day simple moving average is $354.17. The Home Depot, Inc. has a 1 year low of $296.88 and a 1 year high of $426.75.

Home Depot (NYSE:HD - Get Free Report) last announced its quarterly earnings data on Tuesday, February 24th. The home improvement retailer reported $2.72 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.52 by $0.20. The business had revenue of $38.20 billion for the quarter, compared to the consensus estimate of $38.01 billion. Home Depot had a net margin of 8.60% and a return on equity of 134.32%. The company's quarterly revenue was down 3.8% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $3.13 earnings per share. Home Depot has set its FY 2026 guidance at 14.230-14.799 EPS. On average, sell-side analysts predict that The Home Depot, Inc. will post 15.03 EPS for the current year.

Home Depot Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, March 26th. Investors of record on Thursday, March 12th were paid a dividend of $2.33 per share. The ex-dividend date of this dividend was Thursday, March 12th. This is a positive change from Home Depot's previous quarterly dividend of $2.30. This represents a $9.32 annualized dividend and a dividend yield of 3.1%. Home Depot's payout ratio is currently 65.50%.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on HD. BNP Paribas Exane lowered their target price on shares of Home Depot from $391.00 to $348.00 and set a "neutral" rating on the stock in a research report on Tuesday, March 24th. DA Davidson increased their price target on shares of Home Depot from $407.00 to $445.00 and gave the company a "buy" rating in a research report on Tuesday, February 24th. Truist Financial lowered their price target on shares of Home Depot from $424.00 to $394.00 and set a "buy" rating on the stock in a research report on Wednesday, May 13th. Piper Sandler lowered their price target on shares of Home Depot from $422.00 to $421.00 and set an "overweight" rating on the stock in a research report on Friday. Finally, Evercore lowered their price target on shares of Home Depot from $425.00 to $415.00 and set an "outperform" rating on the stock in a research report on Tuesday, March 31st. Twenty equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $405.66.

Trending Headlines about Home Depot

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

• Positive Sentiment: Telsey Advisory reiterated a Buy rating on Home Depot, suggesting at least one Wall Street firm still sees value in the shares despite recent volatility.
• Positive Sentiment: Some commentary has highlighted Home Depot as a potential beneficiary if housing turnover and mortgage-rate conditions improve, which could support future sales and earnings.
• Neutral Sentiment: Investors are watching Home Depot closely ahead of earnings on May 19, with articles focusing on whether pro demand, digital tools, and repair projects can offset a weaker housing backdrop.
• Neutral Sentiment: Jim Cramer said Home Depot can perform well in a lower-rate environment, but also noted the stock needs stronger housing turnover to really accelerate.
• Negative Sentiment: Sanford C. Bernstein cut its price target on Home Depot to $365 from $390 and kept a Market Perform rating, reflecting a more cautious view on near-term upside.
• Negative Sentiment: A new class-action lawsuit reportedly pressured the stock, adding legal uncertainty at an already sensitive time for investors.
• Negative Sentiment: Recent pre-earnings pullback and broader worries about housing turnover have also weighed on sentiment, helping explain why Home Depot stock has been moving lower.

Insider Activity

In related news, CFO Richard V. Mcphail sold 2,550 shares of the company's stock in a transaction that occurred on Wednesday, March 4th. The shares were sold at an average price of $368.89, for a total transaction of $940,669.50. Following the transaction, the chief financial officer owned 44,566 shares of the company's stock, valued at approximately $16,439,951.74. This represents a 5.41% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 0.08% of the company's stock.

Home Depot Company 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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