Northern Trust Corp Reduces Position in The Home Depot, Inc. $HD

Key Points

• Northern Trust Corp reduced its stake in The Home Depot by 2.5% in Q1 2023, holding $4.34 billion worth of shares, which represents 0.6% of its investment portfolio.
• Home Depot reported earnings per share of $3.56 for the last quarter, missing estimates slightly, but revenue rose 9.4% year-over-year to $39.86 billion.
• The company announced a quarterly dividend of $2.30 per share, resulting in an annualized dividend yield of 2.3% and a payout ratio of 62.42%.

Northern Trust Corp cut its holdings in shares of The Home Depot, Inc. (NYSE:HD - Free Report) by 2.5% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 11,851,926 shares of the home improvement retailer's stock after selling 297,964 shares during the quarter. Home Depot comprises 0.6% of Northern Trust Corp's investment portfolio, making the stock its 23rd biggest position. Northern Trust Corp owned about 1.19% of Home Depot worth $4,343,612,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Navigoe LLC acquired a new position in Home Depot in the 4th quarter valued at about $29,000. Abound Financial LLC acquired a new position in Home Depot in the 1st quarter valued at about $31,000. Quarry LP boosted its holdings in Home Depot by 220.0% in the 4th quarter. Quarry LP now owns 96 shares of the home improvement retailer's stock valued at $37,000 after purchasing an additional 66 shares during the last quarter. Iron Horse Wealth Management LLC boosted its holdings in Home Depot by 86.8% in the 1st quarter. Iron Horse Wealth Management LLC now owns 99 shares of the home improvement retailer's stock valued at $36,000 after purchasing an additional 46 shares during the last quarter. Finally, Quest 10 Wealth Builders Inc. boosted its holdings in Home Depot by 35.7% in the 1st quarter. Quest 10 Wealth Builders Inc. now owns 114 shares of the home improvement retailer's stock valued at $42,000 after purchasing an additional 30 shares during the last quarter. 70.86% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at Home Depot

In related news, CEO Edward P. Decker sold 32,897 shares of the company's stock in a transaction that occurred on 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 directly owned 122,425 shares of the company's stock, valued at $48,629,658.50. This represents a 21.18% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Richard V. Mcphail sold 3,369 shares of the company's stock in a transaction that occurred on Wednesday, August 20th. The stock was sold at an average price of $403.66, for a total transaction of $1,359,930.54. Following the sale, the chief financial officer directly owned 45,455 shares in the company, valued at approximately $18,348,365.30. The trade was a 6.90% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 42,672 shares of company stock valued at $16,827,675 in the last 90 days. Corporate insiders own 0.10% of the company's stock.

Home Depot Stock Up 3.8%

HD traded up $15.2960 during trading hours on Friday, hitting $412.9960. 5,283,627 shares of the company's stock were exchanged, compared to its average volume of 3,454,809. The Home Depot, Inc. has a 12-month low of $326.31 and a 12-month high of $439.37. The firm has a 50 day moving average of $374.52 and a 200 day moving average of $371.57. The firm has a market cap of $410.90 billion, a P/E ratio of 28.06, a price-to-earnings-growth ratio of 3.77 and a beta of 1.00. The company has a current ratio of 1.15, a quick ratio of 0.28 and a debt-to-equity ratio of 4.31.

Home Depot (NYSE:HD - Get Free Report) last announced its earnings results on Tuesday, August 19th. The home improvement retailer reported $4.68 earnings per share for the quarter, missing the consensus estimate of $4.69 by ($0.01). Home Depot had a return on equity of 193.99% and a net margin of 8.86%.The business had revenue of $45.28 billion for the quarter, compared to analysts' expectations of $45.43 billion. During the same period in the previous year, the company earned $4.60 earnings per share. Home Depot's quarterly 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. Analysts predict that The Home Depot, Inc. will post 15.13 EPS for the current fiscal year.

Home Depot Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 18th. Investors of record on Thursday, September 4th will be paid a dividend of $2.30 per share. This represents a $9.20 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend is Thursday, September 4th. Home Depot's dividend payout ratio is presently 62.50%.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on HD. DA Davidson reiterated a "buy" rating and issued a $450.00 target price on shares of Home Depot in a report on Tuesday. Stifel Nicolaus boosted their price target on shares of Home Depot from $425.00 to $432.00 and gave the company a "buy" rating in a research note on Monday, August 18th. JPMorgan Chase & Co. reduced their price target on shares of Home Depot from $460.00 to $452.00 and set an "overweight" rating on the stock in a research note on Wednesday. Jefferies Financial Group reduced their price target on shares of Home Depot from $461.00 to $456.00 in a research note on Tuesday, May 20th. Finally, Robert W. Baird boosted their price target on shares of Home Depot from $425.00 to $450.00 and gave the company an "outperform" rating in a research note on Wednesday. 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's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $432.52.

Home Depot 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.