Northwestern Mutual Wealth Management Co. Makes New $118.54 Million Investment in The Home Depot, Inc. $HD

Key Points

• Northwestern Mutual Wealth Management purchased 336,110 Home Depot shares during the second quarter, valued at approximately $118.54 million. Institutional investors and hedge funds collectively own 70.86% of the company.
• Home Depot reported strong fiscal second-quarter results, with revenue rising 5.7% year over year to $47.86 billion and adjusted EPS of $4.92, exceeding the $4.73 analyst consensus.
• The company declared a quarterly dividend of $2.33 per share, equivalent to an annualized $9.32 payout and a 2.8% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $375.54, though CEO medical leave and a potential one-time tariff refund benefit remain risks.

Northwestern Mutual Wealth Management Co. purchased a new stake in shares of The Home Depot, Inc. (NYSE:HD - Free Report) during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund purchased 336,110 shares of the home improvement retailer's stock, valued at approximately $118,539,000.

Several other hedge funds and other institutional investors have also made changes to their positions in HD. BlackRock Inc. acquired a new stake in Home Depot in the 2nd quarter valued at approximately $28,771,247,000. Norges Bank acquired a new position in Home Depot during the 4th quarter worth $4,850,329,000. Bank of New York Mellon Corp bought a new position in shares of Home Depot in the second quarter worth $2,777,396,000. Wellington Management Group LLP increased its holdings in shares of 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 valued at $4,109,878,000 after purchasing an additional 3,836,051 shares during the period. Finally, Cardano Risk Management B.V. increased its holdings in shares of Home Depot by 901.5% during the fourth quarter. Cardano Risk Management B.V. now owns 3,290,540 shares of the home improvement retailer's stock valued at $1,132,275,000 after purchasing an additional 2,961,979 shares during the period. 70.86% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Home Depot

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

• Positive Sentiment: Home Depot reported fiscal second-quarter sales of $47.86 billion, up 5.7% year over year and its strongest comparable-sales growth since 2022. Adjusted earnings of $4.92 per share exceeded the $4.73 analyst consensus, reinforcing the view that the retailer’s turnaround is gaining traction. The Home Depot Posts Record Sales Growth Amid CEO Leave
• Positive Sentiment: The company expanded its Magic Apron AI shopping assistant to every U.S. store. The tool provides localized product information, project guidance and store navigation through text, voice, images and multiple languages. Its potential to improve customer service, employee productivity and conversion rates supports the long-term growth narrative. The Home Depot Expands Magic Apron
• Neutral Sentiment: Analysts and recent commentary see significant upside if housing and remodeling demand recover, with Home Depot’s scale and professional-customer base viewed as competitive advantages. However, the stock remains below its 50-day and 200-day moving averages, indicating that investors have not fully embraced the turnaround thesis. Home Depot Turnaround Could Be Bigger Than Investors Expect
• Neutral Sentiment: Although Home Depot beat quarterly estimates, a reported $685 million tariff refund may have boosted results. Investors could discount part of the earnings strength if the benefit is viewed as nonrecurring. Home Depot Beat Q2 Estimates
• Negative Sentiment: CEO Ted Decker is on temporary medical leave, creating uncertainty around leadership even as operating performance improves. Separately, EVP Michael Rowe sold 710 shares valued at approximately $239,100, a relatively small transaction but a modest negative sentiment signal. Home Depot EVP Michael Rowe Sells Shares

Home Depot Price Performance

Shares of NYSE HD opened at $329.80 on Friday. The Home Depot, Inc. has a twelve month low of $289.10 and a twelve month high of $426.75. The company has a current ratio of 1.08, a quick ratio of 0.31 and a debt-to-equity ratio of 2.64. The company has a market capitalization of $329.04 billion, a price-to-earnings ratio of 23.08, a PEG ratio of 3.64 and a beta of 0.95. The firm has a 50-day moving average of $340.97 and a two-hundred day moving average of $338.75.

Home Depot (NYSE:HD - Get Free Report) last announced its quarterly earnings data on Tuesday, August 18th. The home improvement retailer reported $4.92 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.73 by $0.19. Home Depot had a net margin of 8.41% and a return on equity of 106.42%. The company had revenue of $47.86 billion for the quarter, compared to analysts' expectations of $47.24 billion. During the same quarter in the previous year, the company posted $4.68 EPS. The business's revenue was up 5.7% compared to the same quarter last year. Home Depot has set its FY 2026 guidance at 14.690-15.278 EPS. As a group, analysts expect that The Home Depot, Inc. will post 15 earnings per share for the current fiscal year.

Home Depot Announces Dividend

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

Analyst Ratings Changes

Several equities research analysts recently weighed in on HD shares. HSBC reduced their price objective on shares of Home Depot from $392.00 to $310.00 and set a "hold" rating for the company in a report on Wednesday, May 20th. 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. Oppenheimer reduced their price target on shares of Home Depot from $405.00 to $310.00 and set a "market perform" rating for the company in a research note on Monday, May 18th. Truist Financial raised their price objective on shares of Home Depot from $369.00 to $373.00 and gave the company a "buy" rating in a research note on Wednesday, August 19th. Finally, JPMorgan Chase & Co. dropped their target price on Home Depot from $423.00 to $396.00 and set an "overweight" rating on the stock in a report on Wednesday, May 20th. Eighteen equities research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $375.54.

Insider Buying and Selling at Home Depot

In related news, EVP Michael F. Rowe sold 710 shares of Home Depot 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 transaction, the executive vice president directly owned 6,838 shares in the company, valued at $2,302,764.88. The trade was a 9.41% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Richard V. Mcphail sold 5,989 shares of the business's stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $348.40, for a total value of $2,086,567.60. Following the sale, the chief financial officer directly owned 48,104 shares in the company, valued at $16,759,433.60. This trade represents a 11.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.08% of the stock is currently owned by corporate insiders.

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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