Nuveen LLC Acquires New Position in The Home Depot, Inc. (NYSE:HD)

Key Points

• Nuveen LLC has acquired over 5.6 million shares of The Home Depot, Inc., valued at approximately $2.08 billion, now making it the firm's 23rd largest position.
• Home Depot announced a quarterly dividend of $2.30 per share, reflecting an annualized dividend of $9.20 and a dividend yield of 2.4%.
• Despite missing the earnings per share consensus estimate, Home Depot reported a 9.4% year-over-year revenue increase of $39.86 billion for the quarter.

Nuveen LLC acquired a new stake in The Home Depot, Inc. (NYSE:HD - Free Report) in the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 5,666,163 shares of the home improvement retailer's stock, valued at approximately $2,076,592,000. Home Depot accounts for about 0.6% of Nuveen LLC's investment portfolio, making the stock its 23rd biggest position. Nuveen LLC owned about 0.57% of Home Depot at the end of the most recent reporting period.

A number of other hedge funds have also recently modified their holdings of the company. Vanguard Group Inc. boosted its stake in Home Depot by 0.8% during the first quarter. Vanguard Group Inc. now owns 96,484,199 shares of the home improvement retailer's stock worth $35,360,494,000 after buying an additional 720,447 shares during the period. Asset Planning Services Inc. LA ADV boosted its stake in Home Depot by 99,400.7% during the first quarter. Asset Planning Services Inc. LA ADV now owns 18,975,772 shares of the home improvement retailer's stock worth $6,954,431,000 after buying an additional 18,956,701 shares during the period. Charles Schwab Investment Management Inc. boosted its stake in shares of Home Depot by 6.6% in the first quarter. Charles Schwab Investment Management Inc. now owns 14,415,278 shares of the home improvement retailer's stock valued at $5,282,398,000 after purchasing an additional 891,326 shares during the period. Capital Research Global Investors boosted its stake in shares of Home Depot by 5.5% in the fourth quarter. Capital Research Global Investors now owns 12,455,582 shares of the home improvement retailer's stock valued at $4,845,098,000 after purchasing an additional 647,552 shares during the period. Finally, Northern Trust Corp boosted its stake in shares of Home Depot by 13.3% in the fourth quarter. Northern Trust Corp now owns 12,149,890 shares of the home improvement retailer's stock valued at $4,726,186,000 after purchasing an additional 1,424,857 shares during the period. Hedge funds and other institutional investors own 70.86% of the company's stock.

Wall Street Analyst Weigh In

Several research analysts have recently commented on HD shares. Robert W. Baird lowered their price objective on shares of Home Depot from $430.00 to $425.00 and set an "outperform" rating for the company in a research note on Wednesday, May 21st. TD Securities lowered shares of Home Depot to a "buy" rating in a research note on Monday, June 2nd. JPMorgan Chase & Co. raised their price objective on shares of Home Depot from $410.00 to $418.00 and gave the company an "overweight" rating in a research note on Wednesday, May 21st. Morgan Stanley reissued an "overweight" rating and issued a $415.00 price objective (up previously from $410.00) on shares of Home Depot in a research note on Tuesday, May 20th. Finally, DA Davidson lowered their price objective on shares of Home Depot from $470.00 to $450.00 in a research note on Tuesday, May 20th. Seven analysts have rated the stock with a hold rating, twenty have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $426.77.

Home Depot Stock Performance

NYSE:HD opened at $387.77 on Friday. The firm's fifty day moving average price is $367.64 and its 200 day moving average price is $372.26. The Home Depot, Inc. has a 1-year low of $326.31 and a 1-year high of $439.37. The company has a debt-to-equity ratio of 5.95, a current ratio of 1.09 and a quick ratio of 0.28. The firm has a market cap of $385.80 billion, a price-to-earnings ratio of 26.31, a price-to-earnings-growth ratio of 3.69 and a beta of 1.00.

Home Depot (NYSE:HD - Get Free Report) last issued its earnings results on Tuesday, May 20th. The home improvement retailer reported $3.56 EPS for the quarter, missing the consensus estimate of $3.59 by ($0.03). The company had revenue of $39.86 billion for the quarter, compared to analysts' expectations of $39.24 billion. Home Depot had a return on equity of 242.51% and a net margin of 8.98%. Home Depot's revenue for the quarter was up 9.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $3.63 earnings per share. On average, sell-side analysts expect that The Home Depot, Inc. will post 15.13 EPS for the current year.

Home Depot Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, June 18th. Shareholders of record on Thursday, June 5th were given a dividend of $2.30 per share. This represents a $9.20 annualized dividend and a dividend yield of 2.4%. The ex-dividend date was Thursday, June 5th. Home Depot's payout ratio is presently 62.42%.

Insider Buying and Selling at Home Depot

In other news, EVP Fahim Siddiqui sold 2,600 shares of Home Depot stock in a transaction on Thursday, May 22nd. The stock was sold at an average price of $367.14, for a total transaction of $954,564.00. Following the completion of the transaction, the executive vice president owned 7,951 shares of the company's stock, valued at $2,919,130.14. The trade was a 24.64% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, EVP Teresa Wynn Roseborough sold 5,406 shares of Home Depot stock in a transaction on Wednesday, May 28th. The stock was sold at an average price of $369.28, for a total value of $1,996,327.68. Following the transaction, the executive vice president directly owned 17,367 shares of the company's stock, valued at $6,413,285.76. This trade represents a 23.74% decrease in their position. The disclosure for this sale can be found here. 0.10% of the stock is currently owned by insiders.

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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