PCM Encore LLC Acquires Shares of 4,338 The Home Depot, Inc. $HD

Key Points

• PCM Encore LLC acquired 4,338 Home Depot shares in the second quarter, valued at approximately $1.53 million. Several other institutional investors also initiated positions, with hedge funds and institutions owning 70.86% of HD.
• Analyst sentiment remains favorable, with a consensus “Moderate Buy” rating and an average price target of $375.54; ratings include 18 Buys, 13 Holds and one Sell.
• Home Depot exceeded second-quarter expectations, reporting $4.92 in EPS and $47.86 billion in revenue, up 5.7% year over year. The company also declared a quarterly dividend of $2.33 per share, equivalent to a 2.8% annualized yield.

PCM Encore LLC acquired a new stake in shares of The Home Depot, Inc. (NYSE:HD - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 4,338 shares of the home improvement retailer's stock, valued at approximately $1,530,000.

Several other hedge funds also recently made changes to their positions in HD. Trillium Asset Management LLC purchased a new stake in Home Depot during the 2nd quarter valued at $27,374,000. Altman Advisors Inc. bought a new position in shares of Home Depot during the second quarter valued at about $1,762,000. Clay Northam Wealth Management LLC bought a new stake in shares of Home Depot in the second quarter worth about $319,000. Jupiter Wealth Management LLC bought a new stake in shares of Home Depot in the second quarter worth about $4,654,000. Finally, Vise Technologies Inc. purchased a new position in Home Depot during the 2nd quarter valued at about $26,894,000. 70.86% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

HD has been the subject of a number of recent analyst reports. Guggenheim reaffirmed a "buy" rating and set a $425.00 price target on shares of Home Depot in a research report on Wednesday, August 19th. HSBC decreased their target price on Home Depot from $392.00 to $310.00 and set a "hold" rating for the company in a report on Wednesday, May 20th. KeyCorp reiterated a "sector weight" rating on shares of Home Depot in a report on Wednesday, August 19th. Truist Financial upped their price objective on shares of Home Depot from $369.00 to $373.00 and gave the stock a "buy" rating in a report on Wednesday, August 19th. Finally, JPMorgan Chase & Co. decreased their price target on shares of Home Depot from $423.00 to $396.00 and set an "overweight" rating for the company in a research note on Wednesday, May 20th. Eighteen research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $375.54.

Insiders Place Their Bets

In other news, EVP Michael F. Rowe sold 710 shares of the stock in a transaction that occurred on Wednesday, August 26th. The shares were sold at an average price of $336.76, for a total value of $239,099.60. Following the transaction, the executive vice president owned 6,838 shares in the company, valued at $2,302,764.88. This represents a 9.41% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Richard V. Mcphail sold 5,989 shares of Home Depot stock in a transaction on Wednesday, August 19th. The stock was sold at an average price of $348.40, for a total transaction of $2,086,567.60. Following the transaction, the chief financial officer owned 48,104 shares in the company, valued at $16,759,433.60. This represents a 11.07% decrease in their position. The SEC filing for this sale provides additional information. 0.08% of the stock is currently owned by insiders.

Home Depot News Summary

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

• Positive Sentiment: Home Depot expanded its Magic Apron AI assistant to all U.S. stores. The tool provides localized product information, project guidance and store navigation through text, voice, images and multiple languages. With millions of questions handled monthly, the rollout could improve customer service, associate productivity and sales conversion. The Home Depot Expands Magic Apron to Deliver Personalized and Localized In-Store Guidance
• Positive Sentiment: Recent analysis argues that Home Depot is showing its clearest turnaround signal in roughly two years. Analysts remain generally constructive, while the company’s recent quarterly results showed revenue growth and earnings above expectations, potentially positioning HD to benefit disproportionately when housing and remodeling demand recover. Prediction: Home Depot’s Turnaround Could Be Bigger Than Investors Expect
• Positive Sentiment: A comparison with Lowe’s suggests Home Depot may be the stronger housing-recovery play, with its scale, professional-customer exposure and strategic execution differentiating it in a frozen housing market. Home Depot vs. Lowe’s: One Housing Recovery Play Stands Out
• Neutral Sentiment: Home Depot beat second-quarter estimates, but coverage highlights a $685 million tariff refund. Because the refund may be a one-time benefit rather than recurring operating improvement, investors may be discounting part of the earnings upside. Home Depot Beat Q2 Estimates. What Did the $685M Tariff Refund Change?
• Negative Sentiment: Executive Vice President Michael F. Rowe sold 710 shares worth approximately $239,100, reducing his direct holdings by 9.4%. The transaction is relatively small and may be routine, but insider selling can add modest sentiment pressure. SEC Insider Transaction Filing

Home Depot Stock Down 1.8%

Shares of Home Depot stock opened at $328.80 on Friday. The stock has a market capitalization of $328.04 billion, a PE ratio of 23.01, a price-to-earnings-growth ratio of 3.69 and a beta of 0.95. The Home Depot, Inc. has a 52-week low of $289.10 and a 52-week high of $426.75. The company has a debt-to-equity ratio of 2.64, a quick ratio of 0.31 and a current ratio of 1.08. The company has a 50-day simple moving average of $341.07 and a two-hundred day simple moving average of $338.82.

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

Home Depot Dividend Announcement

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

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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