The Home Depot, Inc. $HD Shares Sold by Alta Capital Management LLC

Key Points

• Alta Capital Management LLC reduced its Home Depot stake by 12.6% in the fourth quarter, selling 3,339 shares and ending with 23,182 shares valued at about $7.98 million.
• Institutional ownership of Home Depot remains high at 70.86%, with several large investors like Wellington Management and Vanguard increasing their positions during recent quarters.
• Home Depot’s near-term outlook is mixed: analysts are split between optimism on improving fundamentals and caution over sluggish demand, with some expecting the company may trim full-year guidance when it reports earnings.

Alta Capital Management LLC decreased its stake in shares of The Home Depot, Inc. (NYSE:HD - Free Report) by 12.6% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 23,182 shares of the home improvement retailer's stock after selling 3,339 shares during the quarter. Alta Capital Management LLC's holdings in Home Depot were worth $7,977,000 at the end of the most recent reporting period.

Other hedge funds have also bought and sold shares of the company. Wellington Management Group LLP increased its stake in shares of Home Depot by 60.8% in 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 acquiring an additional 3,836,051 shares during the period. Vanguard Group Inc. increased its stake in shares of Home Depot by 1.3% in 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 acquiring an additional 1,325,748 shares during the period. Franklin Resources Inc. increased its stake in shares of Home Depot by 37.6% in the third quarter. Franklin Resources Inc. now owns 3,806,308 shares of the home improvement retailer's stock worth $1,542,278,000 after acquiring an additional 1,040,577 shares during the period. Northwestern Mutual Wealth Management Co. increased its stake in shares of Home Depot by 215.4% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 1,248,615 shares of the home improvement retailer's stock worth $429,648,000 after acquiring an additional 852,719 shares during the period. Finally, Alyeska Investment Group L.P. acquired a new stake in shares of Home Depot in the third quarter worth $284,893,000. Institutional investors and hedge funds own 70.86% of the company's stock.

Key Home Depot News

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

• Positive Sentiment: Some analysts still see upside potential, with Barclays remaining constructive on Home Depot amid improving fundamentals and easier comparisons, while other commentary suggests the company could benefit if housing activity stabilizes. Barclays Bullish on Home Depot Inc. (HD) amid Improving Fundamentals and Comparisons
• Positive Sentiment: Several previews argue the upcoming earnings report could reveal stronger-than-expected performance and potentially reset expectations higher if Home Depot shows resilience in sales and profitability. Home Depot's Next Earnings Report on May 19 Could Send the Stock Soaring. Here's Why.
• Neutral Sentiment: Wall Street expects a big post-earnings move, with options traders pricing in a sizable swing around the results, but that reflects uncertainty rather than a clear directional catalyst. Home Depot (HD) Stock Options Traders Are Pricing In a $15 Price Swing after Earnings
• Negative Sentiment: Piper Sandler said demand trends remain sluggish and trimmed its price target slightly, reinforcing concerns that Home Depot’s near-term sales growth could stay muted. Home Depot (HD) Faces Sluggish Demand Trends, Says Piper Sandler
• Negative Sentiment: Oppenheimer cut its price target sharply to $310 and moved to a market-perform rating, signaling more caution ahead of earnings as investors worry about housing weakness and consumer pressure. Semi And Options Mania Collide With Bond Rout Ahead Of Earnings From Nvidia, Home Depot, Walmart
• Negative Sentiment: Multiple previews say Home Depot may lower full-year guidance when it reports, which would likely pressure the stock if management confirms softer demand and margin headwinds. Home Depot, Lowe's Seen Trimming Full-Year Outlook as Macro Pressures Build, Oppenheimer Says

Home Depot Stock Performance

HD opened at $299.98 on Tuesday. The company has a quick ratio of 0.26, a current ratio of 1.06 and a debt-to-equity ratio of 3.62. The company has a market cap of $298.79 billion, a price-to-earnings ratio of 21.08, a PEG ratio of 3.43 and a beta of 1.00. The Home Depot, Inc. has a 52-week low of $296.88 and a 52-week high of $426.75. The firm's fifty day simple moving average is $330.53 and its two-hundred day simple moving average is $353.57.

Home Depot (NYSE:HD - Get Free Report) last posted 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 revenue was down 3.8% compared to the same quarter last year. During the same period last year, the firm posted $3.13 earnings per share. Home Depot has set its FY 2026 guidance at 14.230-14.799 EPS. Equities analysts anticipate that The Home Depot, Inc. will post 15.03 earnings per share for the current fiscal year.

Home Depot Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, March 26th. Shareholders of record on Thursday, March 12th were issued 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 yield of 3.1%. Home Depot's payout ratio is 65.50%.

Wall Street Analysts Forecast Growth

HD has been the topic of several analyst reports. Daiwa Securities Group raised their price target on shares of Home Depot from $360.00 to $390.00 and gave the company a "neutral" rating in a research report on Thursday, February 26th. Guggenheim raised their price target on shares of Home Depot from $400.00 to $425.00 and gave the company a "buy" rating in a research report on Wednesday, February 25th. Citigroup dropped their price target on shares of Home Depot from $450.00 to $400.00 and set a "buy" rating on the stock in a research report on Tuesday, May 12th. Robert W. Baird raised their price target on shares of Home Depot from $400.00 to $430.00 and gave the company an "outperform" rating in a research report on Tuesday, February 17th. Finally, Morgan Stanley raised their price target on shares of Home Depot from $412.00 to $420.00 and gave the company an "overweight" rating in a research report on Tuesday, April 28th. Twenty analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Home Depot presently has a consensus rating of "Moderate Buy" and an average price target of $401.34.

Insider Transactions at Home Depot

In other Home Depot news, CFO Richard V. Mcphail sold 2,550 shares of the stock in a transaction 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 directly owned 44,566 shares of the company's stock, valued at $16,439,951.74. This trade represents a 5.41% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 0.08% of the stock is currently owned by 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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