#4 - Home Depot (NYSE:HD)
Home Depot (NYSE: HD) As was the case with many stocks, October was a cruel month for Home Depot’s stock. The stock suffered a 15.1% decline which put the stock in the red for the year with a -1.2% return. One of the reasons for the decline in October focused on concerns about a slowing U.S. housing market. However at least one stock analysis firm, Gordon Haskett Research Advisors, prefers Home Depot’s stock to competitors such as Lowe’s and RH because they say HD is “investing offensively and better positioned to navigate a potentially choppy backdrop”. The reality is that Home Depot's stock may be undervalued and present a great buying opportunity for investors. The stock is currently trading at around 18X forward EPS estimates which are significantly down from the industry average of 25.7X forward EPS. And while the 18X number is slightly higher than Lowe's, it is less than its five-year median of 19X. Another positive sign for the stock is that it is expected to report favorable financial results for the third quarter.
About Home Depot
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.
Read More - Current Price
- $344.21
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 19 Buy Ratings, 8 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $377.46 (9.7% Upside)
