The Home Depot Inc. (HD) Upgraded to “Buy” at Zacks Investment Research
Zacks Investment Research upgraded shares of The Home Depot Inc. (NYSE:HD) from a hold rating to a buy rating in a report published on Tuesday. Zacks Investment Research currently has $144.00 price target on the home improvement retailer’s stock.
According to Zacks, “In response to the evolving retail environment, Home Depot remains keen on building its interconnected capabilities, which is expected to boost its top line, and enhance market share. The company has been gaining from its focus on improving customer experience, solid execution and consistent housing market recovery. These factors also helped its to post its highest quarterly sales and earnings, in the last reported quarter, following which it raised its fiscal 2016 earnings view. Further, Home Depot is on track to achieve its long-term dividend payout, share repurchase and return on investment targets. However, intense competition from specialty stores and mass retailers as well as the impact of soft economic recovery on discretionary spending may prove to be deterrents. Nevertheless, Home Depot's splendid earnings surprise history depicts its inherent strength. Also, estimates have been stable ahead of its third-quarter earnings release.”
HD has been the subject of several other reports. Vetr cut The Home Depot from a buy rating to a hold rating and set a $132.30 target price for the company. in a report on Monday. Morgan Stanley set a $145.00 target price on The Home Depot and gave the company a hold rating in a report on Wednesday, September 28th. Argus reiterated a hold rating and set a $154.00 price target on shares of The Home Depot in a report on Friday, September 16th. Jefferies Group reiterated a buy rating on shares of The Home Depot in a report on Monday, September 12th. Finally, RBC Capital Markets reiterated an outperform rating and set a $155.00 price target (up from $150.00) on shares of The Home Depot in a report on Wednesday, August 17th. Seven research analysts have rated the stock with a hold rating and nineteen have issued a buy rating to the company’s stock. The Home Depot presently has a consensus rating of Buy and an average price target of $146.86.
Shares of The Home Depot (NYSE:HD) traded down 0.02% during mid-day trading on Tuesday, reaching $128.18. The company had a trading volume of 1,158,223 shares. The Home Depot has a 1-year low of $109.62 and a 1-year high of $139.00. The stock’s 50-day moving average price is $130.94 and its 200 day moving average price is $132.62. The company has a market capitalization of $158.38 billion, a PE ratio of 21.70 and a beta of 0.97.
The Home Depot (NYSE:HD) last announced its earnings results on Tuesday, August 16th. The home improvement retailer reported $1.97 earnings per share for the quarter, hitting the Thomson Reuters’ consensus estimate of $1.97. The business earned $26.47 billion during the quarter, compared to the consensus estimate of $26.47 billion. The Home Depot had a return on equity of 110.52% and a net margin of 8.08%. The business’s quarterly revenue was up 6.6% on a year-over-year basis. During the same period in the prior year, the company posted $1.71 EPS. Equities analysts expect that The Home Depot will post $6.33 EPS for the current year.
The firm also recently disclosed a quarterly dividend, which was paid on Thursday, September 15th. Stockholders of record on Thursday, September 1st were given a $0.69 dividend. This represents a $2.76 dividend on an annualized basis and a dividend yield of 2.15%. The ex-dividend date of this dividend was Tuesday, August 30th. The Home Depot’s dividend payout ratio is currently 46.54%.
In other The Home Depot news, CFO Carol B. Tome sold 97,610 shares of the business’s stock in a transaction dated Monday, August 22nd. The stock was sold at an average price of $135.35, for a total transaction of $13,211,513.50. Following the completion of the sale, the chief financial officer now owns 644,831 shares of the company’s stock, valued at $87,277,875.85. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Teresa Wynn Roseborough sold 11,671 shares of the business’s stock in a transaction dated Thursday, August 18th. The shares were sold at an average price of $136.03, for a total value of $1,587,606.13. Following the sale, the executive vice president now directly owns 44,107 shares of the company’s stock, valued at approximately $5,999,875.21. The disclosure for this sale can be found here. 0.26% of the stock is owned by insiders.
A number of large investors have recently bought and sold shares of the stock. Windward Capital Management Co. CA boosted its position in shares of The Home Depot by 1.1% in the first quarter. Windward Capital Management Co. CA now owns 3,620 shares of the home improvement retailer’s stock worth $483,000 after buying an additional 39 shares in the last quarter. UMB Bank N A MO boosted its position in The Home Depot by 1.8% in the first quarter. UMB Bank N A MO now owns 279,521 shares of the home improvement retailer’s stock valued at $37,297,000 after buying an additional 4,866 shares during the period. Stokes & Hubbell Capital Management LLC boosted its position in The Home Depot by 3.3% in the first quarter. Stokes & Hubbell Capital Management LLC now owns 4,344 shares of the home improvement retailer’s stock valued at $580,000 after buying an additional 140 shares during the period. Raymond James Trust N.A. boosted its position in The Home Depot by 0.3% in the first quarter. Raymond James Trust N.A. now owns 100,130 shares of the home improvement retailer’s stock valued at $13,360,000 after buying an additional 331 shares during the period. Finally, Tompkins Financial Corp boosted its position in The Home Depot by 2.6% in the first quarter. Tompkins Financial Corp now owns 33,115 shares of the home improvement retailer’s stock valued at $4,418,000 after buying an additional 846 shares during the period. 71.86% of the stock is owned by hedge funds and other institutional investors.
About The Home Depot
The Home Depot, Inc (The Home Depot) is a home improvement retailer. The Company sells an assortment of building materials, home improvement products, and lawn and garden products, and provides various services. The Home Depot stores serve three primary customer groups: do-it-yourself (DIY) customers, do-it-for-me (DIFM) customers and professional customers.
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