Home Depot Inc (HD) Receives Average Rating of “Buy” from Brokerages

Shares of Home Depot Inc (NYSE:HD) have earned an average rating of “Buy” from the twenty-one ratings firms that are currently covering the firm, Marketbeat.com reports. Nine analysts have rated the stock with a hold recommendation and twelve have given a buy recommendation to the company. The average 1 year price objective among analysts that have covered the stock in the last year is $205.47.

Several equities research analysts have recently commented on the stock. Evercore ISI assumed coverage on shares of Home Depot in a research note on Wednesday, March 20th. They set an “outperform” rating and a $215.00 price objective for the company. DZ Bank downgraded shares of Home Depot from a “buy” rating to a “hold” rating in a research note on Wednesday, February 27th. Wedbush lowered their price objective on shares of Home Depot from $190.00 to $190.00 and set a “neutral” rating for the company in a research note on Wednesday, February 27th. Credit Suisse Group lowered their price objective on shares of Home Depot from $194.00 to $192.00 and set a “neutral” rating for the company in a research note on Wednesday, February 27th. Finally, Deutsche Bank lifted their price objective on shares of Home Depot from $200.00 to $208.00 and gave the stock a “buy” rating in a research note on Wednesday, February 27th.

HD traded up $1.83 during trading on Friday, hitting $191.89. The stock had a trading volume of 3,326,058 shares, compared to its average volume of 4,656,955. The company has a market cap of $214.68 billion, a price-to-earnings ratio of 19.40, a price-to-earnings-growth ratio of 1.62 and a beta of 1.09. Home Depot has a twelve month low of $158.09 and a twelve month high of $215.43. The company has a quick ratio of 0.28, a current ratio of 1.11 and a debt-to-equity ratio of 17.68.

Home Depot (NYSE:HD) last announced its earnings results on Tuesday, February 26th. The home improvement retailer reported $2.25 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $2.16 by $0.09. The company had revenue of $26.49 billion during the quarter, compared to the consensus estimate of $26.57 billion. Home Depot had a net margin of 10.28% and a return on equity of 1,441.05%. Home Depot’s revenue was up 10.9% compared to the same quarter last year. During the same period last year, the firm earned $1.69 earnings per share. On average, sell-side analysts expect that Home Depot will post 10.08 EPS for the current year.

Home Depot declared that its Board of Directors has initiated a stock buyback program on Tuesday, February 26th that allows the company to buyback $15.00 billion in shares. This buyback authorization allows the home improvement retailer to reacquire up to 6.9% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board of directors believes its stock is undervalued.

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 28th. Investors of record on Thursday, March 14th were issued a dividend of $1.36 per share. This represents a $5.44 annualized dividend and a dividend yield of 2.83%. The ex-dividend date of this dividend was Wednesday, March 13th. This is a boost from Home Depot’s previous quarterly dividend of $1.03. Home Depot’s dividend payout ratio (DPR) is 55.01%.

In related news, EVP Ann Marie Campbell sold 5,450 shares of the firm’s stock in a transaction on Tuesday, March 5th. The shares were sold at an average price of $184.67, for a total transaction of $1,006,451.50. Following the completion of the transaction, the executive vice president now owns 51,030 shares of the company’s stock, valued at $9,423,710.10. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Edward P. Decker sold 23,744 shares of the firm’s stock in a transaction on Tuesday, March 12th. The stock was sold at an average price of $182.93, for a total transaction of $4,343,489.92. Following the transaction, the executive vice president now directly owns 86,813 shares of the company’s stock, valued at approximately $15,880,702.09. The disclosure for this sale can be found here. In the last three months, insiders have sold 41,194 shares of company stock valued at $7,553,141. 0.25% of the stock is currently owned by corporate insiders.

Institutional investors have recently modified their holdings of the stock. Smith Salley & Associates increased its stake in shares of Home Depot by 3.7% during the fourth quarter. Smith Salley & Associates now owns 1,519 shares of the home improvement retailer’s stock worth $261,000 after purchasing an additional 54 shares in the last quarter. Tortoise Investment Management LLC increased its stake in shares of Home Depot by 1.1% during the fourth quarter. Tortoise Investment Management LLC now owns 4,843 shares of the home improvement retailer’s stock worth $832,000 after purchasing an additional 55 shares in the last quarter. Coldstream Capital Management Inc. increased its stake in shares of Home Depot by 0.3% during the fourth quarter. Coldstream Capital Management Inc. now owns 22,628 shares of the home improvement retailer’s stock worth $3,888,000 after purchasing an additional 59 shares in the last quarter. Waldron Private Wealth LLC increased its stake in shares of Home Depot by 2.7% during the third quarter. Waldron Private Wealth LLC now owns 2,308 shares of the home improvement retailer’s stock worth $478,000 after purchasing an additional 60 shares in the last quarter. Finally, Peterson Wealth Advisors LLC increased its stake in shares of Home Depot by 4.3% during the fourth quarter. Peterson Wealth Advisors LLC now owns 1,458 shares of the home improvement retailer’s stock worth $250,000 after purchasing an additional 60 shares in the last quarter. 69.17% of the stock is owned by hedge funds and other institutional investors.

About Home Depot

The Home Depot, Inc operates as a home improvement retailer. It operates The Home Depot stores that sell various building materials, home improvement products, lawn and garden products, and décor products, as well as provide installation, home maintenance, and professional service programs to do-it-yourself and professional customers.

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Analyst Recommendations for Home Depot (NYSE:HD)

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