As of Friday close, The Home Depot Inc.’s (NYSE:HD) stock was down -$3.42, moving down -1.04 percent to $326.43. The average number of shares traded per day over the past five days has been 2,807,120 shares. 2 times new highs have been achieved over the past 5 days, with a -$4.94 fall in that time frame. In the last twenty days, the average volume was 2,898,480, while in the previous 50 days, it was 4,010,864.
Since last month, HD stock rose 8.08%. Shares of the company fell to $300.89 on 07/07/23, the lowest level in the past month. A 52-week high of $347.25 was reached on 02/02/23 after having rallying from a 52-week low of $265.61. Since the beginning of this year, HD’s stock price has risen by 3.35% or $10.57, and marked a new high 8 times. However, the stock has declined by -6.00% since its 52-week high.
HD stock investors should be aware that The Home Depot Inc. (HD) stock had its last reported insider trading activity 80 days ago on May 17. Padilla Hector A, the EVP – Outside Sales & Service of the company, disposed of 1,502 shares for $293.09 on May 17. It resulted in a $440,222 divestment by the insider. KINNAIRD JEFFREY G sold 6,403 shares at an average price of $311.65 on Nov 18. The insider now owns 25,241 shares following the transaction. On Nov 17, EVP and CIO Siddiqui Fahim sold 2,000 shares at $311.29 apiece. The transaction was valued at $622,580.
Valuation Metrics
Right now, The Home Depot Inc. (HD) has a P/E ratio of about 19.88. The stock’s beta is 0.95. Besides these, the trailing price-to-sales (P/S) ratio of 2.10, the price-to-book (PB) ratio of 906.75, and the price-to-cash flow ratio of 63.10 may also be considered.
The latest dividend of $2.09 per share was paid out, remained unchanged from last year’s $2.09. On Tuesday February 21 2023, a $0.19 dividend increase was announced.
Financial Health
In the three months ended April 29, The Home Depot Inc.’s quick ratio stood at 0.30, while its current ratio was 1.30, showing that the company is not able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending April 29 was 113.02, and the total debt-to-equity ratio was 116.72. On the profitability front, the trailing twelve-month gross margin is 33.50% percent. In the year ended April 29, EBITDA margin amounted to 17.16%, whereas operating margins totaled 15.20%. Based on annual data, HD earned $52.78 billion in gross profit and brought in $157.4 billion in revenue.
In The Home Depot Inc.’s quarter-end financial report for April 29, it reported total debt of $40.91 billion. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. HD’s revenue fell -4.43% to $35.83 billion during the quarter, while net income inched up to $37.26 billion. While analysts expected The Home Depot Inc. to report $3.38 quarterly earnings, the actual figure was $3.4 per share, beating the consensus estimate by 0.60%. During the quarter, the company generated $6.34 billion in EBITDA. The liabilities of The Home Depot Inc. were 76.02 billion at the end of its most recent quarter ended April 29, and its total debt was $49.43 billion. The value of shareholders’ equity is $1.01 billion.
Technical Picture
This quick technical analysis looks at The Home Depot Inc.’s (HD) price momentum. With a historical volatility rate of 12.23%, the RSI 9-day stood at 55.40% on 04 August.
With respect to its five-day moving average, the current The Home Depot Inc. price is down by -1.49% percent or -$4.94. At present, HD shares trade +7.80% above its 20-day simple moving average and +13.93% percent above its 100-day simple moving average. However, the stock is currently trading approximately +10.68% above its SMA50 and +16.06% above its SMA200.
Stochastic coefficient K was 70.62% and Stochastic coefficient D was 78.48%, while ATR was 4.39. Given the Stochastic reading of 62.61% for the 14-day period, the RSI (14) reading has been calculated as 59.84%. As of today, the MACD Oscillator reading stands at -1.35, while the 14-day reading stands at 2.02.
Analyst Ratings
Truist reiterated its a Buy rating on The Home Depot Inc. (NYSE: HD) in a note to investors. The analysts firm has however raised their price target to $348, representing a possible -2.65% increase in the stock price. The Home Depot Inc. (HD) has been rated Overweight by analysts. According to 0 brokerage firms, HD is a sell, and 15 firms recommend it is a Hold. There are 1 analyst who say the stock is underweight. A total of 3 analysts rate The Home Depot Inc. stock as buy, with 17 recommending it as overweight.
With a median target price of $328.25, the current consensus forecast for the stock is $262.00 – $375.00. Based on these forecasts, analysts predict The Home Depot Inc. (HD) will achieve an average price target of $324.68.
