As of Friday close, The Home Depot Inc.’s (NYSE:HD) stock was down -$1.03, moving down -0.34 percent to $305.73. The average number of shares traded per day over the past five days has been 2,578,860 shares. 1 time new highs have been achieved over the past 5 days, with a -$15.67 fall in that time frame. In the last twenty days, the average volume was 2,760,160, while in the previous 50 days, it was 2,891,966.
Since last month, HD stock retreated -6.24%. Shares of the company fell to $305.46 on 09/22/23, 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 dropped by -3.21% or -$10.13, and marked a new high 8 times. However, the stock has declined by -11.96% 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 22 days ago on Sep 01. McPhail Richard V, the EVP & CFO of the company, disposed of 2,000 shares for $332.26 on Sep 01. It resulted in a $664,520 divestment by the insider. Hourigan Timothy A. sold 12,120 shares at an average price of $325.40 on Aug 24. The insider now owns 73,049 shares following the transaction. On Aug 23, SVP-Finance, CAO & Controller Scardino Kimberly R sold 1,600 shares at $326.69 apiece. The transaction was valued at $522,704.
Valuation Metrics
Right now, The Home Depot Inc. (HD) has a P/E ratio of about 19.09. The stock’s beta is 0.96. Besides these, the trailing price-to-sales (P/S) ratio of 2.02, the price-to-book (PB) ratio of 228.16, and the price-to-cash flow ratio of 19.27 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 July 30, The Home Depot Inc.’s quick ratio stood at 0.40, 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 July 30 was 30.53, and the total debt-to-equity ratio was 31.54. On the profitability front, the trailing twelve-month gross margin is 33.50% percent. In the year ended July 30, EBITDA margin amounted to 17.16%, whereas operating margins totaled 14.90%. 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 July 30, it reported total debt of $40.75 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 -2.04% to $37.26 billion during the quarter, while net income inched up to $42.92 billion. While analysts expected The Home Depot Inc. to report $4.44 quarterly earnings, the actual figure was $4.65 per share, beating the consensus estimate by 4.70%. During the quarter, the company generated $7.38 billion in EBITDA. The liabilities of The Home Depot Inc. were 75.05 billion at the end of its most recent quarter ended July 30, and its total debt was $49.49 billion. The value of shareholders’ equity is $1.0 billion.
Technical Picture
This quick technical analysis looks at The Home Depot Inc.’s (HD) price momentum. With a historical volatility rate of 13.64%, the RSI 9-day stood at 19.19% on 22 September.
With respect to its five-day moving average, the current The Home Depot Inc. price is down by -4.88% percent or -$15.67. At present, HD shares trade -5.23% below its 20-day simple moving average and +2.70% percent above its 100-day simple moving average. However, the stock is currently trading approximately -2.82% below its SMA50 and -4.48% below its SMA200.
Stochastic coefficient K was 0.92% and Stochastic coefficient D was 3.16%, while ATR was 4.43. Given the Stochastic reading of 1.01% for the 14-day period, the RSI (14) reading has been calculated as 26.93%. As of today, the MACD Oscillator reading stands at -9.82, while the 14-day reading stands at -13.48.
Analyst Ratings
HSBC Securities launched its rating on The Home Depot Inc. (NYSE: HD) to a Hold in a note to investors on Sep-23-23. 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 2 analysts who say the stock is underweight. A total of 2 analysts rate The Home Depot Inc. stock as buy, with 17 recommending it as overweight.
With a median target price of $352.50, the current consensus forecast for the stock is $296.00 – $384.00. Based on these forecasts, analysts predict The Home Depot Inc. (HD) will achieve an average price target of $351.08.
