Home Depot Inc. (NYSE:HD) saw a downside of -1.29% to close Tuesday at $302.54 after subtracting -$3.95 on the day. The 5-day average trading volume is 2,383,040 shares of the company’s common stock. It has gained $316.35 in the past week and touched a new high 1 time within the past 5 days. An average of 2,761,140 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 2,883,814.
HD’s 1-month performance is -6.29% or -$20.32 on its low of $301.63 reached on 09/26/23. The company’s shares have touched a 52-week low of $265.61 and high of $347.25, with the stock’s rally to the 52-week high happening on 02/02/23. YTD, HD has lost -4.22% or -$13.32 and has reached a new high 8 times. However, the current price is down -12.88% from the 52-week high price.
Insider Transactions
HD stock investors last saw insider trading activity on Sep 01.McPhail Richard V (EVP & CFO) most recently sold 2,000 shares at $332.26 per share on Sep 01. This transaction cost the insider $664,520. EVP – Human Resources, Hourigan Timothy A., sold 12,120 shares at a price of $325.40 on Aug 24. Then, on Aug 23, SVP-Finance, CAO & Controller Scardino Kimberly R sold 1,600 shares at a price of $326.69 per share. This transaction amounted to $522,704.
Valuation Metrics
HD stock has a beta of 0.96. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 1.95 while the price-to-book (PB) in the most recent quarter is 226.85, with the price to cash flow ratio at 18.60.
Home Depot Inc.’s quick ratio for the period ended July 30 was 0.35, with the current ratio over the same period at 1.31. As well, the company’s long term debt to equity for the quarter ending July 30 was 35.30, while the total debt to equity was 37.07.. In terms of profitability, the gross margin trailing 12 months is 31.85%. The trailing 12-month EBITDA margin is 17.16% while for the period ending July 30, Home Depot Inc.’s operating margin was 14.88%. The firm’s gross profit as reported stood at $52.78 billion against revenue of $157.4 billion.
Earnings Surprise
For the quarterly period ending July 30 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income shrunk -11.03% to $4.66 billion, while revenue of $3.87 billion was 16.87% off the previous quarter. Analysts expected HD to announce $4.44 per share in earnings in its latest quarter, but it posted $4.65, representing a 4.70% surprise. EBITDA for the quarter stood at more than $7.38 billion. HD stock balance sheet for the quarter ending July 30 shows that total liabilities totaled 75.05 billion, with total debt at $49.49 billion. Shareholders hold equity totaling $1.0 billion.
Let’s look briefly at Home Depot Inc. (HD) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 26 September was 18.33% to suggest the stock is trending oversold, with historical volatility in this time period at 14.37%.
The stock’s 5-day moving average is $306.48, reflecting a -3.84% or -$12.07 change from its current price. HD is currently trading -7.17% above its 20-day SMA, +3.23% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by -4.27% and SMA200 by-5.50%.
Stochastic %K and %D was 3.95% and 2.76% and the average true range (ATR) pointed at 4.32. The RSI (14) points at 25.44%, while the 14-day stochastic is at 3.17% with the period’s ATR at 4.40. The stock’s 9-day MACD Oscillator is pointing at -7.89 and -13.15 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for Home Depot Inc. (NYSE: HD), HSBC Securities launched coverage with a Hold rating. Analysts offering their rating for HD stock have a consensus rating for the stock as Overweight. Currently, 0 brokerage advisors rate HD as a “sell,”, while 15 advise that investors “Hold.” 2 analysts have rated the stock as underweight. 2 rates the stock as overweight while 17 have offered a “buy” rating.
What is HD’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $296.00 and a high of $384.00, with their median price target at $352.50. Looking at these predictions, the average price target given by analysts is for Home Depot Inc. (HD) stock is $350.75.
