Home Depot, Inc. (The) (HD) Cut to “Hold” at Zacks Investment Research
Zacks Investment Research lowered shares of Home Depot, Inc. (The) (NYSE:HD) from a buy rating to a hold rating in a research note issued to investors on Wednesday morning.
According to Zacks, “Home Depot’s spectacular past performance has helped it to surpass the industry in the past year. The company has been consistently gaining from its interconnected strategy, focus on Pro customers, and housing market recovery. These factors helped the company post a stellar second-quarter fiscal 2017 performance, which marked its highest ever quarterly sales and earnings. Notably, sales marked its 13th straight beat, while earnings retained its 5-year long trend of positive surprise. Results were driven by solid growth across all regions, both in stores and online. Also, Pro category sales continued to outperform, driven by constant efforts to enrich customers’ experiences. The sturdy first half and expectations of improved home prices encouraged the company to raise its fiscal 2017 view. However, gross margin remained plateaued, and is likely to fall 10 bps in fiscal 2017. Also, competition from online retailers may impact results.”
Several other brokerages have also recently commented on HD. Atlantic Securities cut shares of Home Depot, Inc. (The) from an overweight rating to a neutral rating and set a $168.00 price target for the company. in a research report on Thursday, May 11th. Stifel Nicolaus reissued a buy rating and issued a $178.00 price target (up previously from $165.00) on shares of Home Depot, Inc. (The) in a research report on Wednesday, May 17th. Oppenheimer Holdings, Inc. set a $178.00 price target on shares of Home Depot, Inc. (The) and gave the company a buy rating in a research report on Tuesday, May 16th. UBS AG reissued a buy rating and issued a $175.00 price target (up previously from $173.00) on shares of Home Depot, Inc. (The) in a research report on Wednesday, May 17th. Finally, Sanford C. Bernstein reissued a market perform rating and issued a $152.00 price target on shares of Home Depot, Inc. (The) in a research report on Wednesday, July 12th. Two research analysts have rated the stock with a sell rating, five have assigned a hold rating, nineteen have issued a buy rating and one has given a strong buy rating to the stock. The company has a consensus rating of Buy and a consensus price target of $169.82.
Home Depot, Inc. (NYSE:HD) opened at 150.78 on Wednesday. Home Depot, Inc. has a 12 month low of $119.20 and a 12 month high of $160.86. The stock has a market cap of $177.74 billion, a price-to-earnings ratio of 21.70 and a beta of 1.06. The firm’s 50 day moving average price is $150.45 and its 200 day moving average price is $150.90.
Home Depot, Inc. (The) (NYSE:HD) last posted its earnings results on Tuesday, August 15th. The home improvement retailer reported $2.25 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $2.21 by $0.04. Home Depot, Inc. (The) had a net margin of 8.63% and a return on equity of 192.30%. The firm had revenue of $28.11 billion during the quarter, compared to the consensus estimate of $27.84 billion. During the same quarter last year, the firm earned $1.97 EPS. The firm’s revenue for the quarter was up 6.2% on a year-over-year basis. On average, equities research analysts predict that Home Depot, Inc. will post $7.32 EPS for the current fiscal year.
TRADEMARK VIOLATION WARNING: This piece was reported by Watch List News and is the sole property of of Watch List News. If you are accessing this piece on another domain, it was stolen and reposted in violation of US and international copyright and trademark law. The original version of this piece can be accessed at https://www.watchlistnews.com/home-depot-inc-the-hd-cut-to-hold-at-zacks-investment-research/1538095.html.
The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 14th. Shareholders of record on Thursday, August 31st will be paid a $0.89 dividend. The ex-dividend date is Tuesday, August 29th. This represents a $3.56 dividend on an annualized basis and a yield of 2.36%. Home Depot, Inc. (The)’s dividend payout ratio is presently 51.15%.
In other Home Depot, Inc. (The) news, EVP Teresa Wynn Roseborough sold 15,000 shares of Home Depot, Inc. (The) stock in a transaction on Monday, August 21st. The shares were sold at an average price of $150.39, for a total value of $2,255,850.00. Following the transaction, the executive vice president now directly owns 33,147 shares in the company, valued at $4,984,977.33. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, EVP Ann Marie Campbell sold 10,717 shares of Home Depot, Inc. (The) stock in a transaction on Wednesday, August 16th. The shares were sold at an average price of $152.40, for a total transaction of $1,633,270.80. Following the completion of the transaction, the executive vice president now owns 64,810 shares in the company, valued at $9,877,044. The disclosure for this sale can be found here. Insiders own 0.26% of the company’s stock.
Hedge funds and other institutional investors have recently bought and sold shares of the stock. American Beacon Advisors Inc. acquired a new position in Home Depot, Inc. (The) during the first quarter worth approximately $100,000. Jacobi Capital Management LLC raised its position in Home Depot, Inc. (The) by 16.4% in the second quarter. Jacobi Capital Management LLC now owns 717 shares of the home improvement retailer’s stock worth $108,000 after buying an additional 101 shares in the last quarter. Riggs Asset Managment Co. Inc. raised its position in Home Depot, Inc. (The) by 114.1% in the first quarter. Riggs Asset Managment Co. Inc. now owns 745 shares of the home improvement retailer’s stock worth $109,000 after buying an additional 397 shares in the last quarter. CT Financial Advisors LLC raised its position in Home Depot, Inc. (The) by 0.4% in the first quarter. CT Financial Advisors LLC now owns 758 shares of the home improvement retailer’s stock worth $111,000 after buying an additional 3 shares in the last quarter. Finally, University of Texas Investment Managment Co. acquired a new position in Home Depot, Inc. (The) during the first quarter worth approximately $132,000. Institutional investors own 71.44% of the company’s stock.
About Home Depot, Inc. (The)
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 serves three primary customer groups: do-it-yourself (DIY) customers, do-it-for-me (DIFM) customers and professional customers.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Home Depot Inc. (The) Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Home Depot Inc. (The) and related companies with Analyst Ratings Network's FREE daily email newsletter.