Home Depot (NYSE:HD) Trading 1.6% Higher on Better-Than-Expected Earnings

The Home Depot, Inc. (NYSE:HD) shares rose 1.6% during mid-day trading on Wednesday following a better than expected earnings announcement. The stock traded as high as $412.74 and last traded at $409.52. Approximately 816,432 shares were traded during trading, a decline of 76% from the average daily volume of 3,372,059 shares. The stock had previously closed at $403.08.

The home improvement retailer reported $3.78 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.64 by $0.14. Home Depot had a return on equity of 452.60% and a net margin of 9.45%. The business had revenue of $40.22 billion during the quarter, compared to analyst estimates of $39.31 billion. During the same period in the previous year, the company earned $3.81 EPS. The firm’s revenue was up 6.6% on a year-over-year basis.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on HD shares. Wells Fargo & Company lifted their price objective on shares of Home Depot from $400.00 to $430.00 and gave the company an “overweight” rating in a research note on Wednesday, November 6th. Gordon Haskett upgraded Home Depot from an “accumulate” rating to a “buy” rating and set a $450.00 price target for the company in a research note on Wednesday, October 2nd. TD Cowen raised their price objective on Home Depot from $440.00 to $460.00 and gave the company a “buy” rating in a research note on Monday, October 28th. JPMorgan Chase & Co. boosted their target price on Home Depot from $377.00 to $400.00 and gave the stock an “overweight” rating in a report on Monday, August 5th. Finally, Royal Bank of Canada increased their price target on Home Depot from $363.00 to $413.00 and gave the company a “sector perform” rating in a report on Monday. One analyst has rated the stock with a sell rating, seven have issued a hold rating and twenty-three have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $426.00.

Hedge Funds Weigh In On Home Depot

Hedge funds have recently modified their holdings of the stock. Fisher Asset Management LLC raised its stake in Home Depot by 2.2% during the third quarter. Fisher Asset Management LLC now owns 9,426,649 shares of the home improvement retailer’s stock worth $3,819,679,000 after acquiring an additional 205,954 shares in the last quarter. International Assets Investment Management LLC grew its holdings in shares of Home Depot by 51,250.1% in the 3rd quarter. International Assets Investment Management LLC now owns 8,779,833 shares of the home improvement retailer’s stock worth $35,575,880,000 after purchasing an additional 8,762,735 shares during the last quarter. FMR LLC increased its position in shares of Home Depot by 10.1% during the 3rd quarter. FMR LLC now owns 8,679,237 shares of the home improvement retailer’s stock worth $3,516,827,000 after purchasing an additional 795,438 shares in the last quarter. Legal & General Group Plc lifted its holdings in Home Depot by 1.2% during the 2nd quarter. Legal & General Group Plc now owns 8,515,343 shares of the home improvement retailer’s stock valued at $2,931,328,000 after purchasing an additional 100,139 shares during the last quarter. Finally, Price T Rowe Associates Inc. MD boosted its position in Home Depot by 15.0% in the first quarter. Price T Rowe Associates Inc. MD now owns 7,437,805 shares of the home improvement retailer’s stock valued at $2,853,143,000 after buying an additional 971,833 shares in the last quarter. 70.86% of the stock is owned by institutional investors and hedge funds.

Home Depot Price Performance

The stock has a market capitalization of $407.64 billion, a P/E ratio of 27.83, a PEG ratio of 2.79 and a beta of 1.01. The company’s 50 day simple moving average is $396.76 and its two-hundred day simple moving average is $365.25. The company has a debt-to-equity ratio of 8.65, a current ratio of 1.13 and a quick ratio of 0.33.

Home Depot Company Profile

The Home Depot, Inc operates as a home improvement retailer in the United States and internationally. It sells various building materials, home improvement products, lawn and garden products, and décor products, as well as facilities maintenance, repair, and operations products. The company also offers installation services for flooring, water heaters, bath, garage doors, cabinets, cabinet makeovers, countertops, sheds, furnaces and central air systems, and windows.