Home Depot (NYSE:HD) Trading Down 0.6% – Time to Sell?

The Home Depot, Inc. (NYSE:HD)’s stock price dropped 0.6% on Tuesday . The company traded as low as $424.88 and last traded at $426.05. Approximately 442,393 shares changed hands during mid-day trading, a decline of 87% from the average daily volume of 3,386,986 shares. The stock had previously closed at $428.67.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the stock. Bank of America upped their price target on shares of Home Depot from $425.00 to $450.00 and gave the stock a “buy” rating in a research report on Wednesday, November 13th. TD Cowen upped their target price on shares of Home Depot from $440.00 to $460.00 and gave the stock a “buy” rating in a research report on Monday, October 28th. Telsey Advisory Group raised shares of Home Depot from a “market perform” rating to an “outperform” rating and raised their price target for the company from $360.00 to $455.00 in a report on Friday, November 8th. Guggenheim upped their price objective on Home Depot from $390.00 to $450.00 and gave the stock a “buy” rating in a report on Friday, October 4th. Finally, Piper Sandler increased their price objective on Home Depot from $387.00 to $455.00 and gave the company an “overweight” rating in a research report on Monday, September 30th. One analyst has rated the stock with a sell rating, seven have issued a hold rating and twenty-three have given a buy rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $426.00.

Home Depot Price Performance

The company has a 50-day moving average of $405.95 and a 200-day moving average of $370.81. The company has a debt-to-equity ratio of 8.65, a quick ratio of 0.31 and a current ratio of 1.13. The firm has a market capitalization of $424.48 billion, a price-to-earnings ratio of 29.03, a price-to-earnings-growth ratio of 2.98 and a beta of 1.01.

Home Depot (NYSE:HD) last released its quarterly earnings results on Tuesday, November 12th. The home improvement retailer reported $3.78 earnings per share for the quarter, beating the consensus estimate of $3.64 by $0.14. Home Depot had a net margin of 9.45% and a return on equity of 452.60%. The company had revenue of $40.22 billion during the quarter, compared to analysts’ expectations of $39.31 billion. During the same quarter in the prior year, the company earned $3.81 earnings per share. The business’s quarterly revenue was up 6.6% compared to the same quarter last year. As a group, research analysts anticipate that The Home Depot, Inc. will post 15.12 EPS for the current fiscal year.

Home Depot Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 12th. Shareholders of record on Wednesday, November 27th will be paid a $2.25 dividend. This represents a $9.00 annualized dividend and a dividend yield of 2.11%. The ex-dividend date of this dividend is Wednesday, November 27th. Home Depot’s dividend payout ratio is 61.14%.

Insider Activity

In other news, EVP Ann Marie Campbell sold 100 shares of Home Depot stock in a transaction that occurred on Wednesday, November 20th. The shares were sold at an average price of $402.58, for a total value of $40,258.00. Following the sale, the executive vice president now directly owns 12,465 shares in the company, valued at $5,018,159.70. This trade represents a 0.80 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Timothy A. Hourigan sold 16,004 shares of the stock in a transaction on Monday, November 18th. The stock was sold at an average price of $409.52, for a total transaction of $6,553,958.08. Following the transaction, the executive vice president now owns 77,475 shares of the company’s stock, valued at $31,727,562. The trade was a 17.12 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 38,188 shares of company stock worth $15,624,585 over the last three months. Corporate insiders own 0.10% of the company’s stock.

Institutional Trading of Home Depot

Hedge funds and other institutional investors have recently modified their holdings of the stock. International Assets Investment Management LLC grew its stake in Home Depot by 51,250.1% in the third quarter. International Assets Investment Management LLC now owns 8,779,833 shares of the home improvement retailer’s stock valued at $35,575,880,000 after purchasing an additional 8,762,735 shares in the last quarter. Wulff Hansen & CO. boosted its holdings in shares of Home Depot by 33,540.9% in the 2nd quarter. Wulff Hansen & CO. now owns 1,478,855 shares of the home improvement retailer’s stock valued at $509,081,000 after buying an additional 1,474,459 shares during the last quarter. Healthcare of Ontario Pension Plan Trust Fund acquired a new stake in shares of Home Depot in the 3rd quarter valued at approximately $336,231,000. FMR LLC grew its stake in shares of Home Depot by 10.1% in the third quarter. FMR LLC now owns 8,679,237 shares of the home improvement retailer’s stock valued at $3,516,827,000 after buying an additional 795,438 shares in the last quarter. Finally, Sarasin & Partners LLP increased its holdings in Home Depot by 95.2% during the second quarter. Sarasin & Partners LLP now owns 1,139,934 shares of the home improvement retailer’s stock worth $392,411,000 after buying an additional 556,053 shares during the last quarter. Institutional investors and hedge funds own 70.86% of the company’s stock.

About Home Depot

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.