NYSE:HD

Home Depot (HD)

342.34
-0.52 (0.15%)
as of Jun 25, 2026, 6:55:18 pm Market Open.
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Investor Insights
star iconJun 25, 2026, 12:00 am

This summary was created by AI, based on 22 opinions in the last 12 months.

Home Depot (HD) is facing a challenging market environment, largely influenced by rising interest rates and inflation, notably exacerbated by geopolitical factors such as the US-Iran war. The stock is down approximately 15% this year, with some analysts expressing cautious optimism, suggesting that if the upcoming earnings report does not reflect further deterioration, a potential rally could ensue. With a yield of around 3%, many consider it a long-term hold despite current market volatility. Although the company has a dominant position in the home improvement industry and has exhibited growth initiatives, the dampened housing market and discretionary spending threats from higher costs make investors cautiously optimistic about its recovery beyond the current cyclical downturn.

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Consensus
Cautious
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Valuation
Undervalued
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LOW
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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O'Reilly Back in August, when HD was trading about 10% higher, we recommended waiting to buy on weakness. We think that time has arrived. Other analysts have also recently upgraded the stock, looking for $315 as a target. Recent earnings grew 6% over the year and the PE is holding around 23x. The trend remains towards home improvement during the pandemic and we think that will continue. It pays a good dividend, backed by a payout ratio of 50%. We would buy this with a stop-loss at $230, looking to achieve the new outlook of $315 -- about 20% upside. Yield 2.28% (Analysts’ price target is $304.37)
SELL
It's been buying back stock, so they don't have any book value. This is not a solid mattress to lie on. Fair market value is about 53% lower than the current price. If we're shifting away from growth to value, this isn't the one to buy.
BUY
It has done very well and trades at 24 time earnings. The US housing market has helped it a lot. They did a good job of growing their renovation business and they are shareholder friendly. They have improved a lot and gained market share. They should continue to do well.
BUY

HD vs. Lowes He's come close to buying HD in the past. It pays a 2.1% yield vs. Lowes' 1.3%, and HD boasts better metrics elsewhere. Key point it that scale matters in this business, and the 3x bigger HD enjoys a size advantage and has a wider moat (can get better pricing and service from suppliers). He picks HD.

BUY
Allan Tong’s Discover Picks The average price target is $302.71, around 5.5% higher than current prices. Income investors will like its 2.08% dividend, based on a low 55% cash flow. Home Depot has increased its operating margins from 11 to 16% while raising revenues. Online sales in the recent quarter jumped 100%. Home Depot is here to stay, but step perhaps in at a better price. Read BBY Stock, HD Stock and CFP Stock: Top 3 Stocks for the Homebody Trend for our full analysis.
BUY
Likes it. Extremely well managed. Have increased operating margins from 11 to 16%, while still increasing revenues. Heavy tech investment. Online sales in most recent quarter up over 100%. The ultimate stay at home stock.
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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

BUY ON WEAKNESS
Stockchase Research Editor: Michael O'Reilly HD reported earnings today and it met all benchmarks. The stock is retracing a bit -- perhaps selling on fact -- as many stocks have been doing lately. We like the continuation of do-it-yourself projects during the pandemic. Speaking from recent personal experience, many of their products are hard to find on the shelves. EPS of $4.02 beat expectations by $0.34 per share. The yield is attractive and with a payout of only 55% of cash flow, could be well positioned for another increase -- as it has done for the past 11 years. We would look for a pullback to $265 to buy on weakness. Yield 2.08%
TOP PICK
Long been a favourite pick. They've grown their dividend growing 25%/year over the last 5 years. Are growing same-store sales 2x the rate of GDP. Consumers have some cash to spend near-term, thanks to stimulus. Also, people can't travel, but are doing home improvements. Some weakness in selling to professional contractors, but home consumers have made up for that likely at a higher margin. (Analysts’ price target is $257.25)
WEAK BUY
A rise in home spending to come HD has run back up, because people have discretionary income they're not spending on restaurants and clothes, because they're stuck at home. He's owned this before. 1980-2007, HD was expanding locations, but since 2009 they have added few. Instead, they are selling higher-margin profits to boost revenues, but the growth rate in this has slowed. That's why he sold.
BUY
People, if they stay home, will renovate. Or if the home-buying market improves (which he expects sooner than later), HD will also benefit. He's a long time holder of HD and happy.
BUY
Likes it. Monumental run over the last 10 years. Really well run. People probably won't do fewer renovations because of the coronavirus. Will continue to be under pressure on market speculation. Long-term, really likes this company.
TOP PICK

One of the largest home improvement dealers and a play on the health of the US housing market and low interest rates. Household formation is still increasing and there will always be a need for home repairs. Yield 2.22% (Analysts’ price target is $240.59)

PAST TOP PICK
(A Top Pick Feb 06/19, Up 30%) They've become much more efficient in managing their stores, yet the number of stores remains the same. Operating profit has jumped 11% to 16%. Net profit doubled. Last year's initiatives dampened earnings a bit, but will pay off in 2021.
TOP PICK
Also a past pick. US housing starts hit a 15-year high, a huge tailwind. (Analysts’ price target is $233.67)
BUY

She would consider buying both. LOW-N brought in a new management team with a lot of self-help initiatives to closed the gap, but HD-N has also been very strong and both are a home-run in the area. The recession just keeps getting pushed out

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