NYSE:HD

Home Depot (HD)

348.24
+8.22 (2.42%)
as of Aug 4, 2026, 8:00:00 pm Market Open.
445 watching
0
Investor Insights
star iconAug 4, 2026, 12:00 am

This summary was created by AI, based on 18 opinions in the last 12 months.

Home Depot, the dominant home improvement retailer in the U.S., has been facing significant challenges this year, down 15% so far, primarily due to concerns surrounding rising interest rates and inflation exacerbated by geopolitical tensions such as the U.S.-Iran conflict. Many experts express skepticism ahead of the company's earnings report, predicting lackluster results that reflect the ongoing weakness in the housing market. With mortgage rates remaining high, consumers are deferring home renovations, which is hurting revenues. While some analysts see potential for a turnaround given the company's solid position and its high yield of 3%, others advise caution, suggesting that deeper interest rate cuts are essential for any substantial recovery in share price. The stock appears to have hit a two-year low, emphasizing the current hostile market conditions for the housing sector.

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Consensus
Bearish
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Valuation
Overvalued
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LOW, LOW
PAST TOP PICK
(A Top Pick Jan 07/19, Up 27%) They are continuing to grow. He thinks we are seeing very solid growth as the US housing market continues to boom.
TOP PICK
He is sticking with it. Last year in a period of uncertainty he was certain the housing industry was going to move up and believes it will do so again. Their profit was hit in the short term but it will inflect later, in 2021. He thinks there is good upside in the stock. (Analysts’ price target is $232.17)
TOP PICK
She has been adding to their existing position over the past couple of weeks. The company has been investing in their stores and infrastructure to improve on delivery times. A very good operator, who is investing in their future. Earnings will grow again next year, although a little slower. Yield 2.57% (Analysts’ price target is $232.23)
BUY ON WEAKNESS
This has been an investment for him for many years. They grow sales faster than GDP growth and dividend growth is 25% a year. Not a big dividend however. He likes home builders and the suppliers to home builders. A leading stock in a leading sector, he thinks. A healthy pullback, that he would buy into.
PAST TOP PICK
(A Top Pick Nov 06/18, Up 31%) Renovations and demographics are seeing millennials doing home upgrades. He still holds it here.
HOLD

He would continue to hold it. For the last 10 years it has been a steady performer in a pretty bleak retail space. They can not get "Amazoned" -- no one can ship plywood online, he thinks. The cost of deliver will keep Amazon out of this space. It is not cheap at 26 times earnings, but it is well managed.

DON'T BUY
Still growing. Biggest problem is valuation. Plus, US housing market, which he thinks is rolling over. Not a lot of demand for what HD sells. Buying back their own stock is a risk going forward too.
WATCH
Nice yield of 2.3%. Trades at 20x earnings. One of the issues is housing growth, which has moderated in the US. Concentrating on customer service, improving supply chain, better merchandise, reducing costs. Doing a very good job of all this, which will continue to drive the stock. Increasing dividend and buying back shares. He just hasn't found the right entry point.
HOLD
Boycott because of Trump? She owns it, but has taken some profit recently. She would hold on for the next earnings report. They relationship with Trump is not a real issue -- its all about housing. Consumer spending is going up and interest rates are declining, which should help reinvigorate house spending.
PAST TOP PICK
(A Top Pick May 24/19, Up 10%) He's still bullish on it. The stock shows good volume. Unless there's a pullback, this will continue to rise.
PAST TOP PICK
(A Top Pick Jun 29/18, Up 8%) A very simple company. An older US housing market needs a lot of work and the population demographics of millennials becoming home owners. Yield 2.6%
COMMENT
US Home builders. The US home builders market is still way behind from the peak, despite a rapid population growth. Existing home sales are also not substantially higher. He has chosen the play the space through a Home Dept instead.
COMMENT
It's not talked about like it used to. It's huge growth 15 years ago has tapered off. HD lives and dies with the home reno business. It's well-run. It is effected by e-commerce like all retailers though.
BUY
In an up market, testing resistance levels to the downside, so it's more appealing to him.
TOP PICK
Own because of where it is. Testing support lines, and that's where he likes it. At least 10% upside from here. Yield is 2.81%. (Analysts’ price target is $205.03)
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