NYSE:HD
Home Depot (HD)
282.85
+0.39 (0.14%)
as of Oct 2, 2026, 8:00:00 pm Market Open.
443 watching
Financials 
Technical Analysis 0
BUY
The US homebuilding sector Housebuilding stocks are cyclical, driven by momentum. Interest rates are rising and there's a housing shortage in the US, and yet houses remain affordable due to low rates. But rising rates may be a headwind. She prefers playing this space through Home Depot, because people will buy homes and do renos, while older homes also need renos. Millennials will move out, post-Covid, and may need home renos, too.
Christine PooleOwned
specialty stores
PAST TOP PICK
(A Top Pick Jan 18/21, Up 34%) It has pulled back low enough that you can enter it. She likes home improvement long term; it's Amazon-proof. Higher rates are scaring the US housing market, but supply remains tight, so it's attractive, supported by household income. US homes are aging, many past 50 years old, some demand for renovations will be strong. Housing turnover remains high. All tailwinds.
Christine PooleOwned
specialty stores
PARTIAL SELL
Remains a core holding. Reported this morning, very strong sales, stock bumped up. Strong demand from the pro customer has rebounded. People are renovating rather than moving. Don't buy it here. She took some profits a couple of weeks ago.
Christine PooleOwned
specialty stores
DON'T BUY
He owned this from the late-1990s till 2020 and did a 10-bagger. He sold it not because of the dividend, but a comparison against Lowe's. HD's success largely was a result of organic growth and operating efficiencies. In the past decade, their operating margins moved from 11% to 16.5% vs. Lowe's in a similar, but slower rate. So, he'd rather capture what will come, so he switched to Lowe's
specialty stores
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Premium contentPAST TOP PICK
BUY
Allan Tong’s Discover Picks Despite sector uncertainty, HD has been beating its quarters, the last four to be precise. In mid-August Home Depot reported YOY revenue popping 8.1%, earnings and revenu beats, and an 4.5% increase in same-store sales over the year. However, this last number wasn’t strong enough for Wall Street which expected 5%, so shares fell 4% on the news. There remains value in the name. Head to head with Lowe’s, HD wins in several metrics: profit margin of 10.55% vs. Lowe’s 7.41%, ROI of 36.61% vs. 24.11% and dividend yield of 2% vs. 1.55%. Read 3 Recovering Stocks to Consider for our full analysis.
Stockchase DiscoverOwned
specialty stores
COMMENT
Earlier this week, Home Depot's report signaled to Wall Street that DIY consumers are spending on things outside home renovations once the great reopening got rolling. That made Wall Street suspicious of all retailers and sold them off, even good ones like Walmart. Today, Lowe's (and TJX) reported strong numbers and their shares bounced.
specialty stores
TOP PICK
She's been adding on this pullback. Sector benefited with Covid. Growth of their PRO division is actually greater than DIY for the first time in the last few quarters. Not housing starts that drives them, but housing turnover. Housing shortage encourags renovations. Building out e-commerce, and so operating margins will improve. Yield is 2.16%. (Analysts’ price target is $343.90)
Christine PooleOwned
specialty stores
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