Royal Bank of Canada Has Lowered Expectations for Home Depot (NYSE:HD) Stock Price

Home Depot (NYSE:HD) had its target price decreased by Royal Bank of Canada from $431.00 to $424.00 in a research note issued to investors on Wednesday morning,Benzinga reports. Royal Bank of Canada currently has a sector perform rating on the home improvement retailer’s stock.

Several other research firms have also recently issued reports on HD. Evercore ISI boosted their price objective on shares of Home Depot from $420.00 to $430.00 and gave the company an “outperform” rating in a research report on Wednesday, November 13th. Wells Fargo & Company boosted their price objective on shares of Home Depot from $440.00 to $450.00 and gave the company an “overweight” rating in a research report on Thursday, February 13th. Guggenheim reissued a “buy” rating and issued a $450.00 price objective on shares of Home Depot in a research report on Wednesday. JPMorgan Chase & Co. boosted their price objective on shares of Home Depot from $450.00 to $475.00 and gave the company an “overweight” rating in a research report on Monday, February 10th. Finally, Truist Financial lowered their price objective on shares of Home Depot from $467.00 to $437.00 and set a “buy” rating for the company in a research report on Wednesday. Eight analysts have rated the stock with a hold rating and twenty-two have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $436.50.

Home Depot Price Performance

Home Depot stock opened at $390.40 on Wednesday. The firm has a 50-day moving average price of $401.17 and a 200-day moving average price of $398.42. The firm has a market capitalization of $387.81 billion, a PE ratio of 26.52, a price-to-earnings-growth ratio of 4.03 and a beta of 1.05. The company has a current ratio of 1.13, a quick ratio of 0.31 and a debt-to-equity ratio of 8.65. Home Depot has a 12-month low of $323.77 and a 12-month high of $439.37.

Home Depot (NYSE:HD) last released its earnings results on Tuesday, February 25th. The home improvement retailer reported $3.13 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.04 by $0.09. The firm had revenue of $39.70 billion during the quarter, compared to analyst estimates of $39.15 billion. Home Depot had a net margin of 9.45% and a return on equity of 452.60%. The business’s revenue was up 14.1% on a year-over-year basis. During the same quarter last year, the business earned $2.82 EPS. As a group, equities research analysts forecast that Home Depot will post 15.13 EPS for the current year.

Home Depot Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, March 27th. Shareholders of record on Thursday, March 13th will be paid a dividend of $2.30 per share. This is a positive change from Home Depot’s previous quarterly dividend of $2.25. The ex-dividend date of this dividend is Thursday, March 13th. This represents a $9.20 dividend on an annualized basis and a yield of 2.36%. Home Depot’s dividend payout ratio is presently 61.14%.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Synergy Asset Management LLC acquired a new position in Home Depot during the 4th quarter valued at approximately $26,000. Wingate Wealth Advisors Inc. acquired a new position in Home Depot during the 4th quarter valued at approximately $28,000. Navigoe LLC acquired a new position in Home Depot during the 4th quarter valued at approximately $29,000. Bradley & Co. Private Wealth Management LLC acquired a new position in Home Depot during the 4th quarter valued at approximately $32,000. Finally, Quarry LP increased its stake in Home Depot by 220.0% during the 4th quarter. Quarry LP now owns 96 shares of the home improvement retailer’s stock valued at $37,000 after purchasing an additional 66 shares in the last quarter. Institutional investors and hedge funds own 70.86% of the company’s stock.

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.