Wealth Effects LLC Makes New Investment in The Home Depot, Inc. $HD

Wealth Effects LLC bought a new position in shares of The Home Depot, Inc. (NYSE:HD) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund bought 2,808 shares of the home improvement retailer’s stock, valued at approximately $990,000.

Other hedge funds also recently made changes to their positions in the company. Gator Capital Management LLC acquired a new stake in shares of Home Depot during the 4th quarter valued at $3,693,000. King Luther Capital Management Corp raised its position in Home Depot by 0.6% in the fourth quarter. King Luther Capital Management Corp now owns 1,240,478 shares of the home improvement retailer’s stock valued at $426,848,000 after purchasing an additional 7,180 shares during the last quarter. Thompson Siegel & Walmsley LLC boosted its stake in shares of Home Depot by 320.4% during the fourth quarter. Thompson Siegel & Walmsley LLC now owns 11,292 shares of the home improvement retailer’s stock valued at $3,886,000 after purchasing an additional 8,606 shares in the last quarter. Sarasin & Partners LLP boosted its stake in shares of Home Depot by 4.0% during the second quarter. Sarasin & Partners LLP now owns 687,219 shares of the home improvement retailer’s stock valued at $242,368,000 after purchasing an additional 26,357 shares in the last quarter. Finally, Capital International Inc. CA grew its holdings in shares of Home Depot by 4.3% during the fourth quarter. Capital International Inc. CA now owns 150,368 shares of the home improvement retailer’s stock worth $51,742,000 after purchasing an additional 6,187 shares during the last quarter. 70.86% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Home Depot

Here are the key news stories impacting Home Depot this week:

• Positive Sentiment: Home Depot’s latest quarter showed solid execution: earnings and revenue exceeded consensus estimates, while sales increased year over year. Bank of America characterized the results as resilient despite a difficult housing backdrop. Home Depot Q2 results analysis
• Positive Sentiment: The board declared a quarterly dividend of $2.33 per share, payable September 17 to shareholders of record September 3. The annualized payout implies a yield of approximately 2.8%, supporting the stock’s income appeal. Home Depot declares quarterly dividend
• Positive Sentiment: DA Davidson, Argus and Guggenheim reiterated or assigned “Buy” ratings, indicating continued confidence in Home Depot’s long-term positioning. The company is also expanding nationwide express delivery to make smaller projects more convenient for cautious consumers. DA Davidson buy rating Home Depot expands express delivery
• Neutral Sentiment: Royal Bank of Canada lowered its price target to $342, while KeyCorp maintained a Sector Weight rating. The mixed recommendations suggest limited near-term upside despite the earnings beat. RBC lowers Home Depot price target
• Neutral Sentiment: Home Depot expanded executive responsibilities and awarded restricted stock, changes intended to support leadership continuity but with no immediate earnings impact. Home Depot executive changes
• Negative Sentiment: Reports highlight margin pressure and an uphill sales environment as customers delay or reduce spending on major renovations. This could constrain comparable sales and profitability even after the recent quarterly beat. Home Depot margin pressure Home Depot customer spending concerns
• Negative Sentiment: CFO Richard McPhail sold 5,989 shares worth approximately $2.1 million, reducing his position by 11.1%. While insider sales do not necessarily signal deteriorating fundamentals, the transaction may weigh modestly on sentiment. Home Depot CFO stock sale

Insider Buying and Selling at Home Depot

In other news, CFO Richard V. Mcphail sold 5,989 shares of the company’s stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $348.40, for a total value of $2,086,567.60. Following the transaction, the chief financial officer owned 48,104 shares of the company’s stock, valued at approximately $16,759,433.60. This represents a 11.07% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 0.08% of the company’s stock.

Analysts Set New Price Targets

HD has been the subject of a number of research reports. UBS Group dropped their price objective on shares of Home Depot from $430.00 to $420.00 and set a “buy” rating for the company in a report on Wednesday. TD Cowen reiterated a “buy” rating on shares of Home Depot in a report on Monday, August 10th. HSBC reduced their price objective on shares of Home Depot from $392.00 to $310.00 and set a “hold” rating on the stock in a research note on Wednesday, May 20th. Mizuho raised their target price on Home Depot from $385.00 to $390.00 and gave the stock an “outperform” rating in a research report on Wednesday. Finally, BNP Paribas Exane reduced their price target on Home Depot from $348.00 to $325.00 and set a “neutral” rating on the stock in a research report on Tuesday, May 19th. Eighteen investment analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $375.54.

Home Depot Stock Performance

Shares of HD opened at $336.04 on Monday. The company has a market capitalization of $335.07 billion, a price-to-earnings ratio of 23.52, a PEG ratio of 3.70 and a beta of 0.95. The company has a current ratio of 1.08, a quick ratio of 0.31 and a debt-to-equity ratio of 2.64. The stock has a 50 day moving average of $340.86 and a 200 day moving average of $340.20. The Home Depot, Inc. has a 12 month low of $289.10 and a 12 month high of $426.75.

Home Depot (NYSE:HD) last issued its earnings results on Tuesday, August 18th. The home improvement retailer reported $4.92 EPS for the quarter, topping the consensus estimate of $4.73 by $0.19. Home Depot had a return on equity of 106.42% and a net margin of 8.41%.The business had revenue of $47.86 billion during the quarter, compared to the consensus estimate of $47.24 billion. During the same quarter last year, the company earned $4.68 EPS. The firm’s revenue was up 5.7% compared to the same quarter last year. Home Depot has set its FY 2026 guidance at 14.690-15.278 EPS. As a group, sell-side analysts forecast that The Home Depot, Inc. will post 14.99 earnings per share for the current year.

Home Depot Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 17th. Stockholders of record on Thursday, September 3rd will be given a dividend of $2.33 per share. This represents a $9.32 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date is Thursday, September 3rd. Home Depot’s payout ratio is 65.22%.

About Home Depot

The Home Depot, Inc (NYSE: HD) is a leading home improvement retailer that operates large-format stores and an integrated online platform offering a broad range of products and services for do-it-yourself consumers, professional contractors and businesses. The company was founded in 1978 by Bernard Marcus and Arthur Blank and is headquartered in Atlanta, Georgia. Since opening its first stores at the end of the 1970s, Home Depot has grown into a multinational retailer known for its orange-branded stores and wide assortment of home improvement merchandise.

Home Depot’s core business includes the sale of building materials, lumber, tools, hardware, appliances, paint, plumbing and electrical supplies, lawn and garden products, and home décor.