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Home Depot, Inc. (The) (HD) Stock Analysis

SellHigh Confidence

Consumer Cyclical · Home Improvement Retail

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... Read more

$332.02+4.9% upside
Score 4.2/10Target $348.73Reward/Risk 0.7:1

TrendMatrix rates Home Depot, Inc. (The) (HD) as Sell with high confidence. The stock trades at $332.02 with +4.9% upside to the $348.73 price target. Overall score: 4.2/10 across 10 analysis dimensions. Reward/risk ratio: 0.7:1.

Passes 2/5 gates (clean insider activity, no SEC red flags). Fails on weak momentum and favorable risk/reward ratio and death cross (50MA < 200MA). Suitability: moderate.

Val5.3Qual4.6Grw0.8Mom3.5Sent7.3Ins3.2Peer3.1Tech6.5Risk6.14.2OVERALL

Investment Thesis

+ Sector modifier (): +1.2
- Thin upside margin: 4.9%
- V7 low-quality RISK_OFF penalty: -0.5 (Q=4.6)
- Leverage penalty (D/E 5.1): -1.5

Fundamentals

P/E (TTM)23.3
P/E (Fwd)20.3
Mkt Cap$329.9B
EV/EBITDA15.8
Profit Mgn8.6%
ROE145.5%
Rev Growth-3.8%
Beta1.04
Dividend2.82%
Analysts46
Frequently Asked Questions
Is HD stock a buy right now?

TrendMatrix rates Home Depot, Inc. (The) (HD) as Sell with high confidence. Score 4.2/10.

What is the HD stock price target?

Take-profit target: $348.73 (+4.9% upside). Reward/risk ratio: 0.7:1. Stop-loss: $310.65.

What are the risks of investing in HD?

Thin upside margin: 4.9%; V7 low-quality RISK_OFF penalty: -0.5 (Q=4.6); Leverage penalty (D/E 5.1): -1.5.

Is HD overvalued or undervalued?

Home Depot, Inc. (The) trades at a P/E of 23.3 (forward 20.3). TrendMatrix value score: 5.3/10. Verdict: Sell.

What do analysts say about HD?

46 analysts cover HD with a consensus score of 3.8/5. Average price target: $410.

What does Home Depot, Inc. (The) do?The Home Depot, Inc. operates as a home improvement retailer in the United States and internationally. It sells various...

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, baths, garage doors, cabinets, cabinet makeovers, countertops, sheds, furnaces and central air systems, and windows. In addition, it provides tool and equipment rental services. The company serves consumers, such as do-it-yourself homeowners and do-it-for-me customers; and professional renovators/remodelers, general contractors, small to medium homebuilders, maintenance professionals, handymen, property managers, building service contractors and specialty tradespeople, such as electricians, landscapers, plumbers, painters, pool contractors, and roofers. It sells its products through websites and its mobile applications, including homedepot.com; homedepot.ca and homedepot.com.mx; blinds.com, justblinds.com, and americanblinds.com for custom window coverings; thecompanystore.com, an online site for textiles and décor products; hdsupply.com for maintenance, repair, and operations products and related services; and srsdistribution.com, heritagelandscapesupplygroup.com, and heritagepoolsupplygroup.com for roofing and building materials, landscape, and pool products; and The Home Depot stores. The Home Depot, Inc. was incorporated in 1978 and is headquartered in Atlanta, Georgia.

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29 OVERSOLD
<20d<50d<200dDEATH CROSSSupp $320.26Res $379.58

Price Targets

$311
$349
Upside+4.9%
Reward/Risk0.7:1

Position Sizing

ConvictionNONE
Suggested %0.5%
Max %1%
RegimeRISK_OFF

Risk Alerts

! MOMENTUM:3.5<5.0
! ASYMMETRY:1.0<2.0
! DEATH_CROSS:HARD_BLOCK
FALLING KNIFESuitability: Moderate
Insider activity: OK
No SEC red flags
Momentum 3.5<5.0
Risk/Reward 1.0<2.0
Death cross (50MA < 200MA)