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Home Depot (HD) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Home Depot (HD - Free Report) closed at $311.67, marking a -0.33% move from the previous day. This change lagged the S&P 500's daily loss of 0.11%.
Heading into today, shares of the home-improvement retailer had lost 1.28% over the past month, lagging the Retail-Wholesale sector's gain of 3.2% and the S&P 500's gain of 2.23% in that time.
Investors will be hoping for strength from HD as it approaches its next earnings release. On that day, HD is projected to report earnings of $4.29 per share, which would represent year-over-year growth of 6.72%. Our most recent consensus estimate is calling for quarterly revenue of $40.05 billion, up 5.24% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $13.90 per share and revenue of $143.15 billion, which would represent changes of +15.54% and +8.35%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for HD. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. HD is currently a Zacks Rank #2 (Buy).
Looking at its valuation, HD is holding a Forward P/E ratio of 22.5. This represents a premium compared to its industry's average Forward P/E of 15.89.
It is also worth noting that HD currently has a PEG ratio of 1.97. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. HD's industry had an average PEG ratio of 1.3 as of yesterday's close.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Home Depot (HD) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Home Depot (HD - Free Report) closed at $311.67, marking a -0.33% move from the previous day. This change lagged the S&P 500's daily loss of 0.11%.
Heading into today, shares of the home-improvement retailer had lost 1.28% over the past month, lagging the Retail-Wholesale sector's gain of 3.2% and the S&P 500's gain of 2.23% in that time.
Investors will be hoping for strength from HD as it approaches its next earnings release. On that day, HD is projected to report earnings of $4.29 per share, which would represent year-over-year growth of 6.72%. Our most recent consensus estimate is calling for quarterly revenue of $40.05 billion, up 5.24% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $13.90 per share and revenue of $143.15 billion, which would represent changes of +15.54% and +8.35%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for HD. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. HD is currently a Zacks Rank #2 (Buy).
Looking at its valuation, HD is holding a Forward P/E ratio of 22.5. This represents a premium compared to its industry's average Forward P/E of 15.89.
It is also worth noting that HD currently has a PEG ratio of 1.97. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. HD's industry had an average PEG ratio of 1.3 as of yesterday's close.
The Building Products - Retail industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.