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Home Depot (HD) Beats Stock Market Upswing: What Investors Need to Know

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Home Depot (HD - Free Report) closed the most recent trading day at $374.24, moving +1.03% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.21% for the day. At the same time, the Dow added 1.18%, and the tech-heavy Nasdaq lost 0.25%.

The home-improvement retailer's shares have seen a decrease of 2.36% over the last month, not keeping up with the Retail-Wholesale sector's gain of 5.47% and the S&P 500's gain of 4.36%.

Investors will be eagerly watching for the performance of Home Depot in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on November 18, 2025. It is anticipated that the company will report an EPS of $3.84, marking a 1.59% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $41.02 billion, indicating a 1.99% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $15.01 per share and a revenue of $164.05 billion, indicating changes of -1.51% and +2.84%, respectively, from the former year.

Investors might also notice recent changes to analyst estimates for Home Depot. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.05% lower. Home Depot is holding a Zacks Rank of #3 (Hold) right now.

Investors should also note Home Depot's current valuation metrics, including its Forward P/E ratio of 24.69. This signifies a premium in comparison to the average Forward P/E of 22.1 for its industry.

It's also important to note that HD currently trades at a PEG ratio of 3.52. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Retail - Home Furnishings industry stood at 2 at the close of the market yesterday.

The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 186, positioning it in the bottom 25% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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