Home Depot (NYSE:HD) Shares Down 2.7% – Here’s Why

The Home Depot, Inc. (NYSE:HD) was down 2.7% on Friday . The company traded as low as $344.92 and last traded at $345.4510. Approximately 12,712,567 shares changed hands during trading, an increase of 244% from the average daily volume of 3,699,565 shares. The stock had previously closed at $354.99.

Home Depot News Summary

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

• Positive Sentiment: Holiday marketing lift — A New York Times piece says tree farmers and their marketing group welcomed a new Home Depot ad promoting live-cut Christmas trees, which could boost seasonal sales and brand affinity for HD. Real or Fake? There’s a War Over Christmas … Trees.
• Positive Sentiment: Analyst upgrade — Shares rose after at least one analyst upgraded HD, a catalyst that can support short-term buying interest and validate management’s strategy. Home Depot (NYSE:HD) Shares Up 1.1% on Analyst Upgrade
• Positive Sentiment: Higher price target — Daiwa Capital Markets raised its price target to $360, offering further analyst support that may anchor investor expectations. Daiwa Capital Markets Boosts Home Depot (NYSE:HD) Price Target to $360.00
• Neutral Sentiment: Long-term performance context — A retrospective on 15‑year returns shows strong total returns for HD, useful for longer‑term investors but unlikely to move short-term trading. Here’s How Much You Would Have Made Owning Home Depot Stock In The Last 15 Years
• Neutral Sentiment: Post-earnings run-up analysis — Commentary notes HD is up since earnings and asks if momentum can continue; useful framing but no new catalyst. Home Depot (HD) Up 6.7% Since Last Earnings Report: Can It Continue?
• Neutral Sentiment: Valuation check — Market commentary reviewing HD’s valuation after a recent pullback provides context for investors considering re-entry or trimming positions. Home Depot (HD) Valuation Check After Recent Share Price Pullback
• Negative Sentiment: Shares sank despite supply‑chain improvements — A TipRanks write-up highlights that HD said it “significantly increased the speed of our delivery” but the stock still fell, suggesting investor concern about growth/slowing comps or forward guidance. “…Significantly Increased the Speed of Our Delivery”: Home Depot Stock (NYSE:HD) Sinks Despite Supply Chain Improvements
• Negative Sentiment: Insider selling — Recent insider sales were reported and corresponded with a pullback in the stock, a common near‑term negative signal for investors. Home Depot (NYSE:HD) Shares Down 1.2% Following Insider Selling
• Negative Sentiment: Reputational/operational issue — Coverage of Home Depot using noise machines to deter day laborers could pose reputational risk and attract regulatory or public scrutiny. “Caused Headaches and Nausea”: Home Depot Turns to Noise Machines to Run Off Day Laborers, Home Depot Stock (NYSE:HD) Notches Up
• Negative Sentiment: Competitive pressure from Lowe’s — Analyst comparisons suggest Lowe’s is gaining operational momentum (AI, Pro expansion), which could pressure HD’s market share or growth premium. Home Depot vs. Lowe’s: Which Home Improvement Stock to Bet on in 2026?

Analyst Ratings Changes

A number of brokerages have commented on HD. Citigroup reduced their price target on shares of Home Depot from $422.00 to $407.00 and set a “buy” rating on the stock in a research report on Friday, November 21st. Gordon Haskett cut their price objective on shares of Home Depot from $345.00 to $330.00 and set a “hold” rating for the company in a research note on Wednesday, November 19th. Telsey Advisory Group decreased their target price on shares of Home Depot from $430.00 to $410.00 and set an “outperform” rating on the stock in a research report on Wednesday, December 10th. DA Davidson lowered their price target on shares of Home Depot from $430.00 to $407.00 and set a “buy” rating for the company in a research note on Wednesday, December 10th. Finally, UBS Group set a $430.00 price target on shares of Home Depot in a research report on Wednesday, December 10th. Twenty-one investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, Home Depot presently has an average rating of “Moderate Buy” and a consensus target price of $402.07.

Home Depot Trading Down 2.7%

The company has a debt-to-equity ratio of 3.82, a current ratio of 1.05 and a quick ratio of 0.29. The firm’s 50 day moving average price is $366.01 and its 200 day moving average price is $378.87. The stock has a market capitalization of $343.90 billion, a P/E ratio of 23.55, a P/E/G ratio of 13.29 and a beta of 1.06.

Home Depot (NYSE:HD) last posted its earnings results on Tuesday, November 18th. The home improvement retailer reported $3.74 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.83 by ($0.09). The business had revenue of $41.35 billion during the quarter, compared to the consensus estimate of $41.06 billion. Home Depot had a return on equity of 160.74% and a net margin of 8.77%.The firm’s revenue for the quarter was up 2.8% compared to the same quarter last year. During the same period in the previous year, the business earned $3.78 earnings per share. Home Depot has set its FY 2025 guidance at 14.478-14.478 EPS. As a group, equities research analysts expect that The Home Depot, Inc. will post 15.13 earnings per share for the current fiscal year.

Home Depot Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, December 18th. Stockholders of record on Thursday, December 4th were paid a dividend of $2.30 per share. The ex-dividend date of this dividend was Thursday, December 4th. This represents a $9.20 annualized dividend and a dividend yield of 2.7%. Home Depot’s payout ratio is 62.71%.

Insiders Place Their Bets

In other Home Depot news, EVP Ann Marie Campbell sold 145 shares of the company’s stock in a transaction on Thursday, December 11th. The shares were sold at an average price of $358.26, for a total value of $51,947.70. Following the completion of the transaction, the executive vice president directly owned 12,320 shares in the company, valued at approximately $4,413,763.20. This represents a 1.16% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Angie Brown sold 1,946 shares of the firm’s stock in a transaction dated Friday, December 12th. The stock was sold at an average price of $357.63, for a total transaction of $695,947.98. Following the completion of the sale, the executive vice president directly owned 3,941 shares of the company’s stock, valued at approximately $1,409,419.83. This represents a 33.06% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.10% of the company’s stock.

Hedge Funds Weigh In On Home Depot

A number of institutional investors have recently bought and sold shares of HD. Brighton Jones LLC grew its position in shares of Home Depot by 36.5% in the 4th quarter. Brighton Jones LLC now owns 26,918 shares of the home improvement retailer’s stock worth $10,471,000 after buying an additional 7,203 shares during the period. United Bank boosted its stake in Home Depot by 14.9% during the first quarter. United Bank now owns 5,023 shares of the home improvement retailer’s stock worth $1,841,000 after acquiring an additional 653 shares in the last quarter. Algert Global LLC boosted its stake in Home Depot by 8.1% during the first quarter. Algert Global LLC now owns 2,061 shares of the home improvement retailer’s stock worth $755,000 after acquiring an additional 154 shares in the last quarter. Quantbot Technologies LP purchased a new stake in Home Depot in the first quarter worth about $909,000. Finally, Tradition Wealth Management LLC increased its stake in shares of Home Depot by 4.3% during the first quarter. Tradition Wealth Management LLC now owns 4,494 shares of the home improvement retailer’s stock valued at $1,647,000 after purchasing an additional 187 shares in the last quarter. 70.86% of the stock is owned by institutional investors.

Home Depot Company Profile

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.