Covington Investment Advisors Inc. Decreases Holdings in The Home Depot, Inc. $HD

Covington Investment Advisors Inc. lowered its stake in shares of The Home Depot, Inc. (NYSE:HD) by 6.6% in the 2nd quarter, Holdings Channel.com reports. The institutional investor owned 22,943 shares of the home improvement retailer’s stock after selling 1,630 shares during the period. Covington Investment Advisors Inc.’s holdings in Home Depot were worth $8,092,000 as of its most recent filing with the SEC.

Several other hedge funds have also added to or reduced their stakes in the stock. Bank of Nova Scotia purchased a new stake in shares of Home Depot in the 2nd quarter valued at $118,723,000. Gator Capital Management LLC bought a new stake in shares of Home Depot during the fourth quarter valued at approximately $3,693,000. AFT Forsyth & Company Inc. purchased a new stake in shares of Home Depot in the 2nd quarter worth about $1,896,000. Field & Main Bank purchased a new position in shares of Home Depot during the second quarter valued at approximately $6,286,000. Finally, King Luther Capital Management Corp grew its stake in shares of 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 worth $426,848,000 after acquiring an additional 7,180 shares during the last quarter. Institutional investors own 70.86% of the company’s stock.

Analyst Ratings Changes

A number of equities research analysts have commented on the stock. BNP Paribas Exane cut their target price on shares of Home Depot from $348.00 to $325.00 and set a “neutral” rating for the company in a research report on Tuesday, May 19th. Wall Street Zen upgraded Home Depot from a “sell” rating to a “hold” rating in a research report on Tuesday, June 2nd. UBS Group cut their price target on Home Depot from $430.00 to $420.00 and set a “buy” rating for the company in a research note on Wednesday, August 19th. Mizuho increased their price objective on shares of Home Depot from $385.00 to $390.00 and gave the stock an “outperform” rating in a research note on Wednesday, August 19th. Finally, Argus reaffirmed a “buy” rating and set a $400.00 target price on shares of Home Depot in a report on Wednesday, August 19th. Eighteen research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $375.54.

Insider Buying and Selling at Home Depot

In other Home Depot news, CFO Richard V. Mcphail sold 5,989 shares of the firm’s stock in a transaction that occurred on Wednesday, August 19th. The stock was sold at an average price of $348.40, for a total transaction of $2,086,567.60. Following the completion of the transaction, the chief financial officer owned 48,104 shares in the company, valued at $16,759,433.60. This trade represents a 11.07% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, EVP Michael F. Rowe sold 710 shares of the stock in a transaction that occurred on Wednesday, August 26th. The shares were sold at an average price of $336.76, for a total value of $239,099.60. Following the transaction, the executive vice president owned 6,838 shares of the company’s stock, valued at $2,302,764.88. This represents a 9.41% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 9,154 shares of company stock valued at $3,132,798 in the last 90 days. Insiders own 0.08% of the company’s stock.

More Home Depot News

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

• Positive Sentiment: Retail earnings point to a relatively resilient higher-income consumer. Home Depot and Lowe’s reported solid home-improvement sales, suggesting demand for repairs and larger projects remains healthier than spending at some value-oriented retailers. Retail Earnings Just Exposed a Bigger Divide in the U.S. Consumer Economy
• Positive Sentiment: Analysts at Zacks updated estimates for Home Depot’s fiscal third-quarter earnings, providing a fresh valuation and earnings catalyst following the company’s prior quarterly beat. Home Depot most recently reported earnings of $4.92 per share versus a $4.73 consensus estimate, with revenue also exceeding forecasts. Zacks Research Estimates Home Depot’s Q3 Earnings
• Neutral Sentiment: The stock’s valuation is near the middle of its peer group, but analysts question whether its operating performance and growth have fallen behind competitors. This creates potential upside if productivity improves, but also limits enthusiasm until growth reaccelerates. The Gap Between HD Stock And Its Own Numbers
• Negative Sentiment: Mortgage rates recently reached a one-year high following a global bond-market sell-off. Elevated borrowing costs can discourage home purchases, remodeling projects and other large-ticket transactions that drive Home Depot’s sales. Mortgage Rates Just Hit a 1-Year High
• Negative Sentiment: Some investors view weakness in consumer-focused stocks, including Home Depot, as a warning that middle-income households are under pressure. That macro concern could weigh on discretionary home-improvement spending and the broader retail sector. Wall Street worried about GOP in midterms
• Negative Sentiment: One market analysis cited Home Depot’s transition to positive free cash flow in the early 2000s as evidence that growth had slowed, reinforcing concerns that the company’s mature business may offer limited expansion compared with faster-growing retailers. Home Depot stock information

Home Depot Trading Up 0.9%

Shares of HD stock opened at $320.94 on Friday. The stock has a fifty day simple moving average of $339.35 and a two-hundred day simple moving average of $336.40. The Home Depot, Inc. has a 52-week low of $289.10 and a 52-week high of $426.75. The firm has a market capitalization of $320.20 billion, a PE ratio of 22.46, a PEG ratio of 3.50 and a beta of 0.95. The company has a debt-to-equity ratio of 2.64, a quick ratio of 0.31 and a current ratio of 1.08.

Home Depot (NYSE:HD) last released its earnings results on Tuesday, August 18th. The home improvement retailer reported $4.92 earnings per share (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 firm had revenue of $47.86 billion during the quarter, compared to analysts’ expectations of $47.24 billion. During the same quarter last year, the business posted $4.68 earnings per share. The firm’s revenue was up 5.7% on a year-over-year basis. Home Depot has set its FY 2026 guidance at 14.690-15.278 EPS. On average, analysts predict that The Home Depot, Inc. will post 15 EPS for the current fiscal year.

Home Depot Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 17th. Shareholders of record on Thursday, September 3rd will be paid a $2.33 dividend. The ex-dividend date is Thursday, September 3rd. This represents a $9.32 annualized dividend and a yield of 2.9%. Home Depot’s payout ratio is presently 65.22%.

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.