The Home Depot, Inc. (NYSE:HD) Sees Significant Decrease in Short Interest

The Home Depot, Inc. (NYSE:HD) was the recipient of a significant decline in short interest during the month of February. As of February 13th, there was short interest totaling 10,153,045 shares, a decline of 15.1% from the January 29th total of 11,960,827 shares. Approximately 1.0% of the shares of the company are sold short. Based on an average daily trading volume, of 4,106,988 shares, the days-to-cover ratio is presently 2.5 days. Based on an average daily trading volume, of 4,106,988 shares, the days-to-cover ratio is presently 2.5 days. Approximately 1.0% of the shares of the company are sold short.

Analysts Set New Price Targets

HD has been the subject of a number of research analyst reports. Piper Sandler reduced their price objective on shares of Home Depot from $441.00 to $422.00 and set an “overweight” rating for the company in a research report on Monday, February 23rd. JPMorgan Chase & Co. reduced their target price on shares of Home Depot from $444.00 to $423.00 and set an “overweight” rating for the company in a report on Wednesday, November 19th. Oppenheimer decreased their price target on shares of Home Depot from $420.00 to $405.00 and set a “market perform” rating on the stock in a research note on Friday, December 5th. Wells Fargo & Company raised their price objective on shares of Home Depot from $395.00 to $420.00 and gave the stock an “overweight” rating in a research report on Wednesday, February 25th. Finally, Evercore reduced their price objective on Home Depot from $450.00 to $425.00 and set an “outperform” rating for the company in a report on Wednesday, November 19th. Twenty equities research analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $416.00.

Insiders Place Their Bets

In other Home Depot news, EVP Teresa Wynn Roseborough sold 2,872 shares of the company’s stock in a transaction that occurred on Friday, December 26th. The stock was sold at an average price of $348.52, for a total value of $1,000,949.44. Following the sale, the executive vice president owned 13,196 shares in the company, valued at $4,599,069.92. This represents a 17.87% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP Angie Brown sold 1,946 shares of the firm’s stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of $357.63, for a total value 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. The trade was a 33.06% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 7,513 shares of company stock worth $2,689,515 over the last ninety days. 0.10% of the stock is currently owned by corporate insiders.

Institutional Trading of Home Depot

Several large investors have recently modified their holdings of the stock. Advocate Investing Services LLC bought a new position in Home Depot in the 4th quarter valued at about $25,000. Parvin Asset Management LLC boosted its position in shares of Home Depot by 110.0% during the 3rd quarter. Parvin Asset Management LLC now owns 63 shares of the home improvement retailer’s stock worth $26,000 after acquiring an additional 33 shares in the last quarter. Key Capital Management INC acquired a new stake in shares of Home Depot during the 4th quarter worth approximately $28,000. Sagard Holdings Management Inc. bought a new position in Home Depot in the second quarter valued at approximately $29,000. Finally, Abound Financial LLC acquired a new position in Home Depot during the fourth quarter valued at approximately $29,000. 70.86% of the stock is owned by institutional investors and hedge funds.

Home Depot Price Performance

Shares of Home Depot stock opened at $361.59 on Friday. Home Depot has a twelve month low of $326.31 and a twelve month high of $426.75. The company has a quick ratio of 0.26, a current ratio of 1.06 and a debt-to-equity ratio of 3.62. The company has a 50-day simple moving average of $373.41 and a two-hundred day simple moving average of $379.06. The stock has a market capitalization of $359.97 billion, a price-to-earnings ratio of 25.41, a price-to-earnings-growth ratio of 13.26 and a beta of 1.09.

Home Depot (NYSE:HD) last announced its earnings results on Tuesday, February 24th. The home improvement retailer reported $2.72 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.52 by $0.20. Home Depot had a net margin of 8.60% and a return on equity of 134.32%. The firm had revenue of $38.20 billion for the quarter, compared to analyst estimates of $38.01 billion. During the same quarter in the prior year, the business posted $3.13 EPS. The business’s revenue was down 3.8% compared to the same quarter last year. Home Depot has set its FY 2026 guidance at 14.230-14.799 EPS. Analysts forecast that Home Depot will post 15.13 EPS for the current year.

Home Depot Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, March 26th. Shareholders of record on Thursday, March 12th will be paid a dividend of $2.33 per share. This is a boost from Home Depot’s previous quarterly dividend of $2.30. The ex-dividend date is Thursday, March 12th. This represents a $9.32 dividend on an annualized basis and a yield of 2.6%. Home Depot’s dividend payout ratio is 64.65%.

Key Headlines Impacting Home Depot

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

• Positive Sentiment: Launched industry-first real-time delivery tracking for big & bulky materials aimed at Pro customers — improves job-site planning, could boost Pro retention and fulfillment efficiency. The Home Depot Boosts Pro Productivity (PR Newswire)
• Positive Sentiment: Company guidance and analyst coverage expect stronger fiscal‑2026 second‑half comparable-store sales as storm-driven comps ease and recent Pro investments plus SRS/GMS integration begin contributing — supports better H2 revenue trajectory. Why Home Depot Expects Second Half Comps to Outperform First Half (Yahoo)
• Positive Sentiment: Analyst/retail commentary continues to flag Home Depot’s stable cash flows and dividend profile, reinforcing its appeal as a long‑term, income-oriented holding despite near‑term volatility. Home Depot Is a Classic “Boomer Stock” (Motley Fool)
• Neutral Sentiment: Industry pieces note Home Depot and Lowe’s both investing in AI (Home Depot’s Magic Apron, Pro Xtra) — strategic for customer experience but benefits will play out over time and aren’t an immediate earnings catalyst. Home Depot vs. Lowe’s: Both Retail Giants Are Tapping AI (Motley Fool)
• Negative Sentiment: Insider selling: CFO Richard McPhail sold 2,550 shares (~$940.7K) and reduced his stake by ~5.4% — an event investors often view negatively as a near‑term signal even though it may be routine diversification. SEC Filing: Form 4 (Insider Sale)
• Negative Sentiment: Some market commentary (TipRanks) suggests Home Depot’s recent initiatives or small tactical advantages have provided limited lift to the stock — highlighting investor concerns about near‑term growth and the stock’s multi‑year underperformance vs. the S&P. Unexpected New Advantage Proves Little Help for Home Depot Stock (TipRanks)

About Home Depot

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.