Home Depot (NYSE:HD) Stock Price Expected to Rise, Morgan Stanley Analyst Says

Home Depot (NYSE:HD) had its price objective lifted by analysts at Morgan Stanley from $412.00 to $420.00 in a report released on Wednesday,MarketScreener reports. Morgan Stanley’s price objective points to a potential upside of 12.79% from the stock’s current price.

A number of other equities research analysts also recently weighed in on HD. Wall Street Zen downgraded shares of Home Depot from a “hold” rating to a “sell” rating in a research note on Friday, November 28th. Zacks Research upgraded shares of Home Depot from a “strong sell” rating to a “hold” rating in a research report on Monday, February 9th. The Goldman Sachs Group reaffirmed a “buy” rating and set a $413.00 target price on shares of Home Depot in a research note on Wednesday, December 10th. Oppenheimer dropped their price target on Home Depot from $420.00 to $405.00 and set a “market perform” rating for the company in a research note on Friday, December 5th. Finally, Piper Sandler cut their price objective on Home Depot from $441.00 to $422.00 and set an “overweight” rating on the stock in a report on Monday. Twenty-one analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Home Depot has a consensus rating of “Moderate Buy” and an average price target of $414.37.

Home Depot Price Performance

Shares of NYSE:HD traded down $12.09 during midday trading on Wednesday, hitting $372.39. The stock had a trading volume of 705,667 shares, compared to its average volume of 4,211,212. The company’s 50-day moving average price is $370.27 and its 200-day moving average price is $380.12. The company has a market capitalization of $370.71 billion, a P/E ratio of 25.46, a price-to-earnings-growth ratio of 13.49 and a beta of 1.08. The company has a quick ratio of 0.29, a current ratio of 1.05 and a debt-to-equity ratio of 3.82. Home Depot has a fifty-two week low of $326.31 and a fifty-two week high of $426.75.

Home Depot (NYSE:HD) last released its earnings results on Tuesday, February 24th. The home improvement retailer reported $2.72 earnings per share for the quarter, topping the consensus estimate of $2.52 by $0.20. Home Depot had a return on equity of 160.74% and a net margin of 8.77%.The firm had revenue of $38.20 billion during the quarter, compared to analysts’ expectations of $38.01 billion. During the same period in the prior year, the company earned $3.13 earnings per share. The company’s quarterly revenue was down 3.8% on a year-over-year basis. Home Depot has set its FY 2026 guidance at 14.230-14.799 EPS. As a group, equities research analysts predict that Home Depot will post 15.13 EPS for the current fiscal year.

Insider Transactions at Home Depot

In related news, EVP Teresa Wynn Roseborough sold 2,872 shares of Home Depot stock in a transaction on Friday, December 26th. The shares were sold at an average price of $348.52, for a total transaction of $1,000,949.44. Following the completion of the transaction, the executive vice president owned 13,196 shares of the company’s stock, valued at $4,599,069.92. This trade represents a 17.87% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Angie Brown sold 1,946 shares of the business’s stock in a transaction on Friday, December 12th. The shares were sold at an average price of $357.63, for a total transaction of $695,947.98. Following the completion of the transaction, the executive vice president owned 3,941 shares in the company, valued at approximately $1,409,419.83. The trade was a 33.06% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 4,963 shares of company stock worth $1,748,845 over the last three months. 0.10% of the stock is owned by company insiders.

Institutional Investors Weigh In On Home Depot

Several institutional investors and hedge funds have recently made changes to their positions in HD. MidFirst Bank bought a new stake in Home Depot in the fourth quarter worth approximately $8,101,000. Alternative Investment Advisors LLC. boosted its holdings in shares of Home Depot by 18.8% during the 4th quarter. Alternative Investment Advisors LLC. now owns 657 shares of the home improvement retailer’s stock worth $227,000 after buying an additional 104 shares in the last quarter. SG Trading Solutions LLC bought a new position in shares of Home Depot during the 4th quarter worth approximately $2,186,000. Titan Investment Management LLC acquired a new stake in shares of Home Depot during the 4th quarter worth approximately $1,986,000. Finally, DiPaolo Financial Group Inc. bought a new stake in shares of Home Depot in the 4th quarter valued at $214,000. Institutional investors own 70.86% of the company’s stock.

Key Stories Impacting Home Depot

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

• Positive Sentiment: Q4 earnings and revenue topped expectations (largest EPS beat in many quarters), showing resilient margin execution and improved comps versus recent prints. PR Newswire: Home Depot Q4 results
• Positive Sentiment: Board raised the quarterly dividend by 1.3% to $2.33, supporting income-focused investors and signaling cash-flow confidence. PR Newswire: Dividend increase
• Positive Sentiment: Several sell-side analysts raised price targets and reiterated buy/outperform views after the print (Telsey, DA Davidson, J.P. Morgan commentary), providing uplift to sentiment. The Fly: DA Davidson raises target
• Neutral Sentiment: Management reaffirmed FY2026 EPS guidance (range provided) — the midpoint is close to consensus but guidance is tepid, so it removes some near-term uncertainty without implying strong upside. MarketBeat: Q4 release & guidance
• Neutral Sentiment: Home Depot’s shift toward pro/B2B sales (nearing ~50% of revenue commentary) and digital tools are cited as structural positives that improve earnings quality over time. PYMNTS: B2B momentum
• Negative Sentiment: Sales fell 3.8% Y/Y and management flagged a “frozen” housing market and customers delaying big projects; that weak top-line trend and margin headwinds limit upside. MarketBeat: Sales decline & metrics
• Negative Sentiment: CEO Ted Decker warned customers aren’t investing amid affordability/job worries — a cautionary tone that increases recession/consumer-risk concern for investors. Fortune: CEO warns on customer behavior
• Negative Sentiment: Some analysts and commentators question HD’s premium valuation and urge caution (mixed-quarter narrative — beat on EPS but weaker sales/growth), which may cap multiple expansion. Seeking Alpha: valuation concerns
• Negative Sentiment: High-profile commentators (e.g., Cramer) advised not to buy immediately despite long-term potential, adding short-term selling pressure for some traders. Invezz: Cramer commentary

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.