What Should You know About Home Depot (HD) Before Investing?

Home Depot moved -2.52% this aftermarket session, trading between a high of $299.13 and a low of $290.42 per share. Yesterday the stock finished at $298.45 per share, compared to an average analyst target price of $327.25.

The Home Depot, Inc., commonly known as Home Depot, is the largest home improvement retailer in the United States, supplying tools, construction products, and services. The large-cap home improvement retail company is based in the United States, and over the last twelve months it has returned a dividend yield of 2.87%. Home Depot has trailing twelve months earnings per share (EPS) of 17.13, which at today's prices amounts to a price to earnings (P/E) ratio of 16.97.

Based on its expected future earnings growth, the company has a price to earnings growth (PEG) ratio of 1.722. Usually a PEG ratio between zero and one indicates a potentially undervalued company.

Here's an overview of the company's gross margins in recent years:

Date Reported Revenue (k) Cost of Revenue (k) Gross Margin YoY Growth
2022-01-30 $151,157,000 $100,325,000 33.63% -0.94%
2021-01-31 $132,110,000 $87,257,000 33.95% -0.41%
2020-02-02 $110,225,000 $72,653,000 34.09% -0.73%
2019-02-03 $108,203,000 $71,043,000 34.34% 0.85%
2018-01-28 $100,904,000 $66,548,000 34.05% n/a
The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.