The Home Depot Receives “Outperform” Rating from Raymond James (HD)
The Home Depot (NYSE:HD)‘s stock had its “outperform” rating restated by research analysts at Raymond James in a report released on Wednesday. They currently have a $91.00 price target on the stock, up from their previous price target of $85.50. Raymond James’ price target points to a potential upside of 3.14% from the stock’s previous close.
The analysts wrote, “We reaffirm our Outperform rating on HD and increase our target price to $91 following the company’s F2Q14 earnings release and management conference call. Headline results (sales and adjusted EPS) beat expectations driven by a rebound in the seasonal business and strong results in the maintenance and repair, professional, and service segments. Management delivered a higher than forecast gross margin while also posting a lower than modeled SG&A expense, thereby contributing to higher than estimated operating earnings. “The Home Depot continues to make progress integrating physical and digital retail and this quarter roughly one third of online sales originated in a store with the assistance of an associate. The company is now rolling out its next generation First Phone, a handheld device that allows associates to assist customers with questions, place online orders, and even complete the checkout process in the aisle. Management continues to invest in technology to improve productivity and enhance the customer experience while continuing to return capital to shareholders (the company returned roughly $2.8 billion to shareholders during the quarter through dividends and share repurchases). We remain Outperform rated on the stock, though valuation is reaching the upper end of what we judge as fair value.”
A number of other analysts have also recently weighed in on HD. Analysts at Telsey Advisory Group reiterated a “” rating on shares of The Home Depot in a research note on Wednesday. They now have a $92.00 price target on the stock. Separately, analysts at Argus raised their price target on shares of The Home Depot from $95.00 to $100.00 in a research note on Wednesday. They now have a “buy” rating on the stock. Finally, analysts at Barclays raised their price target on shares of The Home Depot from $95.00 to $100.00 in a research note on Wednesday. One analyst has rated the stock with a sell rating, five have issued a hold rating and twelve have assigned a buy rating to the company. The stock presently has an average rating of “Buy” and an average price target of $89.90.
The Home Depot (NYSE:HD) traded up 1.96% during mid-day trading on Wednesday, hitting $89.9605. 5,248,473 shares of the company’s stock traded hands. The Home Depot has a 52-week low of $72.21 and a 52-week high of $88.99. The stock has a 50-day moving average of $81.30 and a 200-day moving average of $79.56. The company has a market cap of $123.0 billion and a P/E ratio of 22.43. The Home Depot also saw some unusual options trading activity on Monday. Investors purchased 23,735 put options on the stock. This is an increase of approximately 250% compared to the average volume of 6,773 put options.
The Home Depot (NYSE:HD) last announced its earnings results on Tuesday, August 19th. The company reported $1.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.45 by $0.07. The company had revenue of $23.80 billion for the quarter, compared to the consensus estimate of $23.61 billion. During the same quarter in the previous year, the company posted $1.24 earnings per share. The company’s revenue for the quarter was up 5.7% on a year-over-year basis. On average, analysts predict that The Home Depot will post $4.46 earnings per share for the current fiscal year.
The Home Depot, Inc (NYSE:HD) is a home improvement retailer.
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