Home Depot Sees Unusually High Options Volume (NYSE:HD)

The Home Depot, Inc. (NYSE:HD) saw some unusual options trading on Thursday. Stock traders bought 57,026 put options on the company. This is an increase of approximately 71% compared to the typical volume of 33,335 put options.

Key Home Depot News

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

• Positive Sentiment: Investors expect a White House housing initiative to boost homebuilding and repair activity, which should lift demand for Home Depot’s products and services. Trump Housing Plan Sends Home Depot Stock Higher
• Positive Sentiment: Large call buying occurred today (46,130 calls, ~37% above typical volume), indicating speculative or hedged bullish positioning that can amplify upside near term.
• Positive Sentiment: Prominent TV commentary favors HD as a housing/play (Jim Cramer preferring Home Depot), which can drive retail flows and sentiment. Jim Cramer Prefers Home Depot Over Fortune Brands as a Housing Play
• Positive Sentiment: A vendor-related issue (Kurt Weiss Greenhouses) drew attention but the company’s response was viewed positively by some outlets, removing a near-term reputational overhang. Home Depot Stock Surges With Kurt Weiss Greenhouses Response
• Neutral Sentiment: Broader market strength (Dow gains) has supported HD alongside other large-cap consumer names, a technical tailwind rather than company-specific news. Nike, Home Depot share gains contribute to Dow’s nearly 225-point jump
• Neutral Sentiment: Investor interest metrics and analyst/valuation write-ups are getting attention, but they largely summarize mixed fundamentals (recent EPS miss vs. solid revenue) rather than new catalysts. Assessing Home Depot (HD) Valuation After Recent Mixed Share Price Performance Investors Heavily Search The Home Depot, Inc. (HD)
• Negative Sentiment: Earlier unusual put buying (57,026 puts) indicates some market participants taking or hedging for downside risk—this raises near-term volatility risk.
• Negative Sentiment: A Pomerantz law firm investigation notice was filed, signaling potential shareholder litigation risk that can weigh on sentiment until resolved. Pomerantz Law Firm Investigates Claims On Behalf of Investors of The Home Depot, Inc.

Home Depot Stock Performance

NYSE HD opened at $374.67 on Friday. 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. The business has a fifty day moving average of $354.54 and a 200-day moving average of $377.63. The stock has a market cap of $372.98 billion, a price-to-earnings ratio of 25.54, a price-to-earnings-growth ratio of 13.40 and a beta of 1.08.

Home Depot (NYSE:HD) last posted its quarterly earnings data on Tuesday, November 18th. The home improvement retailer reported $3.74 EPS for the quarter, missing analysts’ consensus estimates of $3.83 by ($0.09). The company had revenue of $41.35 billion for the quarter, compared to analysts’ expectations of $41.06 billion. Home Depot had a return on equity of 160.74% and a net margin of 8.77%.The company’s revenue for the quarter was up 2.8% compared to the same quarter last year. During the same quarter in the prior year, the business posted $3.78 EPS. Home Depot has set its FY 2025 guidance at 14.478-14.478 EPS. As a group, analysts predict that Home Depot will post 15.13 earnings per share for the current fiscal year.

Home Depot Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, December 18th. Stockholders of record on Thursday, December 4th were given a $2.30 dividend. This represents a $9.20 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date of this dividend was Thursday, December 4th. Home Depot’s payout ratio is currently 62.71%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on HD shares. HSBC reduced their price target on shares of Home Depot from $445.00 to $400.00 and set a “hold” rating for the company in a research report on Wednesday, November 19th. TD Cowen reduced their price objective on Home Depot from $470.00 to $410.00 and set a “buy” rating for the company in a report on Wednesday, November 19th. Wall Street Zen lowered Home Depot from a “hold” rating to a “sell” rating in a report on Friday, November 28th. Robert W. Baird dropped their price target on Home Depot from $450.00 to $415.00 and set an “outperform” rating for the company in a research report on Wednesday, November 19th. Finally, Citigroup cut their price target on Home Depot from $422.00 to $407.00 and set a “buy” rating for the company in a research note on Friday, November 21st. Twenty-one research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, Home Depot currently has an average rating of “Moderate Buy” and a consensus target price of $402.10.

Insiders Place Their Bets

In other news, EVP Teresa Wynn Roseborough sold 2,872 shares of the company’s 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 transaction, the executive vice president directly owned 13,196 shares of the company’s stock, valued at $4,599,069.92. This represents a 17.87% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Ann Marie Campbell sold 145 shares of the stock in a transaction dated Thursday, December 11th. The shares were sold at an average price of $358.26, for a total transaction of $51,947.70. Following the completion of the transaction, the executive vice president owned 12,320 shares of the company’s stock, valued at $4,413,763.20. This represents a 1.16% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 4,963 shares of company stock worth $1,748,845. Corporate insiders own 0.10% of the company’s stock.

Institutional Trading of Home Depot

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Centerpoint Advisory Group increased its stake in Home Depot by 0.8% in the second quarter. Centerpoint Advisory Group now owns 3,163 shares of the home improvement retailer’s stock valued at $1,160,000 after purchasing an additional 26 shares during the last quarter. Disciplined Investors L.L.C. grew its holdings in Home Depot by 2.3% in the 2nd quarter. Disciplined Investors L.L.C. now owns 1,178 shares of the home improvement retailer’s stock valued at $432,000 after buying an additional 26 shares during the period. Brio Consultants LLC increased its stake in shares of Home Depot by 4.7% during the 2nd quarter. Brio Consultants LLC now owns 574 shares of the home improvement retailer’s stock valued at $210,000 after acquiring an additional 26 shares during the last quarter. Emprise Bank increased its stake in shares of Home Depot by 0.8% during the 3rd quarter. Emprise Bank now owns 3,135 shares of the home improvement retailer’s stock valued at $1,270,000 after acquiring an additional 26 shares during the last quarter. Finally, Stegent Equity Advisors Inc. lifted its holdings in shares of Home Depot by 2.7% during the 3rd quarter. Stegent Equity Advisors Inc. now owns 1,006 shares of the home improvement retailer’s stock worth $408,000 after acquiring an additional 26 shares during the period. 70.86% of the stock is owned by hedge funds and other institutional investors.

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.