Home Depot (HD) closed the most recent trading day at $397.02, moving -2.02% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 0.34%. On the other hand, the Dow registered a gain of 0.09%, and the technology-centric Nasdaq increased by 0.42%.
Prior to today's trading, shares of the home-improvement retailer had lost 0.28% lagged the Retail-Wholesale sector's gain of 0.41% and the S&P 500's gain of 3.54%.
Analysts and investors alike will be keeping a close eye on the performance of Home Depot in its upcoming earnings disclosure. The company's earnings report is set to go public on November 18, 2025. On that day, Home Depot is projected to report earnings of $3.85 per share, which would represent year-over-year growth of 1.85%. Meanwhile, our latest consensus estimate is calling for revenue of $41.09 billion, up 2.18% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $15.03 per share and a revenue of $164.16 billion, indicating changes of -1.38% and +2.91%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Home Depot. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.01% decrease. Home Depot currently has a Zacks Rank of #3 (Hold).
With respect to valuation, Home Depot is currently being traded at a Forward P/E ratio of 26.97. This indicates a premium in contrast to its industry's Forward P/E of 22.85.
It's also important to note that HD currently trades at a PEG ratio of 3.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. HD's industry had an average PEG ratio of 2.74 as of yesterday's close.
The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 171, finds itself in the bottom 31% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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The Home Depot, Inc. (HD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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