Wedbush Issues Pessimistic Forecast for Home Depot Earnings

The Home Depot, Inc. (NYSE:HD) – Analysts at Wedbush dropped their Q1 2026 earnings per share (EPS) estimates for shares of Home Depot in a research note issued to investors on Tuesday, February 25th. Wedbush analyst S. Basham now expects that the home improvement retailer will earn $3.44 per share for the quarter, down from their previous forecast of $3.56. Wedbush has a “Outperform” rating and a $440.00 price objective on the stock. The consensus estimate for Home Depot’s current full-year earnings is $15.13 per share. Wedbush also issued estimates for Home Depot’s Q2 2026 earnings at $4.50 EPS, Q3 2026 earnings at $3.81 EPS and FY2028 earnings at $17.69 EPS.

Home Depot (NYSE:HD) last posted its earnings results on Tuesday, February 25th. The home improvement retailer reported $3.13 EPS for the quarter, beating analysts’ consensus estimates of $3.04 by $0.09. The firm had revenue of $39.70 billion during the quarter, compared to the consensus estimate of $39.15 billion. Home Depot had a return on equity of 452.60% and a net margin of 9.45%. The company’s quarterly revenue was up 14.1% compared to the same quarter last year. During the same period in the prior year, the company earned $2.82 EPS.

Several other research firms have also weighed in on HD. Telsey Advisory Group restated an “outperform” rating and set a $455.00 price target on shares of Home Depot in a report on Wednesday. Guggenheim restated a “buy” rating and set a $450.00 price target on shares of Home Depot in a report on Wednesday. HSBC upgraded Home Depot from a “reduce” rating to a “hold” rating and increased their target price for the stock from $356.00 to $410.00 in a research note on Wednesday. Mizuho increased their target price on Home Depot from $435.00 to $440.00 and gave the stock an “outperform” rating in a research note on Wednesday, November 13th. Finally, Barclays increased their target price on Home Depot from $372.00 to $420.00 and gave the stock an “overweight” rating in a research note on Tuesday, November 5th. Nine equities research analysts have rated the stock with a hold rating and twenty-two have issued a buy rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $436.50.

Home Depot Stock Performance

NYSE:HD opened at $390.40 on Thursday. The stock’s fifty day moving average is $401.17 and its 200 day moving average is $398.42. Home Depot has a fifty-two week low of $323.77 and a fifty-two week high of $439.37. The firm has a market capitalization of $387.81 billion, a PE ratio of 26.52, a PEG ratio of 4.03 and a beta of 1.05. The company has a debt-to-equity ratio of 8.65, a quick ratio of 0.31 and a current ratio of 1.13.

Hedge Funds Weigh In On Home Depot

Several hedge funds have recently bought and sold shares of the company. Synergy Asset Management LLC acquired a new stake in shares of Home Depot during the 4th quarter worth about $26,000. Wingate Wealth Advisors Inc. purchased a new position in Home Depot during the 4th quarter worth approximately $28,000. Navigoe LLC purchased a new position in shares of Home Depot in the 4th quarter valued at approximately $29,000. Bradley & Co. Private Wealth Management LLC purchased a new position in shares of Home Depot in the 4th quarter valued at approximately $32,000. Finally, Quarry LP grew its stake in shares of Home Depot by 220.0% in the 4th quarter. Quarry LP now owns 96 shares of the home improvement retailer’s stock valued at $37,000 after purchasing an additional 66 shares during the last quarter. Institutional investors and hedge funds own 70.86% of the company’s stock.

Home Depot Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, March 27th. Stockholders of record on Thursday, March 13th will be issued a dividend of $2.30 per share. The ex-dividend date is Thursday, March 13th. This is a boost from Home Depot’s previous quarterly dividend of $2.25. This represents a $9.20 dividend on an annualized basis and a dividend yield of 2.36%. Home Depot’s dividend payout ratio is currently 61.14%.

Home Depot Company Profile

The Home Depot, Inc operates as a home improvement retailer in the United States and internationally. It sells various building materials, home improvement products, lawn and garden products, and décor products, as well as facilities maintenance, repair, and operations products. The company also offers installation services for flooring, water heaters, bath, garage doors, cabinets, cabinet makeovers, countertops, sheds, furnaces and central air systems, and windows.