The Home Depot, Inc. Website

The Home Depot, Inc.

NYSE-HD

Company Overview

The Home Depot, Inc. operates as a home improvement retailer. It operates The Home Depot stores that sell 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, cabinets and cabinet makeovers, countertops, furnaces and central air systems, and windows. In addition, it provides tool and equipment rental services. The company primarily serves homeowners; and professional renovators/remodelers, general contractors, maintenance professionals, handymen, property managers, building service contractors, and specialty tradesmen, such as electricians, plumbers, and painters. It also sells its products through websites, including homedepot.com; blinds.com, an online site for custom window coverings; and thecompanystore.com, an online site for textiles and décor products. As of December 31, 2021, the company operated 2,317 stores in the United States. The Home Depot, Inc. was incorporated in 1978 and is based in Atlanta, Georgia.

  • Name

    The Home Depot, Inc.

  • CEO

    Edward Decker

  • Website

    www.homedepot.com

  • Sector

    Specialty Retail

  • Year Founded

    1978

Company Statistics

Profile

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Bulls Say

  • Home Depot's continued investments in supply chain and merchandising should improve productivity and support its leadership position in the home improvement market.

  • The firm has returned $73 billion to its shareholders through dividends and share buybacks over the past five years, around 20% of its market cap. We forecast Home Depot returning $76 billion to owners over the next five years.

  • The addressable MRO market is about $150 billion. As Interline and HD Supply make up a low-double-digit share, SRS reaches a new end user, and GMS joins the mix, there is share up for grabs.

Bears Say

  • Weak consumer spending, higher interest rates, or an economic downturn could hinder sales for home improvement projects and affect Home Depot's growth.

  • IT and supply chain improvement gains could prove more challenging to achieve, as simpler efforts have already bore fruit. Further productivity efforts could face some implementation risks, creating inconsistent profitability.

  • As Home Depot digests more than one sizable acquisition, integration risk remains, and management could be distracted by idiosyncratic issues at larger tie-ups like SRS or GMS.

Source: Morningstar Analysis - Nov 18, 2025

What's happening

Nov 5, 2025 - Dec 5, 2025

Home Depot Faces Significant Challenges Amidst Market Decline

  • Home Depot Inc's third-quarter earnings report led to a downward revision in guidance for fiscal year 2025.
  • Analysts have responded negatively, with multiple firms lowering their price targets for the stock.
  • Investor sentiment remains bearish due to ongoing consumer uncertainty and competitive pressures from rivals like Lowe's.

Over the past month, Home Depot Inc (HD) experienced a notable decline of 6.6%, significantly underperforming against the S&P 500’s gain of 1.3%. The downturn followed its third-quarter earnings report on November 18, which revealed adjusted earnings per share (EPS) of $3.74—falling short of expectations and prompting a downward revision in guidance for fiscal year 2025. This disappointing performance was largely attributed to reduced demand amid ongoing consumer uncertainty and an absence of storm activity that typically boosts sales in home improvement.

Analysts reacted negatively to these results, leading several firms to lower their price targets for HD after the earnings miss. Telsey cut its target from $455 to $430, while Wells Fargo reduced theirs from $435 to $400. These downgrades reflected broader concerns about Home Depot’s market position as it struggled against competitors like Lowe's, which exhibited relatively better performance metrics during this period.

Investor sentiment remained bearish throughout much of November due to persistent challenges facing the company, including political scrutiny related to immigration issues that could impact consumer perception and spending behavior during critical shopping seasons such as holidays. Social media discussions further highlighted investor worries regarding declining comparable sales figures and weak demand within the home improvement sector.

Despite some positive movements linked to marketing initiatives aimed at countering boycott efforts, these were overshadowed by negative trends including analyst downgrades and disappointing financial forecasts dominating headlines throughout the month. Additionally, strategic investments in community support programs did little to alleviate investor concerns about core business performance amidst increasing competition.

Home Depot Inc underperformed not only relative to broader market indices but also compared with other companies within its sector; specifically noting that it lagged behind Consumer Discretionary (XLY) sector benchmarks by -6.6%.

NYSE:HD