Morgan Stanley Forecasts Strong Price Appreciation for Home Depot (NYSE:HD) Stock

Posted by Defense World Staff on Feb 27th, 2026

Home Depot (NYSE:HD – Get Free Report) had its target price boosted by investment analysts at Morgan Stanley from $412.00 to $420.00 in a research note issued to investors on Wednesday, MarketBeat.com reports. The brokerage currently has an “overweight” rating on the home improvement retailer’s stock. Morgan Stanley’s price objective suggests a potential upside of 11.99% from the company’s current price.

A number of other equities analysts also recently issued reports on HD. HSBC lowered their price target on Home Depot from $445.00 to $400.00 and set a “hold” rating for the company in a report on Wednesday, November 19th. Truist Financial set a $424.00 price objective on shares of Home Depot in a research report on Tuesday. Wolfe Research upped their target price on shares of Home Depot from $413.00 to $414.00 and gave the company an “outperform” rating in a report on Wednesday. KGI Securities downgraded shares of Home Depot from an “outperform” rating to a “hold” rating and set a $320.00 target price on the stock. in a research report on Wednesday, November 19th. Finally, BNP Paribas Exane lifted their price target on shares of Home Depot from $353.00 to $355.00 and gave the stock a “neutral” rating in a research note on Friday, December 5th. Twenty analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $416.00.

Check Out Our Latest Stock Analysis on HD

Home Depot Stock Performance

NYSE:HD opened at $375.02 on Wednesday. Home Depot has a 12 month low of $326.31 and a 12 month high of $426.75. The company has a debt-to-equity ratio of 3.62, a current ratio of 1.06 and a quick ratio of 0.29. The firm has a market capitalization of $373.34 billion, a PE ratio of 26.35, a price-to-earnings-growth ratio of 13.49 and a beta of 1.08. The business’s fifty day moving average price is $371.05 and its 200 day moving average price is $380.05.

Home Depot (NYSE:HD – Get Free Report) last announced its quarterly earnings results on Tuesday, February 24th. The home improvement retailer reported $2.72 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.52 by $0.20. Home Depot had a return on equity of 134.32% and a net margin of 8.60%.The company had revenue of $38.20 billion during the quarter, compared to the consensus estimate of $38.01 billion. During the same period in the previous year, the business earned $3.13 EPS. Home Depot’s revenue for the quarter was down 3.8% on a year-over-year basis. Home Depot has set its FY 2026 guidance at 14.230-14.799 EPS. On average, sell-side analysts anticipate that Home Depot will post 15.13 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, EVP Angie Brown sold 1,946 shares of the company’s stock in a transaction dated Friday, December 12th. The shares were sold at an average price of $357.63, for a total value of $695,947.98. Following the completion of the sale, the executive vice president directly owned 3,941 shares of the company’s stock, valued at approximately $1,409,419.83. This represents a 33.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Ann Marie Campbell sold 145 shares of the stock in a transaction dated Thursday, December 11th. The stock was sold at an average price of $358.26, for a total transaction of $51,947.70. Following the sale, the executive vice president owned 12,320 shares of the company’s stock, valued at $4,413,763.20. This trade represents a 1.16% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 4,963 shares of company stock worth $1,748,845 in the last 90 days. Company insiders own 0.10% of the company’s stock.

Institutional Trading of Home Depot

Several institutional investors and hedge funds have recently added to or reduced their stakes in HD. Vanguard Group Inc. raised its stake in shares of Home Depot by 1.3% during the fourth quarter. Vanguard Group Inc. now owns 99,635,779 shares of the home improvement retailer’s stock worth $34,284,672,000 after purchasing an additional 1,325,748 shares during the last quarter. State Street Corp grew its position in Home Depot by 1.8% in the 4th quarter. State Street Corp now owns 46,925,342 shares of the home improvement retailer’s stock valued at $16,147,010,000 after buying an additional 825,164 shares during the last quarter. Geode Capital Management LLC increased its stake in Home Depot by 1.5% in the 4th quarter. Geode Capital Management LLC now owns 23,756,142 shares of the home improvement retailer’s stock valued at $8,151,344,000 after buying an additional 343,153 shares during the period. Bank of America Corp DE raised its position in Home Depot by 5.6% during the 4th quarter. Bank of America Corp DE now owns 16,063,532 shares of the home improvement retailer’s stock worth $5,527,461,000 after buying an additional 851,029 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. raised its position in Home Depot by 7.8% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 15,471,132 shares of the home improvement retailer’s stock worth $5,323,620,000 after buying an additional 1,113,114 shares during the last quarter. 70.86% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Home Depot

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

Positive Sentiment: Q4 results beat consensus and Pro momentum: Home Depot topped Q4 estimates on EPS and emphasized that Pro/commercial customers are sustaining sales even as DIY demand softens. Home Depot shares rise as quarterly earnings clear a cautious Wall Street bar
Positive Sentiment: Pro ecosystem resilience: industry coverage highlights Home Depot’s expanding Pro-focused services and SRS integration as a durable revenue source versus cyclical homeowner spending. Home Depot’s Pro Ecosystem Shows Resilience in Soft Market
Positive Sentiment: Dividend increase and falling short interest add support: the board raised the quarterly payout (small raise) and short interest dropped, removing some downside pressure from forced covering. (Company release / market data)
Neutral Sentiment: Analyst reactions are mixed-but-lean-bullish: many firms raised price targets and some upgraded ratings after the quarter, giving the stock a valuation tailwind even as others remain cautious. UBS Group Issues Positive Forecast for Home Depot (NYSE:HD) Stock Price
Neutral Sentiment: Retail-sector context: broader retail earnings trends show mixed signals—Home Depot anchors a stronger retail print, but sustaining that momentum into 2026 depends on housing and rates. Zacks Earnings Trends Highlights: Walmart, Home Depot and Amazon
Negative Sentiment: Guidance and sector jitters from peers: cautious forward commentary (including from Lowe’s) revived worries that high rates and low housing turnover will keep large discretionary projects muted—a key reason for recent selling pressure. Home Depot slides 3.2% as home-improvement outlook jitters return after rival’s cautious guidance
Negative Sentiment: Management tone and consumer caution: CEO comments that some customers “are not investing” underscore persistent affordability headwinds that could limit a quick recovery in big-ticket remodeling. Home Depot CEO flags a disconcerting lack of faith in the American economy
Negative Sentiment: Short-term sentiment noise: media/TV commentary (e.g., Jim Cramer) and profit-taking after the earnings pop have amplified intraday selling despite the beat—a behavioral factor rather than new fundamentals. Jim Cramer Wonders Why People Are Selling Home Depot (HD) Shares

About Home Depot

(Get Free Report)

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.