Home Depot (HD) closed at $354.11 in the latest trading session, marking a -0.87% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 0.17%. On the other hand, the Dow registered a loss of 0.39%, and the technology-centric Nasdaq decreased by 0.05%.

Shares of the home-improvement retailer have appreciated by 0.87% over the course of the past month, outperforming the Retail-Wholesale sector's loss of 2.42% and the S&P 500's loss of 3.94%.

Market participants will be closely following the financial results of Home Depot in its upcoming release. The company plans to announce its earnings on May 20, 2025. The company is forecasted to report an EPS of $3.59, showcasing a 1.1% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $39.3 billion, up 7.9% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $14.98 per share and revenue of $163.8 billion, indicating changes of -1.71% and +2.69%, respectively, compared to the previous year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Home Depot. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Home Depot presently features a Zacks Rank of #3 (Hold).

In terms of valuation, Home Depot is presently being traded at a Forward P/E ratio of 23.85. This denotes a premium relative to the industry's average Forward P/E of 18.25.

One should further note that HD currently holds a PEG ratio of 3.38. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Retail - Home Furnishings industry stood at 2.01 at the close of the market yesterday.

The Retail - Home Furnishings industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 215, positioning it in the bottom 14% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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The Home Depot, Inc. (HD) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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