Home Depot Buy or Sell Recommendation

Macroaxis provides The Home Depot Inc buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Home Depot positions. The advice algorithm takes into account all of The Home Depot Inc available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from Home Depot buy-and-hold prospective. Please also check Home Depot Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus

Investment Horizon

  

Risk Tolerance

  
Symbol
Execute Advice
The Home Depot Inc -- USA Stock  

USD 167.5  0.24  0.14%

Allowing for the 30-days total investment horizon, and your above average risk tolerance our recommendation regarding The Home Depot Inc is 'Strong Buy'.
For the selected time horizon The Home Depot Inc has a risk adjusted performance of 0.0638, jensen alpha of 0.0957, total risk alpha of 0.0543, sortino ratio of 0.0889 and treynor ratio of 0.1582
Macroaxis provides buy, hold, or sell recommendation on Home Depot to complement and cross-verify current analyst consensus on The Home Depot. Our buy or sell recommendations engine determines the entity potential to grow exclusively from the prospective of investors current risk tolerance and investing horizon. To make sure The Home Depot Inc is not overpriced, please check out all Home Depot fundamentals including its Shares Outstanding, Price to Sales, Cash per Share, as well as the relationship between Number of Shares Shorted and EBITDA . Given that The Home Depot has Price to Earning of 24.14 times, we strongly advise you confirm The Home Depot market performance and probability of bankruptcy to make sure the company can sustain itself in the current economic cycle given your regular risk tolerance and investing horizon.

Returns Distribution Density

Mean Return0.13Value At Risk1.54
Potential Upside1.23Standard Deviation0.84
 Return Density 
      Distribution 

Institutional Investors

Security TypeSharesValue
Vanguard Group IncCommon Shares80.6 M13.2 B
Blackrock IncCommon Shares73.6 M12 B
Capital World InvestorsCommon Shares69.4 M11.4 B
State Street CorpCommon Shares52.6 M8.6 B
Fmr LlcCommon Shares30.5 M5 B
Bank Of America CorpCommon Shares21 M3.4 B
Jpmorgan Chase CoCommon Shares20.7 M3.4 B

Home Depot Greeks

α
Alpha over DOW
=0.095719
βBeta against DOW=0.74
σ
Overall volatility
=0.84
 IrInformation ratio =0.1

Home Depot Volatility Alert

The Home Depot Inc has low volatility with Treynor Ratio of 0.16, Maximum Drawdown of 3.18 and kurtosis of 0.12. However, we advice all investors to further analyze The Home Depot Inc to make certain all market information is desiminated and is consistent with the current expectations about Home Depot upside potential.
    
 Better Than Average     
    
 Worse Than Average Compare Home Depot to competition
FundamentalsHome DepotPeer Average
Return On Equity164.51 % (15.17) %
Return On Asset19.48 % (15.64) %
Profit Margin8.63 % (5.5) %
Operating Margin14.44 % (10.91) %
Current Valuation217.87 B152.14 B
Shares Outstanding1.18 B1.43 B
Shares Owned by Insiders0.11 % 6.91 %
Shares Owned by Institutions71.54 % 18.37 %
Number of Shares Shorted13.3 M3.24 M
Price to Earning24.14 times40.69 times
Price to Book55.75 times14.44 times
Price to Sales2.03 times17.81 times
Revenue97.36 B9.85 B
Gross Profit32.31 B21.75 B
EBITDA16.07 B1.41 B
Net Income8.4 B517.71 M
Cash and Equivalents4.83 B3.89 B
Cash per Share4.1 times5.17 times
Total Debt24.97 B7.36 B
Debt to Equity702.5 % 0.72 %
Current Ratio1.3 times3.3 times
Book Value Per Share3.01 times13.64 times
Cash Flow from Operations10.77 B1.25 B
Short Ratio2.87 times2.09 times
Earnings Per Share6.95 times2.3 times
Price to Earnings To Growth1.75 times1.22 times
Number of Employees385 K10.67 K
Beta0.950.34
Market Capitalization197.74 B29.78 B
Total Asset41.97 B126.86 B
Retained Earnings30.97 B38.24 B
Working Capital3.96 B3.58 B
Current Asset16.48 B36.8 B
SellBuy
Strong Buy

Volatility

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

   Acquisition by J Brown of 1746 shares of Home Depot subject to Rule 16b-3 [view details]
Risk Adjusted Performance0.0638
Market Risk Adjusted Performance0.1682
Mean Deviation0.6318
Semi Deviation0.7427
Downside Deviation0.9927
Coefficient Of Variation663.45
Standard Deviation0.8431
Variance0.7109
Information Ratio0.1046
Jensen Alpha0.0957
Total Risk Alpha0.0543
Sortino Ratio0.0889
Treynor Ratio0.1582
Maximum Drawdown3.18
Value At Risk(1.54)
Potential Upside1.23
Downside Variance0.9855
Semi Variance0.5516
Expected Short fall(0.65)
Skewness(0.51)
Kurtosis0.1227

Current Valuation

Home Depot Current Valuation Analysis
The Home Depot Inc is rated # 2 in current valuation category among related companies. After adjusting for long-term liabilities, total market size of Diversified Wholesale And Retail industry is currently estimated at about 507.96 Billion. Home Depot totals roughly 217.87 Billion in current valuation claiming about 43% of equities under Diversified Wholesale And Retail industry.