
Home Depot (HD) Stock Forecast & Price Target
Home Depot (HD) Analyst Ratings
Bulls say
Home Depot's outlook remains positive due to several key factors, including an increase in the total addressable market (TAM) now pegged at $1.2 trillion after the inclusion of the HVAC industry, which demonstrates significant growth potential within the sector. The company's strategic acquisitions, such as GMS and its partnerships with SRS and HD Supply, are expected to enhance market share and boost product sales through expanded distribution channels, further solidifying Home Depot's position in the MRO space. Additionally, rising home values and an optimistic forecast for existing home sales suggest that homeowners may increasingly invest in home improvement projects, driving demand for the company's offerings and supporting enhanced earnings potential.
Bears say
Home Depot's fourth-quarter 2025 results revealed a 3.8% decline in sales to $38.2 billion, with comparable sales growth significantly underperforming estimates, indicating weaker demand in the home improvement sector. Adjusted operating margins contracted approximately 10 basis points to 13.0%, alongside a gross margin contraction of 19 basis points to 32.6%, highlighting efficiency and profitability challenges. Additionally, elevated mortgage rates and high home prices continue to suppress housing affordability, contributing to a lack of catalysts for improved sales performance moving forward.
This aggregate rating is based on analysts' research of Home Depot and is not a guaranteed prediction by Public.com or investment advice.
Home Depot (HD) Analyst Forecast & Price Prediction
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