[Updated: 11/24/21] Home Depot inventory update
Home Depot (NYSE: HD) I recently reported on the third quarter report. In this report, revenue was inline and revenue was higher than expected. The company’s revenue is $ 36.8 billion, 6% above the consensus estimate of $ 34.7 billion. Renovation retailers earned $ 3.92 per share, with a consensus of $ 3.37 and Trefis’ estimate of $ 3.30. Home Depot revenue increased 10% year-over-year, but total same-store sales increased 6.16% in the third quarter, breaking consensus expectations of a 2.2% increase. In addition to this, comparable sales in the United States increased 5.5%, compared to a consensus of + 0.9%. Home Depot customers improved their spending habits when they visited stores during the quarter when average tickets increased by 12.9% to $ 82.38. However, the total number of retailers’ transactions was 428.2 million, down 5.5% year-on-year. In conclusion, the company’s net income was $ 4.13 billion, up 20.3% year-on-year. It should be noted that unlike many companies in the retail sector, Home Depot did not dramatically emphasize supply chain and labor headwinds.
We have updated the model following the third quarter release. We currently forecast full-year 2021 sales of $ 150.5 billion, up 14% year-on-year. This is in comparison to the previous forecast of 9% year-on-year growth. Looking at revenue, EPS is projected to be $ 15.57 compared to the previous estimate of $ 14.30. So far in 2021, Home Depot has more sales from professional customers than DIY customers, and this trend is expected to continue during the holiday season. Due to changes in revenue and revenue forecasts Home Depot Ratings Based on the 2021 forecast EPS of $ 15.57 and a price-earnings ratio of 26.4 times, the price is $ 410 per share, which is in close agreement with the current market price. We believe that the company’s stock price is fairly high at current levels.
[Updated: 11/12/21] Home Depot Q3 Advance Earnings
The Home Depot (NYSE: HD) will announce its third quarter financial results on Tuesday, November 16th. The company’s share price could fall as earnings and earnings are lower than market expectations. In the next quarter, the risks associated with increased outbreaks of delta variants can increase costs in terms of hygiene, supply chain, and labor. This could result in a slight burst of third-quarter net income. Our forecast is that the Home Depot is valued at $ 348 per share, 5% lower than the current market price.See our interactive dashboard analysis Home Depot Advance Revenue: What do you expect from Q3? For more information.
(1) Revenue is expected to be slightly below the consensus estimate
Trefis estimates Home Depot’s third-quarter 2021 revenue of approximately $ 33.6 billion, just below the consensus estimate of $ 34.7 billion. Home Depot’s second-quarter revenue was $ 41.1 billion, up 8% year-over-year, while same-store sales of 4.5% were 5.6% due to the low number of visitors to buy products from the DIY project. I missed the consensus. .. Retailers reported a 5.8% year-on-year decrease in customer transactions, but an average ticket increase of 11.3%. Also note that the company’s equivalent sales in the US grew by only 3.4% (below the consensus estimate of 4.9%), well below the 30% in the first quarter. please. However, the company’s US comps outpaced a 2% drop in rival Lowe for comparable comps over the same period. The Home Depot expects professional customers to outperform DIY customers in the first half and this trend to continue in the second half.
Currently, Home Depot revenue is projected to grow 9% year-on-year to $ 144.3 billion for the full year 2021. Looking at revenue, EPS is projected to be $ 14.30. Due to uncertainty about Covid’s pandemic, the company did not provide an outlook.
2) EPS that is likely to slightly miss a consensus estimate
Home Depot’s third-quarter 2021 earnings per share are expected to be $ 3.30 per Trefis analysis, slightly below the consensus estimate of $ 3.37. The company’s operating profit margin in the second quarter was astonishing at 16.1% in sales, up from 15.9% in the same period last year. EPS during this period was $ 4.53, up 13% year-on-year.
(3) Stock price is estimated to be slightly lower than the current market price
Go by us Home Depot RatingsThe 2021 EPS estimate is about $ 14.30 and the price-earnings ratio is 24.4 times, which is equivalent to the price of 348, which is 5% lower than the current market price.
For further comparison between peer groups, it is useful to see how they stack. HD inventory comparisons with peers show how Home Depot compares important metrics to peers.
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