Table of Contents :
• Stock Rating & Target Price
• Investment Thesis
• Fundamental Models Used
• Company Description
• Corporate Timeline
• Key Metrics (KPI ) and Recently Reported Earnings Review
• Business Highlights, Strategic Announcements & Outlook
• Quarter-over-Quarter (Q-o-Q) and Year-over-Year (Y-o-Y) Growth Analysis
• Key Catalysts Driving Growth
• Historical Financial Statement Analysis & CAGR Trends
• Quarterly Key Financial Ratios and Performance Metrics
• Annual Financial Performance Analysis: Horizontal and Vertical Financial Analysis, Trends
• Financial Forecasts
• Annual Forecasts: Income Statement
• Annual Forecasts: Cash Flow Statements
• Net Debt Levels
• A Closer Look at DCF: Our Assumptions and Methodology
• Terminal Value Calculation
• Target Price Analysis
• Valuation Multiples
• Supplementary Valuation Analysis: Multiples Approach
• Scenario/Sensitivity Analysis – Base Case , Bull Case ,Bear Case
• Holistic Peer Review & Trading Comps: Financial Data, Operational Metrics, and Valuation Multiples
• Implied Price Per Share
• Ownership Activity/ Insider Trades
• Ownership Summary
• An analysis of ESG Risk Rating
• Key Professionals
• Key Board Members
• Key Risks Considerations
• Analyst Ratings
• Analyst Industry Views
• Disclosures
Home Depot Inc.(HD): Pro Investments & Hurricane Boost Amid DITY Slowdown—What’s the Real Growth Impact, Outlook & Its 5 Key Catalysts?
Home Depot’s Q3 2024 results demonstrated strong operational execution, with revenue of $40.22 billion (+6.6% YoY) exceeding estimates by $898 million, driven by hurricane-related demand and favorable weather. Adjusted EPS of $3.78 surpassed expectations by $0.12, reflecting disciplined cost controls and productivity gains, despite a 1.3% decline in comparable sales. Pro sales outperformed DIY, bolstered by investments in tools, inventory solutions, and faster delivery. Digital sales rose 4% YoY, with nearly half fulfilled through stores, underscoring the strength of Home Depot’s interconnected retail model. Gross margins, down 40 bps to 33.4%, absorbed headwinds from mix dynamics, showcasing underlying resilience. Strategic priorities such as scaling the Pro ecosystem and integrating SRS have delivered tangible benefits. Pro-focused categories like building materials and paint outperformed, while discretionary projects like kitchen remodels faced softness due to elevated interest rates. SRS contributed $2.9 billion in sales, with cross-selling opportunities validating its integration thesis. Management raised FY 2024 guidance, projecting 4% total sales growth and 13.8% adjusted operating margins, highlighting strong demand resilience amid macro headwinds. Home Depot’s long-term growth hinges on Pro ecosystem expansion, digital tools, and omnichannel capabilities. Can Home Depot sustain momentum in Pro engagement and SRS integration while navigating macro pressures on discretionary spending?
