Having cash regularly deposited in your account from dividend stocks is a great feeling. It not only helps ease the sting of market volatility, but it can also help you build up a nice stream of income when you really need it in retirement.
Home Depot's stock has recently underperformed the S&P 500. Its slower growth offers stability but lacks upside, with a 5-year EV CAGR forecast of -0.22%. The Buffett Indicator (208% of GDP) signals market-wide overvaluation. HD's intrinsic EV is ~40% below its current level, showing a -62% margin of safety. Strong management ethos and investments in the Pro Ecosystem (45% of sales) ensure long-term stability. However, current valuations suggest Sell for prudent investors.
Home Depot (HD 0.62%) and Lowe's (LOW -0.42%) are the two largest home improvement retailers in America. Both of their stocks slumped in 2022 and 2023 as inflation curbed consumer discretionary spending and rising interest rates chilled the housing market, but they both have rallied by about 20% so far this year as the macro environment has stabilized.
Home Depot (HD 0.62%) stock has delivered a dividend-adjusted total return of roughly 25% this year. While that's certainly nothing to sneeze at, the performance has actually lagged behind the S&P 500 index's total return level of 29%.
Investing in dividend stocks can be very comforting. The passive income you receive might not add up to a big sum at first.
The Home Depot Inc. HD stock has gained 19.5% in the past six months, marking an underperformance from the broader industry's 20.5% rise and the Retail-Wholesale sector's growth of 22%. However, it outperformed the S&P 500's rally of 12.4%.
Home Depot (HD) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
Home Depot (HD) reported earnings 30 days ago. What's next for the stock?
Home Depot Inc. (NYSE: HD) is rewarding its shareholders once again with a quarterly dividend of $2.25, payable on Thursday, Dec.
It requires a lot of nerve to go against the market and take a stake in shares that have underperformed. It also takes work to uncover whether recent performance reflects an underlying weakness or an opportunity.
It's hard to believe that only three weeks are left in the year. But a lot can happen in three weeks.
Michael Baker, D.A. Davidson senior retail analyst, joins CNBC's 'The Exchange' to discuss why he's bullish on Home Depot, other retail names to watch, and more.