Home Depot Stock Price Prediction
| HD Stock | USD 337.93 4.94 1.44% |
Oversold Vs Overbought
39
Oversold | Overbought |
Home Depot stock price prediction is an act of determining the future value of Home Depot shares using few different conventional methods such as EPS estimation, analyst consensus, or fundamental intrinsic valuation. The successful prediction of Home Depot's future price could yield a significant profit. Please, note that this module is not intended to be used solely to calculate an intrinsic value of Home Depot and does not consider all of the tangible or intangible factors available from Home Depot's fundamental data. We analyze noise-free headlines and recent hype associated with Home Depot, which may create opportunities for some arbitrage if properly timed.
Below are the key fundamental drivers impacting Home Depot's stock price prediction:Quarterly Earnings Growth (0.15) | EPS Estimate Current Year 15.07 | EPS Estimate Next Year 15.61 | Wall Street Target Price 362.21 | EPS Estimate Current Quarter 2.77 |
It is a matter of debate whether stock price prediction based on information in financial news can generate a strong buy or sell signal. We use our internally-built news screening methodology to estimate the value of Home Depot based on different types of headlines from major news networks to social media. The Home stock price prediction module provides an analysis of price elasticity to changes in media outlook on Home Depot over a specific investment horizon. Using Home Depot hype-based prediction, you can estimate the value of Home Depot from the perspective of Home Depot response to recently generated media hype and the effects of current headlines on its competitors. We also analyze overall investor sentiment towards Home Depot using Home Depot's stock options and short interest. It helps to benchmark the overall future attitude of investors towards Home using crowd psychology based on the activity and movement of Home Depot's stock price.
Home Depot Short Interest
A significant increase or decrease in Home Depot's short interest from the previous month could be a good indicator of investor sentiment towards Home. Short interest can provide insight into the potential direction of Home Depot stock and how bullish or bearish investors feel about the market overall. An investor who is long Home Depot may also wish to track short interest. As short interest increases, investors should be becoming more worried about Home Depot and may potentially protect profits, hedge Home Depot with its derivative instruments, or be ready for some potential downside.
200 Day MA 332.7647 | Short Percent 0.01 | Short Ratio 2.96 | Shares Short Prior Month 10.6 M | 50 Day MA 369.3476 |
Home Depot Hype to Price Pattern
Investor biases related to Home Depot's public news can be used to forecast risks associated with an investment in Home. The trend in average sentiment can be used to explain how an investor holding Home can time the market purely based on public headlines and social activities around Home Depot. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Some investors profit by finding stocks that are overvalued or undervalued based on market sentiment. The correlation of Home Depot's market sentiment to its price can help taders to make decisions based on the overall investors consensus about Home Depot.
Home Depot Implied Volatility | 48.07 |
Home Depot's implied volatility exposes the market's sentiment of Home Depot stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Home Depot's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Home Depot stock will not fluctuate a lot when Home Depot's options are near their expiration.
This module is based on analyzing investor sentiment around taking a position in Home Depot. This speculative approach is based exclusively on the idea that markets are driven by emotions such as investor fear and greed. The fear of missing out, i.e., FOMO, can cause potential investors in Home Depot to buy its stock at a price that has no basis in reality. In that case, they are not buying Home because the equity is a good investment, but because they need to do something to avoid the feeling of missing out. On the other hand, investors will often sell stocks at prices well below their value during bear markets because they need to stop feeling the pain of losing money.
Home Depot after-hype prediction price | USD 337.84 |
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.
Prediction based on Rule 16 of the current Home contract
Based on the Rule 16, the options market is currently suggesting that Home Depot will have an average daily up or down price movement of about 3.0% per day over the life of the 2024-04-19 option contract. With Home Depot trading at USD 337.93, that is roughly USD 10.15 . If you think that the market is fully incorporating Home Depot's daily price movement you should consider acquiring Home Depot options at the current volatility level of 48.07%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
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Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Home Depot's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Home Depot After-Hype Price Prediction Density Analysis
As far as predicting the price of Home Depot at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in Home Depot or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of Home Depot, with the unreliable approximations that try to describe financial returns.
Next price density |
| Expected price to next headline |
Home Depot Estimiated After-Hype Price Volatility
In the context of predicting Home Depot's stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on Home Depot's historical news coverage. Home Depot's after-hype downside and upside margins for the prediction period are 336.59 and 339.09, respectively. We have considered Home Depot's daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models outperform traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
Home Depot is very steady at this time. Analysis and calculation of next after-hype price of Home Depot is based on 3 months time horizon.
Home Depot Stock Price Prediction Analysis
Have you ever been surprised when a price of a Company such as Home Depot is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Home Depot backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with Home Depot, there might be something going there, and it might present an excellent short sale opportunity.
| Expected Return | Period Volatility | Hype Elasticity | Related Elasticity | News Density | Related Density | Expected Hype |
0.06 | 1.24 | 0.08 | 0.02 | 5 Events / Month | 2 Events / Month | In about 5 days |
| Latest traded price | Expected after-news price | Potential return on next major news | Average after-hype volatility | ||
337.93 | 337.84 | 0.03 |
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Home Depot Hype Timeline
As of April 16, 2024 Home Depot is listed for 337.93. The entity has historical hype elasticity of -0.08, and average elasticity to hype of competition of -0.02. Home is forecasted to decline in value after the next headline, with the price expected to drop to 337.84. The average volatility of media hype impact on the company price is about 94.66%. The price decline on the next news is expected to be -0.03%, whereas the daily expected return is currently at -0.06%. The volatility of related hype on Home Depot is about 361.17%, with the expected price after the next announcement by competition of 337.91. About 72.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.91. Home Depot recorded earning per share (EPS) of 15.12. The entity last dividend was issued on the 6th of March 2024. The firm had 3:2 split on the 31st of December 1999. Allowing for the 90-day total investment horizon the next forecasted press release will be in about 5 days. Check out Home Depot Basic Forecasting Models to cross-verify your projections.Home Depot Related Hype Analysis
Having access to credible news sources related to Home Depot's direct competition is more important than ever and may enhance your ability to predict Home Depot's future price movements. Getting to know how Home Depot's peers react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how Home Depot may potentially react to the hype associated with one of its peers.
| HypeElasticity | NewsDensity | SemiDeviation | InformationRatio | PotentialUpside | ValueAt Risk | MaximumDrawdown | |||
| ARHS | Arhaus Inc | (0.68) | 10 per month | 2.25 | 0.17 | 5.77 | (4.06) | 17.92 | |
| KIRK | Kirklands | (0.33) | 8 per month | 0.00 | (0.10) | 5.30 | (6.06) | 28.51 | |
| LIVE | Live Ventures | (0.02) | 4 per month | 2.20 | (0.02) | 5.22 | (4.03) | 13.70 |
Home Depot Additional Predictive Modules
Most predictive techniques to examine Home price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for Home using various technical indicators. When you analyze Home charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.| Cycle Indicators | ||
| Math Operators | ||
| Math Transform | ||
| Momentum Indicators | ||
| Overlap Studies | ||
| Pattern Recognition | ||
| Price Transform | ||
| Statistic Functions | ||
| Volatility Indicators | ||
| Volume Indicators |
About Home Depot Predictive Indicators
The successful prediction of Home Depot stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published stock prices of traded companies, such as Home Depot, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at the intrinsic value of Home Depot based on analysis of Home Depot hews, social hype, general headline patterns, and widely used predictive technical indicators.
We also calculate exposure to Home Depot's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Home Depot's related companies. | 2011 | 2015 | 2020 | 2024 (projected) | Dividend Yield | 0.0181 | 0.0235 | 0.0236 | 0.0222 | Price To Sales Ratio | 1.68 | 2.3 | 2.33 | 2.2 |
Story Coverage note for Home Depot
The number of cover stories for Home Depot depends on current market conditions and Home Depot's risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that Home Depot is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about Home Depot's long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.
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Home Depot Short Properties
Home Depot's future price predictability will typically decrease when Home Depot's long traders begin to feel the short-sellers pressure to drive the price lower. The predictive aspect of Home Depot often depends not only on the future outlook of the potential Home Depot's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Home Depot's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 1 B | |
| Cash And Short Term Investments | 3.8 B |
Check out Home Depot Basic Forecasting Models to cross-verify your projections. For information on how to trade Home Stock refer to our How to Trade Home Stock guide.Note that the Home Depot information on this page should be used as a complementary analysis to other Home Depot's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Complementary Tools for Home Stock analysis
When running Home Depot's price analysis, check to measure Home Depot's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Home Depot is operating at the current time. Most of Home Depot's value examination focuses on studying past and present price action to predict the probability of Home Depot's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Home Depot's price. Additionally, you may evaluate how the addition of Home Depot to your portfolios can decrease your overall portfolio volatility.
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Is Home Depot's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Home Depot. If investors know Home will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Home Depot listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.15) | Dividend Share 8.52 | Earnings Share 15.12 | Revenue Per Share 152.822 | Quarterly Revenue Growth (0.03) |
The market value of Home Depot is measured differently than its book value, which is the value of Home that is recorded on the company's balance sheet. Investors also form their own opinion of Home Depot's value that differs from its market value or its book value, called intrinsic value, which is Home Depot's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Home Depot's market value can be influenced by many factors that don't directly affect Home Depot's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Home Depot's value and its price as these two are different measures arrived at by different means. Investors typically determine if Home Depot is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Home Depot's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.