Home Depot consensus firms ahead of August earnings, shares backed by moderate Buy ratings

By Anna Wagner, Analysts & Consensus desk. Reviewed prior to publication on 2026-06-30, 13:20.

Home Depot (US4370761029) starts Tuesday with a firm analyst view around the NYSE listing. Consensus forecasts and price targets for fiscal 2026 outline a moderate growth path and a mid-single-digit upside for the shares based on current data.

What the analysts are pricing in

MarketBeat data show 32 Wall Street analysts covering Home Depot, with a consensus rating of "Moderate Buy" split into 18 Buy, 13 Hold and 1 Sell recommendation. The average 12-month price target stands at about 371.71 dollars, implying roughly 6 percent upside from around 350.5 dollars at the latest close.

Zacks highlights that Home Depot anticipates fiscal 2026 sales growth of about 2.5 to 4.5 percent year on year, with reported and adjusted earnings per share expected to be flat to up roughly 4 percent. Its consensus EPS estimate for fiscal 2026 has been revised down modestly in recent weeks towards roughly 15 dollars, while the 2027 estimate around 16.2 dollars still points to mid-single-digit growth.

Guidance and valuation in focus

Management commentary on the last earnings call remained cautious, citing persistent macro and housing-related headwinds even as it reaffirmed fiscal 2026 guidance. At the same time, Home Depot continues to generate robust profitability metrics, including a triple-digit return on equity above 100 percent, underpinned by its capital structure and cash generation.

On valuation, Zacks notes Home Depot trading at a forward price-to-earnings multiple a bit above 20 times, modestly higher than key retail and home-improvement peers. MarketBeat calculates a trailing P/E ratio near 25 times, placing the stock at a premium to some broader consumer and retail benchmarks but below certain high-growth sectors.

What the company sells

Home Depot's core business is big-box home improvement retail in the United States, with a focus on building materials, hardware, tools and garden products for DIY customers and professional contractors. The chain also sells large-ticket items such as power tools and appliances, supported by installation services.

Where the stock trades today

Home Depot shares (US4370761029) trade on 2026-06-30 around 350.54 dollars on the NYSE, close to their recent closing level and broadly in line with the consensus framework described above.

This article is for informational purposes only and does not contain investment advice, personal recommendations or an offer to buy or sell securities. All data were compiled with care but without guarantee.