Bank of New York Mellon Cuts Home Depot Stake to $3.08 Billion

Bank of New York Mellon Corp has reduced its stake in The Home Depot, Inc. (NYSE: HD) by 2.2% during the third quarter of 2023, according to a report from Holdings Channel. Following the sale of 172,650 shares, the institutional investor now holds 7,612,641 shares of the home improvement giant, which constitutes 0.6% of its overall investment portfolio. This makes Home Depot the 23rd largest holding in Bank of New York Mellon’s portfolio, with a current value of approximately $3.08 billion based on the latest filing with the U.S. Securities and Exchange Commission.

Multiple institutional investors and hedge funds have also adjusted their positions in Home Depot recently. Notably, Sagard Holdings Management Inc. acquired a new stake valued at around $29,000 in the second quarter. Similarly, LFA Lugano Financial Advisors SA and Legacy Investment Solutions LLC invested approximately $32,000 and $35,000, respectively, during the same period. Furthermore, Dougherty Wealth Advisers LLC and Marquette Asset Management LLC each bought new stakes valued at about $38,000 in the third quarter. Overall, institutional investors own 70.86% of Home Depot’s stock.

As of Wednesday, December 18, 2023, Home Depot shares opened at $380.48, reflecting a decline of 1.6%. The company holds a debt-to-equity ratio of 3.82, with a current ratio of 1.05 and a quick ratio of 0.29. The stock’s performance has demonstrated significant volatility, with a fifty-two week low of $326.31 and a high of $426.75. The market capitalization stands at $378.77 billion, accompanied by a price-to-earnings (P/E) ratio of 25.94 and a price-to-earnings-growth (PEG) ratio of 14.41.

Home Depot recently declared a quarterly dividend, which was paid on December 18, 2023. Shareholders on record as of December 4, 2023, received a dividend of $2.30 per share, leading to an annualized dividend of $9.20 and a yield of 2.4%. The company’s dividend payout ratio currently stands at 62.71%.

Research analysts have been adjusting their price targets for Home Depot. On November 19, 2023, Robert W. Baird lowered its price target from $450.00 to $415.00 while maintaining an “outperform” rating. DZ Bank reaffirmed a “sell” rating on November 18, and Piper Sandler revised its target price from $450.00 to $441.00 on December 10. Argus also reduced its target from $450.00 to $425.00 on November 20. Citigroup followed suit, cutting its estimate from $422.00 to $407.00 on November 21. In total, twenty-one analysts have assigned a “buy” rating, while eleven have given a “hold” rating and two have classified it as a “sell.” The consensus rating for Home Depot stands at “Moderate Buy,” with an average target price of $404.50.

In related news, Home Depot executives have also been active in the market. On December 12, 2023, Executive Vice President Angie Brown sold 1,946 shares at an average price of $357.63, amounting to nearly $695,948. Following this transaction, she retains 3,941 shares valued at approximately $1.41 million. The same day, EVP Ann Marie Campbell sold 145 shares at an average price of $358.26, totaling $51,948.

Home Depot, headquartered in Atlanta, Georgia, has established itself as a leading home improvement retailer since its inception in 1978 by founders Bernard Marcus and Arthur Blank. The company operates large-format stores and an integrated online platform, catering to both do-it-yourself consumers and professional contractors. Its extensive inventory includes building materials, tools, appliances, and home décor.

For more details on institutional holdings in Home Depot, visit Holdings Channel for the latest filings and insider trades.