Home Depot Should Witness Demand Growth In 2024, Says Bullish Analyst
Portfolio Pulse from Priya Nigam
Wedbush analyst Seth Basham upgraded Home Depot Inc (NYSE:HD) from Neutral to Outperform and raised the price target from $330 to $380, anticipating demand growth in 2024. Home Depot is expected to benefit from increased home improvement spending and its Pro business segment is likely to outperform DIY. The company's launch of new smart home devices at CES 2024 and the expected rebound in the industry environment contribute to the positive outlook. Basham's projections for Home Depot in 2024 include operating margins of 14.3% and earnings of $15.85 per share, exceeding consensus estimates.
January 10, 2024 | 4:59 pm
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POSITIVE IMPACT
Home Depot's stock is likely to experience positive short-term movement due to the upgrade from Neutral to Outperform by Wedbush analyst Seth Basham, with a raised price target from $330 to $380. The company's new smart home products and favorable industry conditions are expected to drive demand and earnings growth.
The upgrade by a reputable analyst often leads to a positive short-term reaction in the stock market as investors adjust their expectations based on the new information. The specific mention of new product launches and a strong Pro business segment, along with higher projected earnings and operating margins than consensus estimates, provide a solid basis for the stock's potential growth.
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IMPORTANCE 90
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