Riverbend Wealth Management Cuts Stake in Home Depot by 13.8%

Riverbend Wealth Management LLC has reduced its holdings in The Home Depot, Inc. (NYSE: HD) by 13.8% during the second quarter of 2023. According to the firm’s most recent 13F filing with the Securities and Exchange Commission, Riverbend now owns 2,051 shares of the home improvement retailer after selling 329 shares during the quarter, a decision that reflects broader market trends among institutional investors.

As of the end of the second quarter, Riverbend’s stake in Home Depot was valued at approximately $752,000. This adjustment comes as several other institutional investors have also made moves regarding their shares in Home Depot. For instance, Mainstay Capital Management LLC ADV acquired a new stake valued at about $263,000 in the same quarter. Additionally, Tower View Wealth Management LLC increased its position in the retailer by 4.3%, now holding 16,196 shares worth $5.94 million after purchasing an additional 671 shares.

Shell Asset Management Co. has significantly expanded its investment, increasing its holdings by 45.2% to own 48,175 shares valued at $17.66 million after buying an additional 15,002 shares. Meanwhile, Financial Gravity Asset Management Inc. acquired a new position valued at $406,000 in the first quarter. Overall, institutional investors currently hold 70.86% of Home Depot’s stock.

Market Performance and Recent Dividends

Home Depot’s stock opened at $387.40 recently, reflecting a 0.2% decline. The company maintains a current ratio of 1.15, with a quick ratio of 0.34 and a debt-to-equity ratio of 4.31. Home Depot has seen a 50-day moving average price of $403.62 and a 200-day moving average of $377.73. Over the past year, the stock has fluctuated between a low of $326.31 and a high of $439.37. It boasts a market capitalization of $385.61 billion, a price-to-earnings (P/E) ratio of 26.32, and a beta of 1.00.

The firm recently announced a quarterly dividend of $2.30, paid on September 18, 2023, to investors of record as of September 4, 2023. This translates to an annualized dividend of $9.20, yielding 2.4%. Home Depot’s dividend payout ratio currently stands at 62.50%.

Insider Transactions and Analyst Ratings

In related news, CFO Richard V. Mcphail sold 3,369 shares of the company’s stock at an average price of $403.66 on August 20, 2023, resulting in a total transaction value of approximately $1.36 million. Following this sale, Mcphail holds 45,455 shares, valued at around $18.35 million, marking a 6.90% reduction in his holdings.

Similarly, Executive Vice President William D. Bastek sold 3,783 shares on August 22, 2023, at an average price of $410.23, totaling approximately $1.55 million. After this transaction, Bastek owns 24,235 shares valued at about $9.94 million, which represents a 13.50% decrease in his position. Over the past 90 days, insiders have collectively sold 48,835 shares worth $19.62 million, with corporate insiders now holding only 0.10% of the stock.

Analysts from various firms have recently revised their price targets for Home Depot. On August 20, 2023, Wells Fargo & Company raised its target from $420.00 to $450.00, assigning an “overweight” rating. Oppenheimer followed suit, increasing its target from $400.00 to $420.00, while Telsey Advisory Group reaffirmed an “outperform” rating with a target of $455.00. Truist Financial also raised its target to $433.00, providing a “buy” rating. Currently, the stock holds a consensus rating of “Moderate Buy” with an average price target of $435.42, according to data from MarketBeat.com.

Home Depot operates as a home improvement retailer, offering a broad range of products, including building materials, home improvement items, and decor products. The company also provides installation services across various categories, enhancing its value proposition in the market.