Home Depot Price Target Raised to $435 After 0.4% Same-Store Sales Gain
Telsey Advisory lifted Home Depot’s price target to $435 from $410, citing market-share gains despite a challenging macro environment and maintaining an Outperform rating. In the quarter ended late February, same-store sales rose 0.4% and earnings beat expectations thanks to professional contractor demand, AI-driven project tools and selective price increases.
1. Price Target Increase
On February 25, Telsey Advisory raised its price target on Home Depot shares to $435 from $410 and reiterated an Outperform rating, highlighting the company’s continued market-share gains and consistent execution despite a difficult macroeconomic backdrop.
2. Quarterly Results Beat Expectations
On February 24, Home Depot reported quarterly earnings that outpaced analyst estimates, driven by a 0.4% increase in same-store sales and robust demand from professional contractors offsetting weaker DIY renovation activity in a soft housing market.
3. Technological and Pricing Initiatives
Home Depot launched an AI-powered tool in November to help contractors track materials and estimate costs more efficiently, and last year’s selective price increases have helped offset tariff-related expenses, with executives indicating no further hikes are planned before the spring selling season.