Analysis On Home Depot

The home industry will always be active which is why I decided to choose Home Depot as a stock to analyze. Starting with a general analysis of Home Depot, from the numbers provided, the P/E ratio is rather high at 23.97. This indicates that the stocks are on the more expensive side and may denote that the stock is being overvalued. With the debt to equity ratio being at a high 43.60, this stock is a riskier choice on top of the P/E ratio being rather high. If we look at the competition, for example, Lowe's, their P/E ratio is also rather high at 22.14. Their debt to equity on the other hand is 11.88 which means it is less risky. From these numbers, Home Depot may not be the better choice compared to its competitors.

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Analysis On Home Depot

bullish

The home industry will always be active which is why I decided to choose Home Depot as a stock to analyze. Starting with a general analysis of Home Depot, from the numbers provided, the P/E ratio is rather high at 23.97. This indicates that the stocks are on the more expensive side and may denote that the stock is being overvalued. With the debt to equity ratio being at a high 43.60, this stock is a riskier choice on top of the P/E ratio being rather high. If we look at the competition, for example, Lowe's, their P/E ratio is also rather high at 22.14. Their debt to equity on the other hand is 11.88 which means it is less risky. From these numbers, Home Depot may not be the better choice compared to its competitors.

read-time
1 min
306.75
Target Price
4/ 10
Confidence
1-2 Months
Timeframe
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Earnings Release
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News
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SEC
Filing
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Sentiment
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