- 1 Home Depot (HD) stock price is up by over 3% in the last week.
- 2 EMA suggests HD stock price is in an uptrend.
- 3 The company will be dropping the Q2 earnings result by August 15, 2023.
The housing sector was among those which were stuck with the dilemma of post-COVID-19 pandemic recovery. It was if they should rise along with the demand or stay low due to Federal Reserve’s hawkish moves. The home improvement supplier Home Depot Inc (NYSE: HD) went through similar situations.
The last earnings show the impact on the company’s financials and how HD stock suffered through it. The economic conditions were expected to get better after the potential recovery but soaring inflation and the efforts to curb it resulted in strangling the sector’s growth.
The mortgage rates followed the Federal Reserve raising interest rates resulting in the decline of home sales. It continued till 2023 when the prices started increasing defying the odds such as interest rates by 6.8% in July 2023. Home prices were reported to increase 0.1% year after year in May 2023.
Home Depot at Right Place to Grab Opportunity
Given the diversity of its 2,300 stores, the biggest home retailer managed to leverage the improvement in the sector. Home Depot stock price has been in an uptrend since June 2023 and gained 15% until the current trading price.
The gloomy economic conditions resulted in bleak Home Depot earnings for the last quarters. It is deprived of past growth and a positive future outlook. The first quarter earnings for this year were not quite different from the previous ones but HD stock price movement saw a change in course after it.
Since Home Depot is a dividend-paying company, the dividends act as a crucial event to consider. The company paid $2.09 in dividends for Q1 2023 in June 2023. Currently, it is sustaining a dividend yield of 2.57%.
The company will be dropping the Q2 earnings result by August 15, 2023.
Home Depot Inc (NYSE: HD) Stock Price Movement
HD stock is trading at $325 after attaining a daily high of $326 before settling down to the current price. The stock price was not in an uptrend since the start of this year as evident from the year-to-date gain of just 2.4%. A huge chunk of the growth that Home Depot stock saw was in the last two months.
The stock price of the home retailer company is above the exponential moving averages. The 50-day and 200-day EMA saw a golden crossover a couple of weeks earlier and it boosted the uptrend in HD stock. The price level at $310 was acting as an immediate hurdle but the stock crossed it with strength.
If the up move continues, the next hurdle for Home Depot stock will be at a 52-week high of $347.
RSI is at 69 suggesting the HD stock price trend is bullish and likely to enter the oversold zone to trigger a slight retracement. MACD is above the zero line and suggests an uptrend in price.
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.