CFRA analysts downgraded Home Depot (NYSE:HD) shares to Hold from Buy following yesterday’s earnings report.
The stock closed 2.15% lower on Tuesday as earnings showed demand softness. The new price target for HD stock is $306 per share, down from the prior $340.
“Our positive long-term view on HD shares is tempered by near-term headwinds, including product pricing normalization, digestion of top-line growth (vs. 2019), and a forecasted remodeling decline in CY 24, per the JCHS Leading Indicator of Remodeling Activity,” the analysts said in a client note.
They highlight that big ticket sales fell 6.5% year-over-year while digital sales dropped 3%.
Overall, Home Depot shares are down 10.6% year-to-date.