Home Depot Intrinsic Value – HOME DEPOT Announces Q1 Earnings for 2024 Fiscal Year
May 26, 2023
Earnings Overview
On April 30, 2023, HOME DEPOT ($BER:HDI) reported their Q1 earnings for the 2024 fiscal year. Compared to the same quarter of the prior year, total revenue for the quarter was USD 37.3 billion, a 4.2% decrease, while net income decreased 8.5% year over year to USD 3.9 billion.
Price History
At the start of the day, HOME DEPOT stock opened at €264.4 and closed at €264.4, down by 1.0% from the previous closing price of 267.0. Despite the minor dip in stock price, analysts expect the company to report strong earnings throughout the rest of the year. Analysts are optimistic that HOME DEPOT’s current initiatives, including a focus on sustainability and customer service initiatives, will result in a boost in sales over the next few quarters. The company is also investing heavily in new technology and digital operations in order to stay competitive with other home improvement companies. The company is expecting revenue growth for the remainder of the fiscal year, especially from online sales.
HOME DEPOT has been investing heavily in its e-commerce capabilities and has seen an uptick in online orders in recent quarters. This is expected to continue throughout the rest of the year and should result in increased profits for the company. HOME DEPOT’s strong financials and strategic investments have made it one of the most reliable retail stocks in the market today, and many industry experts believe that it is well-positioned to report strong earnings throughout the rest of the year and beyond. With increased revenue from e-commerce and sustainability initiatives, HOME DEPOT is ensuring that it remains a leader in the home improvement industry. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Home Depot. More…
| Total Revenues | Net Income | Net Margin |
| 155.75k | 16.75k | 10.8% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Home Depot. More…
| Operations | Investing | Financing |
| 16.44k | -3.34k | -14.6k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Home Depot. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 76.39k | 76.02k | 1.54 |
Key Ratios Snapshot
Some of the financial key ratios for Home Depot are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 11.6% | 15.1% | 15.2% |
| FCF Margin | ROE | ROA |
| 8.4% | 950.1% | 19.4% |
Analysis – Home Depot Intrinsic Value
At GoodWhale, we have conducted an analysis of HOME DEPOT‘s wellbeing. Our proprietary Valuation Line calculation resulted in an intrinsic value of €343.8 per share for HOME DEPOT. At the time of writing, HOME DEPOT stock is traded at €264.4, representing a 23.1% undervaluation of the intrinsic value. This suggests that there could be potential for a profitable long-term investment in HOME DEPOT if the market price rises to match the intrinsic value. More…
Summary
Home Depot reported their first quarter results for the fiscal year 2024, with total revenue of $37.3 billion and net income of $3.9 billion. The revenue decreased by 4.2% compared to the same quarter of the prior year, and net income decreased by 8.5%. Investors should note the impact of the pandemic on Home Depot’s financials as well as their ongoing efforts to create value for shareholders. They should also consider the company’s long-term prospects and how their investments could benefit from Home Depot’s operational strengths.
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