Why Home Depot Shares Are Ripe For A Decline


  • The Home Depot, Inc. is currently priced to perfection, and this makes us wary in the current macro environment.
  • We believe Home Depot’s management team is one of the best around – but it may not be enough to counter a severe recession.
  • In our view, Home Depot currently represents a major asymmetric risk to the downside.

Home Depot Building Exterior

M. Suhail

Home Improvements

The Home Depot, Inc. (NYSE:HD) had a great pandemic. As millions of Americans were locked down at home and provided stimulus checks, the massive home-improvement chain benefited tremendously from increasing home-improvement spending. From 2014-2019, the company



HD 10yr PE




Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure: Disclaimer The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock, you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal.

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