Home Depot (NYSE:HD) reaffirmed its fiscal 2023 guidance and provided an updated market stability base case outlook during its 2023 Investor and Analyst Conference yesterday. The company expects a decline in sales and comparable sales between 2% and 5% compared to fiscal 2022, with a projected decrease in diluted EPS between 7% and 13% year-over-year.
According to Wolfe Research, the home improvement industry is experiencing a period of moderation. However, Home Depot anticipates continued market share gains, especially in the complex pro-project category. The firm maintained its Outperform rating and a $327 price target on the stock, stating that the company’s wide range of products and improving service levels should contribute to long-term pro-share gains.
Bernstein reaffirmed its Market Perform rating and a $314 price target on Home Depot shares. The firm mentioned that Home Depot provided limited new information for 2023, presented a new base case outlook for when the housing market stabilizes, and emphasized its focus on the planned purchase of Pro occasion.