Home Depot Stock Alpha and Beta Analysis
| HD Stock | USD 393.29 7.99 2.07% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Home Depot. It also helps investors analyze the systematic and unsystematic risks associated with investing in Home Depot over a specified time horizon. Remember, high Home Depot's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Home Depot's market risk premium analysis include:
Beta 0.0322 | Alpha (0.07) | Risk 1.31 | Sharpe Ratio (0.10) | Expected Return (0.13) |
Home Depot Quarterly Cash And Equivalents |
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Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
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Home Depot Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Home Depot market risk premium is the additional return an investor will receive from holding Home Depot long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Home Depot. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Home Depot's performance over market.| α | -0.07 | β | 0.03 |
Home Depot expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Home Depot's Buy-and-hold return. Our buy-and-hold chart shows how Home Depot performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Home Depot Market Price Analysis
Market price analysis indicators help investors to evaluate how Home Depot stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Home Depot shares will generate the highest return on investment. By understating and applying Home Depot stock market price indicators, traders can identify Home Depot position entry and exit signals to maximize returns.
Home Depot Return and Market Media
The median price of Home Depot for the period between Wed, Nov 27, 2024 and Tue, Feb 25, 2025 is 409.38 with a coefficient of variation of 3.34. The daily time series for the period is distributed with a sample standard deviation of 13.62, arithmetic mean of 407.86, and mean deviation of 11.27. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
| Home Depot dividend paid on 12th of December 2024 | 12/12/2024 |
1 | The Home Depot, Inc. Stake Raised by Empowered Funds LLC | 02/10/2025 |
2 | Lester Murray Antman dba SimplyRich Grows Stock Position in The Home Depot, Inc. | 02/13/2025 |
3 | SheerID Expands Product Line with Industry-First Audience Data Platform,Empowering Marketers with Permissioned Data and Precision Targeting | 02/19/2025 |
4 | What Analysts Think of Home Depot Stock Ahead of Earnings | 02/20/2025 |
5 | Sex Offender Indicted On Kidnapping, Deadly Weapon Charges Roundup | 02/21/2025 |
About Home Depot Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Home or other stocks. Alpha measures the amount that position in Home Depot has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
| 2015 | 2020 | 2024 | 2025 (projected) | Dividend Yield | 0.0235 | 0.0236 | 0.0222 | 0.0112 | Price To Sales Ratio | 2.3 | 2.33 | 2.2 | 1.26 |
Home Depot Upcoming Company Events
As portrayed in its financial statements, the presentation of Home Depot's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Home Depot's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Home Depot's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Home Depot. Please utilize our Beneish M Score to check the likelihood of Home Depot's management manipulating its earnings.
| 20th of February 2024 Upcoming Quarterly Report | View | |
| 21st of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 20th of February 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Build Portfolio with Home Depot
Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.Build Diversified Portfolios
Align your risk with return expectations
Check out Home Depot Backtesting, Home Depot Valuation, Home Depot Correlation, Home Depot Hype Analysis, Home Depot Volatility, Home Depot History and analyze Home Depot Performance. For information on how to trade Home Stock refer to our How to Trade Home Stock guide.You can also try the Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Home Depot technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.