Home Depot downgraded to Market Perform from Outperform at Telsey Advisory

Telsey Advisory analyst Joseph Feldman downgraded Home Depot to Market Perform from Outperform with an unchanged price target of $315. The firm expects Lowe’s to experience a “slightly steeper slowdown” in the near-term related to weak housing market trends, consumers remaining cautious on big ticket items and projects, and continued normalization from the strong COVID-19 and government stimulus related gains from the past three years. While the stock likely reflects much of the negative news and challenging operating environment, the shares are unlikely to outperform the market in the near term, the analyst tells investors in a research note.