Home Depot earnings selloff should be bought, says JPMorgan

JPMorgan analyst Christopher Horvers recommends buying the post-earnings selloff in Home Depot shares and keeps an Overweight rating on the name with a $397 price target. The Q4 comp miss “flattens” the company’s 2024 comp recovery slightly, but the comp and operating expense guidance looks conservative, the analyst tells investors in a research note. With expectations that lower rates will spur housing turnover, Home Depot’s sales outlook for negative comps in both halves of the years “does indeed appear conservative,” says the firm.