Piper Jaffray Reiterates Neutral Rating On The Home Depot Given Negative Housing Trends (HD)

Piper Jaffray is reiterating its “neutral” rating and Q2E EPS of $0.69 on shares of The Home Depot, Inc. HD; it also set a price target of $28.00 on the stock. On July 1, Piper Jaffray cut HD’s price target from $37.00 to $28.00 based on negative housing trends, which included the expiration of the First Time Homebuyer Credit, negative housing data, and lumber pricing trends. The analysts at Piper Jaffray noted, “Our channel checks suggest weak sales trends continued in July. Following strong Q1 F10 results and a guide up, we believe HD will likely temper sales and EPS expectations on the Q2 earnings call.” Home Depot, Inc. is the largest retailer of home-improvement products, operating more than 2,000 stores domestically and abroad. Shares of HD began the day trading at $27.71, and lost 14 cents in morning trade.