Prudential Keeps Hold Rating on Home Depot
Shares of Home Depot Inc. (HD ) were down more than 4% after the home retail giant said it sees a fourth quarter earnings per share of $0.20 compared to $0.25 a year ago on flat same-store sales. Prudential Securities, meanwhile, is maintaining a hold investment rating on the stock.
Prudential Securities said it sees risk to its fiscal 2002 EPS of $1.37. Home Depot has cited a declining economy, and deflation in lumber and building materials. Analyst Wayne Hood said he downgraded the stock earlier this week in anticipation the numbers would have to come down. The analyst also said if shares break below $40, he'll revisit the hold rating.