NEW YORK (TheStreet) --Analysts at BMO Capital Markets increased their 2015 and 2016 earnings estimates to $5.30 from $5.21, and to $6.10 from $5.94, respectively, on shares of Home Depot (HD). The firm maintained its "outperform" rating with a price target of $132.
Analysts cited strong first quarter sales."The 1Q15 report gives us added confidence in our earnings outlook and reinforces the idea that we are still in the middle of the housing recovery cycle," analyst Shannon Coyne said.
"Further, demand driven by demographic (aging, millennial) and consumer spending sifts toward the home is not fleeting, in our view," she added.
Over the next five years, she highlighted that annual EPS growth would exceed that of the S&P 500.
In Thursday's morning trading, shares of Home Depot are lower by 0.29% to $111.79.
TheStreet Ratings team rates HOME DEPOT INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate HOME DEPOT INC (HD) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, increase in net income, revenue growth and notable return on equity. We feel its strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."