Home Depot (HD) closed the latest trading day at $388.46, indicating a -0.14% change from the previous session's end. This move was narrower than the S&P 500's daily loss of 0.22%. Elsewhere, the Dow saw a downswing of 0.36%, while the tech-heavy Nasdaq depreciated by 0.16%.

Shares of the home-improvement retailer witnessed a loss of 9.1% over the previous month, trailing the performance of the Retail-Wholesale sector with its loss of 1.69% and the S&P 500's loss of 2.36%.

Investors will be eagerly watching for the performance of Home Depot in its upcoming earnings disclosure. The company's upcoming EPS is projected at $3.01, signifying a 6.74% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $38.81 billion, indicating a 11.56% increase compared to the same quarter of the previous year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $15.12 per share and revenue of $158.62 billion, which would represent changes of +0.07% and +3.9%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Home Depot. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Home Depot is holding a Zacks Rank of #3 (Hold) right now.

In the context of valuation, Home Depot is at present trading with a Forward P/E ratio of 25.73. For comparison, its industry has an average Forward P/E of 20.27, which means Home Depot is trading at a premium to the group.

It's also important to note that HD currently trades at a PEG ratio of 4.1. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Retail - Home Furnishings industry held an average PEG ratio of 2.05.