The Home Depot (XSWX:HD) Momentum Rank: 5 (As of Aug. 06, 2026) — 29% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XSWX:HD The Home Depot Inc XSWX:HD
83 GF Score
Price CHF283.40
GF Value CHF302.61
! 3 Warning Signs
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What is The Home Depot Momentum Rank?

The Home Depot XSWX:HD +1.50% 83 Momentum Rank is 5 as of Aug. 06, 2026, which is 29% below its 10-year median of 7.00. GuruFocus rates XSWX:HD with a GF Score™ of 83/100 and a GF Value™ of CHF302.61. The stock has 3 warning signs investors should review.

The Home Depot has the Momentum Rank of 5.

Momentum Rank measures the strength and persistence of a stock's price movement over time, rated on a scale of 1 to 10.

For Momentum Rank, we considered the residual momentum concept that was widely studied by Blitz and his colleagues as well as by Nobel Prize laureates Fama and French. However, we did not find any significant differences in the performances of stocks with different ranks of residual momentum. Therefore, we use traditional momentum instead.

Momentum Rank is determined using the standardized momentum ratio and other momentum indicators. The standardized momentum ratio is the average of the performances from 12 months ago to 1 month ago and 6 months ago to 1 month ago, divided by the beta of the stock over the past 12 months. To calculate the momentum ratio today, we would use the average of the two performance numbers.

For momentum, we found that stock price performance does not have a monotonic correlation with the momentum ratio. The stocks with the highest momentum ratios perform worse than those at about the 70th percentile. Therefore, for the momentum rank, we ranked the stocks at about the 70th percentile of the momentum ratio as the highest at 10.

A higher score reflects strong price momentum and indicates greater potential for superior performance. Conversely, a lower score indicates that momentum is either too high or too low, and stocks tend to underperform.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.

The Home Depot Momentum Rank Related Terms

XSWX:HD vs LOW, FND, HVT: Momentum Rank Comparison

For the Home Improvement Retail subindustry, The Home Depot's Momentum Rank, along with its competitors' market caps and Momentum Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

The Home Depot Momentum Rank vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, The Home Depot's Momentum Rank distribution charts can be found below:

* The bar in red indicates where The Home Depot's Momentum Rank falls into.


XSWX:HD
83GF Score
The Home Depot Inc XSWX:HD
Momentum Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Momentum Rank →
What does a Momentum Rank of 5 mean?
The Home Depot (XSWX:HD) has a Momentum Rank of 5 as of Aug. 06, 2026. Momentum Rank is determined using the standardized momentum ratio, measuring the speed and velocity of price changes in a stock. View historical data on The Home Depot and its competitors. This is 29% below median its historical median of 7.00. Over the past decade, The Home Depot's Momentum Rank has ranged from 3.00 to 10.00.
Is The Home Depot's Momentum Rank too high?
The Home Depot's current Momentum Rank of 5 is 29% below median its 10-year median of 7.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 10.00. Overall, The Home Depot has a GF Score™ of 83/100, reflecting its overall financial health beyond just this single metric.
How does The Home Depot's Momentum Rank compare to LOW and FND?
The Home Depot's Momentum Rank of 5 can be compared against companies in the Retail - Cyclical industry. Historically, The Home Depot's own Momentum Rank has ranged from 3.00 to 10.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Momentum Rank for a Retail - Cyclical company?
A good Momentum Rank depends on the Retail - Cyclical industry context. However, Momentum Rank should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Momentum Rank mean?
A high Momentum Rank can signal that a stock is expensive relative to its fundamentals. Momentum Rank is determined using the standardized momentum ratio, measuring the speed and velocity of price changes in a stock. View historical data on The Home Depot and its competitors. The Home Depot's current Momentum Rank is 5, which is 29% below median its own 10-year median of 7.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Home Depot stock overvalued right now?
The Home Depot (XSWX:HD) has a current Momentum Rank of 5. The stock's GF Value™ is CHF302.61, compared to a current price of CHF283.40 — trading 6.3% below its estimated fair value. The current Momentum Rank is 5, which is 29% below median its 10-year median of 7.00. The Home Depot's overall GF Score™ is 83/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Momentum Rank calculated?
Momentum Rank is calculated from a company's financial statements. For The Home Depot (XSWX:HD), the current Momentum Rank is 5 as of Aug. 06, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is The Home Depot (XSWX:HD) Overvalued in 2026?

Based on GuruFocus' analysis, The Home Depot stock appears to be undervalued. The current stock price of CHF283.40 is trading 6.3% below its estimated GF Value™ of CHF302.61.

Key valuation signals for XSWX:HD:

  • Momentum Rank: 5 (29% below median its 10-year median of 7.00)
  • GF Value™: CHF302.61 vs. price of CHF283.40 (6.3% below fair value)
  • GF Score™: 83/100 with 3 warning signs

No single metric tells the full story. See the XSWX:HD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

The Home Depot Business Description

Address 2455 Paces Ferry Road, Atlanta, GA, USA, 30339
Home Depot is the world's largest home improvement specialty retailer, operating 2,361 warehouse-format stores offering more than 30,000 products in store and 1 million products online in the US, Canada, and Mexico. Its stores offer building materials, home improvement products, lawn and garden products, and decor products and provide various services, including home improvement installation services and tool and equipment rentals. The acquisition of Interline Brands in 2015 allowed Home Depot to enter the MRO business, which has been expanded through the tie-up with HD Supply (2020). The 2024 tie-up with SRS will help grow professional demand in roofing, pool, and landscaping projects, while the 2025 purchase of GMS will lift building product sales through 1,250 distribution locations.
83GF Score

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Momentum Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF283.40
Price
CHF302.61
GF Value