Buying Opportunity in Dow Stocks Amid Sell-Off
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 11 2026
0mins
Source: Fool
- Market Sell-Off: Last week, Home Depot and Sherwin-Williams saw declines of 6% and 9%, respectively, significantly outpacing the S&P 500's 2% drop, indicating pressure from supply chain disruptions and economic uncertainty on consumer discretionary and industrial stocks.
- Interest Rate Impact: Despite mortgage rates hitting their lowest since 2022, Home Depot has not returned to its peak performance during the pandemic, with management preparing for a multi-year expansion focused on acquisitions targeting professional contractors.
- Stable Dividend Growth: Home Depot has raised its dividend every year since 2010, currently yielding 2.6%, while Sherwin-Williams has increased its dividend for the 47th consecutive year, yielding only 1% due to strong stock performance.
- Investment Value Analysis: Both companies generate ample cash flow to cover dividends and buy back stock, with Home Depot appealing to value and passive-income investors, while Sherwin-Williams offers a diversified business model with a global customer base, albeit at a higher price point.
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Analyst Views on HD
Wall Street analysts forecast HD stock price to rise
23 Analyst Rating
17 Buy
5 Hold
1 Sell
Moderate Buy
Current: 349.400
Low
320.00
Averages
401.47
High
441.00
Current: 349.400
Low
320.00
Averages
401.47
High
441.00
About HD
The Home Depot, Inc. is a home improvement retailer. It offers its customers an assortment of home improvement products, building materials, lawn and garden products, decor products, and facilities maintenance, repair, and operations (MRO) products, in stores and online. It also provides a number of services, including home improvement installation services, and tool and equipment rental. It operates over 2,359 stores located throughout the U.S. (including the Commonwealth of Puerto Rico and the territories of the U.S. Virgin Islands and Guam), Canada, and Mexico. Its stores average over 104,000 square feet of enclosed space, with over 24,000 additional square feet of outside garden area. It also maintains a network of distribution and fulfillment centers, as well as mobile applications and e-commerce websites in the U.S., Canada, and Mexico. It serves two primary customer groups, including both do-it-yourself (DIY) and do-it-for-me (DIFM) customers and professional customers (Pros).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Stable Consumer Borrowing: While some banks reported flat or declining consumer loans, overall consumer borrowing balances grew steadily, reflecting resilience in consumer spending, particularly driven by wealthier households.
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