HOME DEPOT STOCK FALLS ON RATING DOWNGRADES
Home Depot’s stock is currently trading at 228.33-lower by 1.10% as compared to the previous closing price. In the pre-market trading session, the stock was trading lower by 1.3%. The stock has pared some of its earlier losses after the opening bell.
Guggenheim downgraded the home improvement retailer’s stock to neutral from buy. The firm also removed its $230 price target on stocks of Home Depot. Guggenheim downgraded the home-improvement’s retailer stock due to higher capital spending costs and increased expenses in its fiscal 2020 year. The firm estimates the investment expenses in the next year will have 20 to 40 basis point hit to EBIT margins. Shares of the home improvement retailer have risen about 35% since January.
On the technical front, the RSI is currently at 58.12% and suggests that the market can move in the downward direction. The current price is below the MA5. The current price is above the middle line of the Bollinger Bands but is heading downwards.
TRADE SUGGESTION- LIMIT SELL AT 228.50 TAKE PROFIT AT 227.50 STOP LOSS AT 229.00