The Home Depot, Inc (NYSE-HD) will buy SRS Distribution for $18.25 billion. The move will expand Home Depot’s addressable market by $50 billion. The acquisition of SRS will give The Home Depot a stronger presence with its customers in premium products, a category in which competitor Lowe’s had an advantage. Home Depot CEO Ted Decker said: “SRS is an industry leader with a productive history across all DIY sectors.” The acquisition of SRS brings Home Depot assets including more than 7,000 professional tribal salespeople with more than 760 locations and a company fleet of 4,000 vehicles.
Among other things, Home Depot is currently inviting businesses to take advantage of significantly low prices on its products beginning April 4-28, 2024. This promotion covers products that are essential for springtime DIY needs, such as mulching and gardening tools, plants, grills and outdoor power equipment. The company is also expanding its product offerings in the furniture, décor and pet segments. The company is also looking to invest $172.16 million this year to expand its market share in Mexico, adding in a statement that it intends to open 12 more stores in Mexico over the next few years to reach a total of 150 stores.
The Home Depot, Inc (NYSE-HD) generated total sales of $152.7 billion for fiscal year 2023. Gross sales were $21.69 billion. After deducting all expenses, the company earned $15.14 billion. Total assets are USD 76.53 billion. Shareholders’ equity is USD 1.044 billion. The company employs 463,100 tribal workers.
The Home Depot, Inc (NYSE-HD) also pays a regular, quarterly dividend to its shareholders. The dividend yield is currently 2.48% per annum and the actual dividend amount has been approved by the company’s board of directors at $2.25 per share. The Home Depot’s stock has become very popular with multinational investment companies and private investors, and brokerage analysts believe the stock price can be expected to rise in the short to medium term investment horizon. The average target price has been set at $385.23 per share.
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