Industry Turnover:

• Construction and renovation supplies: approx. 60%
• Garden and outdoor area: approx. 20%
• Household appliances and decorations: approx. 20%

TOP 3 Markets:

• USA: approx. 85%
• Canada: approx. 10%
• Mexico: approx. 5%

The Home Depot, Inc. generates the majority of its revenue from the sale of construction and renovation supplies, reflecting the company's core competence. The U.S. market dominates with a share of approximately 85% of the total revenue, highlighting Home Depot's strong presence and market leadership in the United States.

Canada and Mexico follow as other important markets, with Canada contributing about 10% and Mexico about 5% to the revenue. These markets are significant for the company as they provide opportunities for further growth and expansion.

Production Sites: USA, China, Mexico, Canada, India

The Home Depot, Inc. sources its products from a variety of suppliers worldwide. While the company itself does not operate its own production facilities, it works closely with manufacturers in the USA, China, Mexico, Canada, and India to source its product range.

This geographical diversification enables Home Depot to offer a wide range of products while minimizing supply chain risks. Collaborating with international suppliers also supports cost efficiency and the ability to respond to different market requirements.

Revenue Growth: Estimated 4-5% annually (2025-2027)

Investments in Technology: $1.2 billion (estimated for 2025)

Expansion of the Supply Chain: 150 new distribution centers by 2025

The Home Depot, Inc. is pursuing a growth strategy that heavily focuses on technology investments and supply chain optimization. The company plans to further expand its e-commerce platform to meet the increasing online sales. Significant investments in digital technologies are earmarked for this purpose, aiming to enhance the customer experience and improve order processing efficiency.

Additionally, Home Depot is placing emphasis on expanding and optimizing its supply chain. By 2025, around 150 new distribution centers are set to be opened to reduce delivery times and increase product availability. These measures aim to boost both customer satisfaction and market share in an increasingly competitive environment.

The company also plans to strengthen its presence in international markets to explore new growth opportunities. This includes both organic expansion and potential acquisitions to broaden its geographical reach.

Main raw materials: Wood, steel, copper, plastic

Main importing countries: Canada, China, Mexico, Brazil

The Home Depot, Inc. imports a variety of raw materials and materials needed for sale in their home improvement stores. The main raw materials include wood, steel, copper, and plastic, which are essential for construction and renovation projects.

Canada is one of the largest suppliers of wood due to its extensive forest resources. China and Mexico are significant suppliers of steel and plastic products used in a variety of construction and DIY projects. Brazil also supplies wood and other building materials that are in high demand in the USA.

These import relationships are crucial for maintaining a wide range of products and competitive prices in Home Depot stores.

Market share in the USA: approx. 17% (2023)
Gross margin: 33.6% (2023)
Return on Equity (ROE): 465% (2023)

The Home Depot, Inc. possesses a significant competitive advantage that is composed of several factors. The market share of approximately 17% in the USA underscores the company's leading position in the home improvement sector, supported by strong brand recognition and an extensive store network.

The gross margin of 33.6% indicates that the company is able to manage its costs efficiently while offering its products at competitive prices. This is an indicator of a robust pricing strategy and efficient operational processes.

An exceptionally high return on equity of 465% suggests an effective use of equity, supported by strong profitability and capital structure. However, this metric is also influenced by stock buybacks, which reduce the equity portion.

In summary, The Home Depot benefits from a strong market position, efficient operational processes, and a solid financial strategy that provides the company with a clear competitive advantage.

Institutional investor share: approx. 70% (2025, estimated based on historical data)

Insider purchases/sales: No significant insider purchases or sales in the last 12 months (2025, estimated)

The institutional investor share at The Home Depot, Inc. traditionally stands at around 70%. This high participation indicates a strong confidence of institutional investors in the company's long-term stability and growth potential.

Regarding insider purchases and sales, there have been no significant transactions in the past year that could indicate a change in management's confidence in the company's future development. This can be seen as an indicator that the management is satisfied with the current corporate strategy.

Market share of The Home Depot, Inc.: approx. 17% (estimated for 2025)

Main competitors and their market shares:

1. The Home Depot, Inc.: approx. 17%
2. Lowe's Companies, Inc.: approx. 12%
3. Menards: approx. 4%
4. Ace Hardware: approx. 3%
5. True Value: approx. 2%
6. Tractor Supply Company: approx. 2%
7. Harbor Freight Tools: approx. 1.5%
8. Do it Best Corp: approx. 1%
9. Floor & Decor Holdings, Inc.: approx. 1%
10. Wayfair (in the DIY sector): approx. 0.5%

Moat of The Home Depot, Inc.:

The Home Depot possesses a significant moat, characterized by several factors. Firstly, the company's size and economies of scale enable it to offer products at competitive prices. Secondly, strong brand recognition and customer loyalty through an extensive range of products and excellent customer service contribute to high brand loyalty.

Compared to its competitors, The Home Depot has the advantage of a broad store network and an effective omnichannel strategy that seamlessly integrates online and offline sales. This represents a significant competitive advantage, especially over smaller competitors.

Lowe's, as the biggest competitor, also has a strong moat, particularly due to its similar business strategy and market presence. However, The Home Depot remains the industry leader due to its larger market share and operational efficiency.

Overall, The Home Depot has one of the strongest moats in the DIY industry, allowing the company to maintain and further expand its market leadership.

Revenue growth: 4.1% (2024) Profit growth: 3.8% (2024) Market share in the DIY segment: 29% (2024)

The Home Depot, Inc. recorded a solid revenue growth of 4.1% in 2024, attributed to stable demand in the DIY segment and successful business strategies. Profit growth was at 3.8%, indicating efficient cost control and operational improvements.

The company holds a significant market share of 29% in the DIY segment, highlighting its strong market position. This position enables Home Depot to benefit from trends such as the ongoing interest in DIY projects and renovations.

Future growth opportunities could arise from expanding into new markets and digitizing the business model, further enhancing efficiency and customer experience. Given these factors and the solid financial performance, The Home Depot's stock could be an attractive investment for long-term oriented investors.

Dividend yield: 2.5% (estimated for 2025)
Dividend history: Continuous payouts for over 30 years

The Home Depot, Inc. is known for its reliable dividend policy. The company has been consistently paying dividends for decades and has regularly increased them. The estimated dividend yield for 2025 is around 2.5%, which is in line with historical payouts.

The reliability of The Home Depot's dividends is supported by its strong market position and solid financial performance. The company has robust cash flow generation, allowing it to maintain dividends even in economically challenging times.