What's Happening with HDS
HD Supply (HDS) will be reporting its second-quarter numbers September 5. The company will report before the market open, with the consensus calling for earnings of $0.96 per share. During the same period last year the company earned $0.64 per share, and the stock has risen 15% on the year.
Technical Analysis
HDS was recently trading at $45.55 down $0.74 from its 12-month high and $13.32 above its 12-month low. InvestorsObserver's Stock Score Report gives HDS an 89 long-term technical score and a 100 short-term technical score. The stock has recent support above $44 and recent resistance below $46. Of the 10 analysts who cover the stock 7 rate it Strong Buy, 1 rate it Buy, 2 rate it Hold, 0 rate it Sell, and 0 rate it Strong Sell, HDS gets a score of 89 from InvestorsObserver's Stock Score Report.
Analysts' Thoughts
HDS is currently trading just shy of its all-time high, and if the company is able to post strong Q2 numbers the stock should climb to a fresh record high. HDS has posted better than expected numbers on both the top and bottom line the last three quarters, and the market expects another beat for the company's most recent quarter. The street has a whisper number of 99 cents for the quarter, which is three pennies above the consensus. HDS trades with a forward P/E of 13.9, so its current valuation will not prevent the stock from moving higher on another set of strong quarterly numbers. Analysts expect earnings to rise 9% per annum over the next five years, so there is still plenty of upside left in the stock as long as the company is able to consistently put up quarterly numbers that are in-line or better than expected. Overall economic conditions remain upbeat, which should support demand for industrial goods suppliers moving forward. Analysts have an average price target of $47.44 on the stock.