Home Depot Gives Back $130 Billion

Core Insights - Home Depot has established itself as a consistent wealth creator in the market, returning significant capital to shareholders through dividends and buybacks [2][3] Payout Capacity - Over the past decade, Home Depot has returned approximately $130 billion to shareholders, ranking 14th in total capital returned in history [3] - The company's ability to provide tangible returns through dividends and share repurchases reflects management's confidence in its financial stability and sustainable cash flows [4] Financial Metrics - Home Depot's revenue growth stands at 8.5% for the last twelve months (LTM) and an average of 2.2% over the last three years [11] - The company has a free cash flow margin of nearly 8.6% and an operating margin of 13.1% LTM [11] - The stock is currently valued at a price-to-earnings (P/E) ratio of 25.7 [11] Historical Performance - Home Depot has experienced significant sell-offs in the past, including declines of around 52% during the Dot-Com Bubble and 54% during the Global Financial Crisis [8] - Recent market shocks have also led to declines of 25% in 2018 and 38% during the COVID pandemic, with inflation concerns causing a decrease of approximately 35% [8]