Home Depot (HD) stock is down about 11% over the past year as of Nov. 2, 2026, as the housing market has slowed sharply. The author argues that pent-up demand could benefit the company once housing rebounds, citing CFO Richard McPhail's comments that housing turnover has stayed near record lows for 4 years and that customers 'have the means to spend' but remain uncertain about inflation, interest rates and jobs. Professional contractors, who make up more than half of sales, have driven 8 straight quarters of same-store sales growth. The stock's forward P/E of 22.5 is slightly below its three-year average of 24.4, though earnings remain below their fiscal 2022 peak; the main risk is timing, while a dividend yield of about 2.8% offers some support.
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