Abner Herrman & Brock Shrinks its Home Depot Stake

Abner Herrman & Brock LLC (AHB) reduced its stake in The Home Depot (NYSE:HD) by 22,512 shares in Q3 2025, an estimated $8.85 million trade as reported in SEC filings.

What happened

According to a filing with the Securities and Exchange Commission dated October 14, 2025, Abner Herrman & Brock sold 22,512 Home Depot shares in Q3 2025. The estimated value of the sale is $8.85 million based on the average price for the quarter. The fund now holds 37,126 shares of the company.

What else to know

After the reduction, The Home Depot position represents 1.55% of Abner Herrman & Brock’s reportable equity assets under management (AUM).

Top holdings after the filing:

• Nvidia (NASDAQ:NVDA): $77.59 million (8.0% of AUM)
• International Business Machines (NYSE:IBM): $40.97 million (4.2% of AUM)
• Microsoft (NASDAQ:MSFT): $40.62 million (4.2% of AUM)
• Netflix (NASDAQ:NFLX): $40.30 million (4.2% of AUM)
• JPMorgan Chase (NYSE:JPM): $39.06 million (4.0% of AUM)

As of October 13, 2025, Home Depot shares were priced at $379.37. That's a drop of 8.68% year-on-year, trailing the S&P 500 by 20.40 percentage points

Company Overview

Data as of market close, October 13, 2025.

Company Snapshot

The Home Depot is a home improvement retailer with a diversified range of products and services. It offers building materials, home improvement products, lawn and garden supplies, décor, installation services, and tool/equipment rentals across physical stores and digital channels.

Home Depot generates revenue primarily through direct retail sales to DIY customers and professional contractors, complemented by installation and rental services. It serves homeowners, professional renovators, contractors, property managers, and specialty tradespeople in the United States.

Foolish take

Home Depot has navigated a number of strong headwinds in recent years. Not only does a stagnant housing market means less major renovation projects, but high interest rates have also contributed to a slowdown in home improvements. Inflation hasn't helped, particularly in terms of lumber and copper prices.

There is a lot of expectation around potential increased demand when the housing market improves and interest rates fall. However, the Home Depot management team told investors on its last earnings call that it can meet its targets even if that does not happen. Sales are picking up and the company reaffirmed its 2025 guidance, citing optimism around its AI and pro products.

It's noteworthy that Abner Herrman & Brock hasn't pulled out of Home Depot completely. But the DIY giant used to be in its top 15 holdings with 2.44% of AHB's AUM, and now it is only just in the top 30 with 1.55% of its AUM. AHB has also slightly pared back its exposure to Walmart (NYSE:WMT) and Amazon (NASDAQ:AMZN) in percentage terms. Though not direct competitors, they have taken some of the home improvement market share.

It could be that AHB sees more opportunity in other sectors. For example, its 13F filings show a slight increase in tech weighting. Tech giants already make up some of its top holdings and have driven significant stock market gains this year.

Glossary

Stake: The ownership interest or investment a fund or individual holds in a company.
Assets Under Management (AUM): The total market value of investments managed on behalf of clients by a fund or firm.
Form 13F: A quarterly SEC filing by institutional investment managers disclosing their equity holdings.
Top Holdings: The largest investments in a fund's portfolio, typically ranked by market value.
Trailing: Refers to a performance measure over a past period, such as the last year.
Dividend Yield: Annual dividends paid by a company divided by its share price, shown as a percentage.
Direct Retail Sales: Selling products directly to consumers, not through intermediaries or wholesalers.
Installation Services: Services provided by a retailer to set up or assemble purchased products for customers.
TTM: The 12-month period ending with the most recent quarterly report.

JPMorgan Chase is an advertising partner of Motley Fool Money. Emma Newbery has positions in Amazon and Nvidia. The Motley Fool has positions in and recommends Amazon, Home Depot, International Business Machines, JPMorgan Chase, Microsoft, Netflix, Nvidia, and Walmart. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.