Investors are getting more insight into the strength of the consumer and the home building market as Home Depot released its Q4 results this morning with Lowe's report scheduled for Wednesday, February 26.
Home Depot says customers are also using financing to fund the projects.
Housing turnover is limited. Mortgage rates are elevated.
Home Depot broke a two-year slump in same store sales during the fourth quarter as customer demand improved in a housing market that has been buffeted by soaring mortgage rates and a scarcity of homes up for sale.Revenue for the Atlanta company climbed to $39.7 billion from $34.79 billion. Analysts polled by FactSet were calling for $39.15 billion.Home Depot Inc. said Tuesday that the extra week in the quarter added approximately $2.5 billion in sales for the period.Sales at stores open at least a year, a key indicator of a retailer's health, edged up 0.8%.
Home Depot started to see more engagement in the home improvement space. Lowe's could benefit, too.
The Home Depot has been making strategic investments to strengthen its position in the professional market, geared toward its digital and in-store offerings. The company's initiatives are designed to deliver greater value and convenience to its pro customers, fueling growth despite a challenging macroeconomic environment.
Home Depot (HD) stock is in positive territory Tuesday morning after topping fourth quarter estimates on revenue and earnings. While the home improvement retailer issued a cautious full-year outlook for 2025, it saw same-store sales grow by 0.8% and store foot traffic surge by 7.6% in the quarter.
Laura Champine, director of research and senior consumer analyst at Loop Capital Markets, joins 'The Exchange' to discuss the inflection point in equity markets, if Home Depot is insulated from a weakening consumer, and much more.
While hopes for lower interest rates continue to circulate, Home Depot (HD) executives aren't betting on a dramatic turnaround in the housing market, which has been a drag on the company's performance in recent years.
Home Depot Inc HD shares were climbing on Tuesday after the company reported upbeat fourth-quarter results.
The housing market has struggled, and Home Depot (HD) shared that sentiment in its latest earnings. Eric Clark notes the company's execution story builds the foundation for future growth despite headwinds.
Here's our initial take on Home Depot's (HD 3.95%) fourth-quarter financial results.