Do-it-yourself (DIY) homeowners may think they're the prime Home Depot customers, but the company's growth story is being built around a different vertical: the professional builder. Home Depot told investors during a Tuesday (Aug.
Home Depot said tariffs will soon start hitting some price tags even as consumers continue to hold off on larger projects because of higher interest rates and economic uncertainty.
Shares of Home Depot Inc (NYSE:HD) are higher this morning, even after the retail brand reported lower-than-expected second-quarter results, with earnings of $4.68 per share on revenue of $45.28 billion dollars.
Home Depot could see “some modest price movement” after previously saying they would not raise prices due to tariffs, the Wall Street Journal reported Tuesday, as the retailer missed estimates for earnings and revenue—a possible indication consumers are spending less, which will become clearer this week after other big box retailers like Lowe's, Target, and Walmart also report earnings.
Home Depot's sales improved during its fiscal second quarter as consumers remained focused on smaller projects amid cost concerns and economic uncertainty, but its performance missed Wall Street's expectations.Revenue for the three months ended August 3 climbed to $45.28 billion from $43.18 billion, but fell short of the $45.41 billion that analysts polled by FactSet were looking for.Sales at stores open at least a year, a key indicator of a retailer's health, rose 1%. In the U.S., comparable store sales increased 1.4%.Customer transactions declined less than 1% in the quarter.
Although the revenue and EPS for Home Depot (HD) give a sense of how its business performed in the quarter ended July 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Home Depot (HD) shares advanced 3% Tuesday after the biggest home-improvement retailer affirmed its guidance as do-it-yourself and large project demand increased.
Home Depot (HD) came out with quarterly earnings of $4.68 per share, missing the Zacks Consensus Estimate of $4.71 per share. This compares to earnings of $4.67 per share a year ago.
Home Depot will report fiscal second-quarter earnings before the bell on Tuesday. As it faces a sluggish housing market, the retailer has turned to contractors and other home professionals to drive sales gains.
Investors will watch this week's earnings reports from Home Depot and Lowe's for signs of any reduction in the headwinds that have been facing the home and garden market. The sector has faced a sluggish housing market, tariffs, high interest rates and consumer caution when it comes to big purchases, Reuters reported Monday (Aug. 18).
Lowe's LOW and Home Depot HD reflect a notable pairing in the market, with competition remaining fierce between the two over the years.
Note: Home Depot FY'24 concluded on February 2, 2025.