Key Takeaways Floor & Decor is gaining share through store expansion, cost discipline and adjacent category growth.Home Depot faces demand pressure despite Pro investments and AI-driven project planning tools.Consensus shows stronger 2026 sales and earnings growth projections for FND compared to HD.The Home Depot, Inc. (HD) and Floor & Decor Holdings, Inc. (FND) operate in the broader home improvement retail space. Home Depot, with a market capitalization of roughly $384.8 billion, is the industry’s dominan ...

Company Overview - Floor & Decor (FND) shares increased by 8% to close at $72.74, supported by strong trading volume, significantly higher than average [1] - The stock has gained 7.1% over the past four weeks, indicating positive momentum [1] Growth Drivers - The stock's upward movement is attributed to ongoing store expansion, supply chain improvements, and growth initiatives that enhance customer demand and market share [2] - Investor sentiment has improved due to optimism regarding housing affordability in the U.S., following discussions between U.S. Commerce Secretary Howard Lutnick and homebuilding executives about the Trump administration's efforts to address affordability concerns [2] Earnings Expectations - Floor & Decor is projected to report quarterly earnings of $0.35 per share, reflecting a year-over-year decline of 10.3% [3] - Expected revenues for the upcoming quarter are $1.14 billion, which represents a 2.7% increase compared to the same quarter last year [3] Earnings Estimate Trends - The consensus EPS estimate for Floor & Decor has remained unchanged over the last 30 days, suggesting stability in earnings expectations [4] - A lack of trend in earnings estimate revisions may impact the stock's price movement, indicating the need for close monitoring of FND's performance [4] Industry Context - Floor & Decor is categorized under the Zacks Retail - Home Furnishings industry, where Lowe's (LOW) also operates [5] - Lowe's shares increased by 4.3% to close at $267.21, with a 3.3% return over the past month, reflecting similar positive trends in the industry [5]

Fund Performance - Bristlemoon Global Fund reported a return of -6.2% in the December quarter and a 0.3% return in December 2025, with a cumulative return of 11.9% since inception, net of fees [1] - The market trends in 2025 saw perceived AI winners rallying, while stocks labeled as AI losers, considered "cheap," dropped further [1] Company Highlight: Floor & Decor Holdings, Inc. - Floor & Decor Holdings, Inc. (NYSE:FND) is a multi-channel specialty retailer of hard surface flooring and related accessories, with a one-month return of 16.91% and a 52-week loss of 24.77% [2] - As of January 9, 2026, Floor & Decor's stock closed at $72.74 per share, with a market capitalization of $7.838 billion [2] - The company has achieved an average comparable store sales growth of almost 11% per annum over the last 14 years, with revenue and adjusted EBITDA growing at 24% and 25% per annum, respectively, from 2011 to 2024 [3] Hedge Fund Interest - Floor & Decor Holdings, Inc. was held by 44 hedge fund portfolios at the end of the third quarter, a decrease from 46 in the previous quarter [4] - The company's sales for the third quarter grew by 5.5% to $1.180 billion [4] - While the potential of Floor & Decor as an investment is acknowledged, certain AI stocks are considered to offer greater upside potential and less downside risk [4]

Core Viewpoint - Floor & Decor has opened a new warehouse store and design center in Dearborn, Michigan, enhancing its retail footprint in the hard-surface flooring market [1] Company Summary - The new store is located at 1300 Shehadi Court and employs approximately 35 full-time and 15 part-time associates [1] - Wesley Walker serves as the Chief Executive Merchant for the Dearborn store [1] - Floor & Decor operates more than 260 warehouse stores, indicating significant growth and expansion in the retail sector [1]

Core Insights - Floor and Decor (FND) is facing significant demand challenges due to the frozen housing market, resulting in declining same-store sales and earnings per share (EPS) [1] Company Performance - The company has experienced a challenging macroeconomic backdrop, impacting its sales and profitability metrics [1] Market Context - The current economic environment is described as arguably the most challenging for retailers like FND, particularly those exposed to the housing market [1]

Core Thesis - Floor & Decor Holdings, Inc. (FND) is experiencing mixed financial performance, with revenue growth but declining comparable sales, indicating challenges in the current housing market [2][4] Financial Performance - FND reported a 5.5% year-over-year increase in revenue, while comparable sales declined by 1.2%, reflecting ongoing pressures from a weak housing market [2] - Customer transactions decreased by 3%, although this was partially offset by a 1.8% increase in average ticket size [2] - Gross margins remained stable at 43.4%, and operating margins improved slightly to 6.1%, aided by cost discipline despite new distribution center costs [2] Management Strategy - The company is focused on reducing store buildout costs, achieving $1.5 million less investment per new store compared to 2023 [3] - New store cohorts are generating first-year sales of approximately $11 million, which is below the long-term target of $14–16 million but aligns with industry performance [3] - Leadership transition is occurring with CEO Tom Taylor moving to Executive Chairman and President Bradley Paulsen taking over as CEO, indicating continuity in management [3] Growth Plans - FND aims to open 20 new stores annually and expand its product offerings in kitchen cabinets, outdoor products, and design services, which are seen as competitive advantages [4] - Despite negative comparable sales, FND is gaining market share against competitors like LL Flooring and The Tile Shop, supported by strong service scores and a resilient professional customer base [4] - The long-term goal is to establish 500 stores generating $25–30 million in mature annual sales [4]

Core Insights - Floor & Decor has opened a new warehouse store in Vancouver, Washington, enhancing its retail footprint in the hard-surface flooring market [1] - The new location features a design center and employs approximately 25 full-time and 15 part-time associates, indicating a commitment to local employment [1] - Sarah Valentine has been appointed as the Chief Executive Merchant for the new store, suggesting a strategic leadership focus [1] Company Expansion - The new warehouse store is located at 11696 Northeast 76th Street, which is part of Floor & Decor's strategy to expand its presence in key markets [1] - This opening reflects the company's ongoing growth trajectory in the high-growth retail sector specializing in flooring [1] Employment and Leadership - The store's workforce includes a mix of full-time and part-time employees, which may enhance operational flexibility and customer service [1] - The leadership of Sarah Valentine as Chief Executive Merchant indicates a focus on effective management and customer engagement at the new location [1]

Core Points - Floor & Decor has announced the grand opening of a new warehouse store in Mount Pleasant, South Carolina, enhancing its presence in the hard-surface flooring market [1][3] - The new store features a team of approximately 35 full-time and 15 part-time associates, led by Chief Executive Merchant Matthew Peiffer [1][3] - The company operates over 250 warehouse-format stores and five design studios across 38 states, offering a wide range of in-stock hard-surface flooring products [2][8] Store Opening Details - The grand opening ceremony is scheduled for December 2, 2025, and will include participation from local chambers of commerce and special appearances by Charleston Southern University cheerleaders [3] - The store will host a PRO Industry Networking Event on December 4, 2025, featuring a boat giveaway and opportunities for local professionals to engage with the PRO Services Team [5][6] Community Engagement - The Mount Pleasant store will conduct a $5,000 Floor Makeover Sweepstakes and offer a chance to win 2026 Charleston Southern University Football Season Tickets as part of its opening festivities [6] - A family-friendly Super Saturday event is planned for December 6, 2025, to showcase local vendors and the new store to the community [6][7] Company Overview - Floor & Decor is a multi-channel specialty retailer of hard surface flooring and related accessories, headquartered in Atlanta, Georgia, and founded in 2000 [8] - As of the end of the third quarter of fiscal 2025, the company operates 262 warehouse-format stores and five design studios, providing a broad assortment of flooring products at everyday low prices [8]

Core Insights - Floor & Decor has opened a new warehouse in Woodinville, Washington, enhancing its retail presence in the hard-surface flooring market [1] Company Summary - The new warehouse and design center is located at 19545 Woodinville Snohomish Road NE, Woodinville [1] - The store is staffed by approximately 35 full-time and 15 part-time associates [1] - Shane Hopka serves as the Chief Executive Merchant for the new location [1] Industry Context - Floor & Decor is recognized as a leading high-growth retailer in the hard-surface flooring sector, catering to both homeowners and professionals [1]

Core Insights - Floor & Decor has announced the grand opening of a new warehouse store in Eagle, Idaho, expanding its presence in the Boise area [1][3] - The new store features a team of approximately 35 full-time and 15 part-time associates, enhancing local employment opportunities [1] - The company operates over 250 warehouse-format stores and five design studios across 38 states, offering a wide range of hard-surface flooring products [2][9] Store Features and Events - The grand opening will include a Ribbon Cutting Ceremony on November 20, 2025, in partnership with the Eagle Chamber of Commerce [3] - A PRO Networking Event will be held on the same day, providing local professionals with opportunities to connect and win prizes [4][5] - The grand opening celebration will feature a Super Saturday Celebration on November 22, 2025, with various local business offerings and a chance to participate in a One Million Dollar Dice Roll [6][8] Community Engagement - The company aims to build strong relationships within the Eagle and Boise community, positioning itself as a trusted resource for homeowners and professionals [3] - Floor & Decor emphasizes support for professionals in the construction and renovation industries through its PRO Services and rewards programs [4][5]