Core Viewpoint - Home Depot is set to report its third-quarter earnings on November 18, with an anticipated update on strategic priorities and long-term outlook at the December Analyst Conference. Bank of America maintains a Buy rating with a price target of $450 [1][6]. Sales Performance - Bank of America projects a 1.3% increase in comparable sales for Home Depot in the third quarter of 2026, slightly above the previous quarter's 1.0% [2]. - Observed sales data from Bloomberg indicates a 1.6% rise, supporting the sales growth outlook [2]. - The company experienced strong sales trends in August, but these softened in October due to the comparison with last year's hurricane-related sales boost [3]. Financial Forecast - For the full year 2026, revenue is estimated at $163.91 billion and EPS at $14.95, aligning with consensus estimates. For fiscal 2027, revenue is projected to rise to $170.68 billion with EPS of $16.25 [7]. Strategic Initiatives - Home Depot's acquisition of Gypsum Management & Supply (GMS) for an implied enterprise value of $5.5 billion enhances its Pro capabilities, adding drywall, steel framing, and ceilings to its offerings [4]. - The bank highlights trade credit expansion and improved order management as key strategies to deepen penetration with approximately 9 million Pro customers [5]. Market Position - Home Depot is well-positioned amid a challenging macroeconomic environment, benefiting from structural housing-related tailwinds. Despite deferrals in large-ticket projects due to high mortgage rates, the company is expected to gain market share through expanded delivery and Pro-focused services [6].

Core Insights - Analysts project Home Depot (HD) will report quarterly earnings of $3.82 per share, reflecting a 1.1% year-over-year increase, with revenues expected to reach $41.07 billion, a 2.1% increase from the same quarter last year [1] Earnings Estimates - The consensus EPS estimate has been revised downward by 0.4% in the past 30 days, indicating a reassessment by covering analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate revisions and short-term stock price performance [3] Key Metrics - Analysts estimate the 'Number of stores - Retail' will reach 2,357, up from 2,345 a year ago [5] - 'Sales per store' is projected to be $17.41 million, compared to $17.15 million from the previous year [5] - The 'Number of customer transactions - Retail' is expected to be 403.35 million, an increase from 399.00 million in the same quarter last year [6] - 'Average ticket - Retail' is anticipated to reach $89.20, up from $88.65 in the same quarter last year [6] Stock Performance - Home Depot shares have shown a return of -4.4% over the past month, contrasting with the Zacks S&P 500 composite's +4.6% change, indicating a potential alignment with overall market performance in the near future [6]

Core Viewpoint - Wall Street anticipates a year-over-year increase in Home Depot's earnings driven by higher revenues, with a focus on how actual results will compare to estimates [1][2]. Earnings Expectations - Home Depot is expected to report quarterly earnings of $3.84 per share, reflecting a year-over-year increase of 1.6% [3]. - Revenue projections stand at $41.02 billion, indicating a 2% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised down by 0.15% over the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Home Depot is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -0.98%, suggesting a bearish outlook from analysts [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict deviations from consensus estimates, with a strong predictive power for positive readings [9][10]. - Home Depot's current Zacks Rank is 3, which complicates the prediction of an earnings beat given the negative Earnings ESP [12]. Historical Performance - In the last reported quarter, Home Depot was expected to earn $4.71 per share but reported $4.68, resulting in a surprise of -0.64% [13]. - Over the past four quarters, Home Depot has beaten consensus EPS estimates twice [14]. Conclusion - Home Depot does not appear to be a strong candidate for an earnings beat, and investors should consider other factors when making decisions regarding the stock ahead of the earnings release [17].

Core Insights - The Home Depot Foundation and Meals on Wheels America have reached a significant milestone by repairing and modifying 4,000 homes for senior veterans through their partnership since 2015, with over $21 million invested in the Helping Homebound Heroes program [2][5]. Group 1: Partnership Impact - The partnership aims to make homes safer and more accessible for senior veterans, allowing them to age in place, which is the preferred choice for many seniors according to AARP research [2]. - The Home Depot Foundation has contributed significantly to bridging the gap between federal funding and private philanthropy, which is crucial for supporting the needs of the growing senior population [5]. - Meals on Wheels America serves nearly 360,000 veterans annually, with many programs offering home repair and modification services, supported by The Home Depot Foundation [5]. Group 2: Case Study - A specific case highlighted is that of veteran Juan Lopez, whose home in Austin, Texas, received nearly $40,000 worth of repairs and modifications after an ice storm damaged his roof, showcasing the direct impact of the program [4]. Group 3: Broader Context - The Meals on Wheels network addresses not only hunger but also isolation among seniors, with about 43% of older veterans experiencing isolation, making the program effective in combating this issue [5]. - The Home Depot Foundation has pledged to invest $750 million in veteran causes by 2030 and $50 million in training skilled tradespeople by 2028, indicating a long-term commitment to supporting veterans [9].

Core Insights - The article discusses the impact of weakening consumer sentiment on retail stocks, highlighting the importance of consumer behavior over sentiment surveys [2][5][17] - The National Retail Federation anticipates a record holiday spending season, projecting over $1 trillion in spending, a 4% increase from the previous year [6][17] Retail Sector Overview - The University of Michigan Consumer Sentiment survey recorded the second-lowest reading in history, indicating a significant decline in consumer confidence [2][5] - Despite negative sentiment, historical trends suggest that consumer spending may not decline as sharply as sentiment indicates [8][17] Key Retail Stocks to Watch - **Walmart (WMT)**: The stock has shown resilience, steadily increasing since April and maintaining a bullish momentum with its 50-day moving average trending upwards [11][12] - **Target (TGT)**: The stock is underperforming, nearing six-year lows, and has not shown significant impact on broader market indices due to its smaller market capitalization of $42 billion [13][14] - **Home Depot (HD)**: The stock is in a weaker position compared to Walmart but stronger than Target, facing challenges from high mortgage rates and a sluggish housing market [15][16] Market Trends and Predictions - The retail sector is experiencing mixed signals, with the SPDR S&P Retail ETF (XRT) correcting after a significant rise earlier in the year [10][17] - Upcoming earnings reports from major retailers will provide critical insights into consumer spending patterns as the holiday season approaches [7][17]

Home Improvement Market Overview - The home improvement market is currently weak, with muted performance from Home Depot and Lowe's [2] - The market is lapping the hurricane benefit from the previous year, which was a 55 basis points tailwind for Home Depot and 100 basis points for Lowe's [2] - There is no significant optimism in the home improvement space currently, though rate cuts next year could potentially drive demand [3] Lowe's vs Home Depot - Bernstein prefers Lowe's over Home Depot in the medium term [4] - Lowe's is trading at a valuation discount to Home Depot [5] - Lowe's is more cyclical and expected to benefit more on the upside when the market rebounds [6] - Lowe's has more cost savings opportunities and the valuation gap provides more downside protection [6] Pro Customer & Acquisitions - Both Home Depot and Lowe's are entering the complex pro market, targeting bigger ticket pros [8] - Upcoming guidance from both companies will reflect recent acquisitions, which are likely to be margin dilutive in the near term [8] - Near-term weakness is expected in the broader pro market based on peer and supplier reporting [9] - The housing market, new construction market, and roofing market are not showing signs of recovery [9]

Core Insights - A combination of macroeconomic challenges is expected to lead to softer home improvement sales for the remainder of 2025, with the growth projection for the overall home improvement market reduced from 3.4% to 2.5% [1] Market Predictions - The consumer market sales prediction has been lowered to a 1.3% increase, down from 2.6% predicted in June 2025, while professional market sales are expected to increase by 4.6%, down from 4.9% [2] Economic Challenges - Key economic challenges include consumer price inflation expected to rise to the 3% range in late 2025, a 5.3% drop in housing starts in Q2 2025, and a 2.7% drop in home sales in June 2025, with mortgage rates hovering around 6.25% [3] Market Share of Major Retailers - Major home improvement retail chains dominate the industry, with Home Depot holding approximately 29% of the market, Lowe's capturing 17%, and Amazon attracting 11.9% according to Numerator's Home Improvement Tracker [4][8] Impact on Local Retailers - The dominance of major retailers has led to the permanent closure of many small, local hardware stores [5] Iconic Store Closures - Several iconic hardware stores have permanently closed, including Carnation Ace Hardware, Ritter's True Value Hardware, and Kreuger's True Value Hardware, with the latter planning to shut down after a liquidation sale due to lower demand [6][7] Additional Store Closures - Jerry's Hardware & Rental, part of the Do It Best retail cooperative, announced the closure of two stores in Minnesota by the end of 2025 [9]

Group 1 - Jim Cramer is a prominent figure in the investment community, known for guiding investors through various market conditions with his show "Mad Money" [1][2][3] - Cramer emphasizes the importance of dividend stocks for generating reliable cash flows and long-term appreciation, appealing to investors seeking stability [4][5] - Three dividend stocks highlighted by Cramer include Diamondback Energy, Realty Income, and Home Depot, each reflecting his investment themes of discipline, pricing power, and predictable performance [5][6][7] Group 2 - Diamondback Energy (NASDAQ:FANG) is recognized as one of the best-run energy companies, offering a quarterly dividend of $1.00 and a yield of approximately 2.91% [6][7] - Realty Income (O) provides a monthly dividend with a yield of 5.74% and has a strong track record of increasing payouts, having raised dividends 124 times since its IPO in 1994 [7] - Home Depot (HD) offers a quarterly dividend of $2.30 with a yield of 2.48%, supported by robust demand in the renovation sector [7]

RT karbon 🐺🦊 (@basedkarbon)This is another part of the broken social contract.Boomers got to buy:AAPL IPO at $1.8b mcapMCD IPO at $33m mcapMSFT IPO at $780m mcapINTC IPO at $58m mcapHD IPO at $60m mcapNIKE IPO at $220 mcapAMZN IPO at $438m mcapEBAY IPO at $700m mcapAverage return 4175xLooking at the "good" IPOs millennials had access to (CART, BIRK, ARM, KYVO)....Average mcap was $20.6 BAverage return to date to 1.68%That average is being largely lifted by ARM which did a 10xA more median view did the other ...

Core Points - The Home Depot Foundation has invested over $30 million in new grants to assist veterans in securing safe and accessible housing, moving closer to its goal of investing $750 million in veteran causes by 2030 [1][14] - The number of veterans experiencing homelessness has decreased by more than 55% since 2010, yet nearly 33,000 veterans still lack safe housing, and over 2.75 million live in inadequate conditions [2][3] - The Foundation's investment will support various initiatives, including building smart homes for catastrophically wounded veterans and providing critical home repairs for senior and low-income veterans [4][6] Investment and Grants - The new funding includes grants to organizations like the Gary Sinise Foundation and Tunnel to Towers Foundation for constructing accessible homes and making ADA-compliant modifications for veterans with combat-related injuries [5][10] - Approximately half of all veterans are aged 65 and older, many of whom require home repairs to ensure their living conditions are safe and comfortable [6][7] - The Foundation collaborates with nonprofit partners to provide housing solutions and essential services for nearly 5,000 veterans at risk of homelessness [8][9] Community Impact - The Home Depot Foundation's annual Celebration of Service campaign honors veterans through community projects, having invested over $600 million in veteran causes and improved more than 65,000 veteran homes and facilities [12][14] - The Foundation's commitment to veterans is reflected in its workforce, with many associates being veterans or military spouses, emphasizing the personal connection to these initiatives [13][14]