Home Depot(US:HD) Zhi Tong Cai Jing·2025-12-09 13:27Core Viewpoint - Home Depot (HD.US) reaffirmed its fiscal year 2025 guidance and provided preliminary outlook for fiscal year 2026, indicating a slight decline in adjusted diluted earnings per share for 2025 and modest sales growth [1] Group 1: Fiscal Year 2025 Guidance - The company expects adjusted diluted earnings per share for fiscal year 2025 to decline by approximately 5% from the previous year's $15.24 [1] - Total sales are projected to grow by about 3% [1] - Comparable store sales for 52 weeks are anticipated to show a slight increase after excluding external factors such as store count changes [1] Group 2: Preliminary Fiscal Year 2026 Outlook - For fiscal year 2026, the company forecasts adjusted diluted earnings per share to remain flat to increase by 4%, with market expectations around 5% growth [1] - Total sales growth is expected to be between 2.5% and 4.5%, with analysts generally predicting around 4.5% [1] - Comparable sales growth is projected to be flat to 2%, with analyst expectations around 3% [1] Group 3: Market Recovery Scenario - Home Depot outlined a potential market recovery scenario where total sales could increase by approximately 5% to 6% if housing activity rebounds [1] - Comparable sales could grow by 4% to 5%, with operating profit growth expected to outpace sales growth, leading to mid-to-high single-digit earnings per share growth [1] - The CFO Richard McPhail indicated that the recovery scenario reflects anticipated momentum in housing activity driven by pent-up demand for large project spending [1] Group 4: Stock Market Reaction - Following the preliminary outlook for fiscal year 2026, which was generally below market expectations, the company's stock price fell by 2.10% in pre-market trading, closing at $342.55 [1]