Core Viewpoint - Home Depot's third-quarter results showed a sales beat but an earnings miss, leading to negative investor reactions and a drop in share price [1][2][4]. Financial Performance - For Q3, Home Depot reported adjusted earnings per share of $3.74 on sales of $41.35 billion, while analysts had expected earnings of $3.84 per share on sales of $41.1 billion [4]. - Same-store sales increased by 0.1% year over year, and the average ticket price rose by 2% [4]. - Overall revenue grew by 2.8% year over year, driven by new store openings and higher average ticket prices, despite a decline in consumer traffic [5]. Guidance Revision - Home Depot revised its full-year guidance, now expecting annual revenue growth of approximately 3%, up from a previous forecast of 2.8%, but below the analyst estimate of 3.2% [6]. - The company lowered its annual same-store sales growth forecast from 1% to "slightly positive," and adjusted earnings per share are now projected to decline by 5% year over year, compared to a previous estimate of a 2% decline [7]. - The revised guidance reflects weaker-than-expected demand due to consumer spending aversion and ongoing pressures in the housing market [8].

Core Viewpoint - Fiserv's shares experienced a significant decline of 44% on October 29 and an additional 6.7% on October 30 following a reduction in the company's full-year earnings outlook and the announcement of strategic changes [1][2] Financial Impact - The drop in share price resulted in a loss of $30 billion in Fiserv's market capitalization [2] - Fiserv's organic growth fell to 1% in the third quarter, with margins also declining; sales in the Financial Solutions segment decreased by 3% [4] Earnings Outlook - The company's overall organic revenue growth forecast was revised down to 3.5% to 4.5%, a significant reduction from the previous estimate of around 10% [4] - Within the Financial Solutions unit, digital payments revenues decreased by 5%, and banking-related revenues fell by 7% [4] Strategic Changes - In response to customer complaints regarding fees for the Clover point-of-sale system, Fiserv announced it would reverse recent pricing changes and implement a new technology strategy [3][4] - Management changes were also announced, with Takis Georgakopoulos and Dhivya Suryadevara appointed as co-presidents effective December 1, and Paul Todd named as the incoming chief financial officer [5] Leadership Commentary - CEO Mike Lyons expressed that the recent developments were unexpected and highlighted the challenges faced by the company, indicating that the actions taken are part of a necessary reset and revitalization effort [3][6]